In the latest trading session, Ross Stores (ROST) closed at $148.00, marking a +1.03% move from the previous day. The stock's performance was behind the S&P 500's daily gain of 1.14%. Elsewhere, the Dow gained 1.1%, while the tech-heavy Nasdaq added 1.39%.
Prior to today's trading, shares of the discount retailer had gained 11.68% outpaced the Retail-Wholesale sector's gain of 1.54% and the S&P 500's gain of 2%.
The investment community will be paying close attention to the earnings performance of Ross Stores in its upcoming release. The company is slated to reveal its earnings on August 21, 2025. It is anticipated that the company will report an EPS of $1.52, marking a 4.4% fall compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $5.53 billion, up 4.65% from the prior-year quarter.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $6.22 per share and a revenue of $21.98 billion, representing changes of -1.58% and +4.01%, respectively, from the prior year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Ross Stores. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.3% lower. Ross Stores presently features a Zacks Rank of #3 (Hold).
In terms of valuation, Ross Stores is currently trading at a Forward P/E ratio of 23.57. This denotes a premium relative to the industry average Forward P/E of 23.03.
Meanwhile, ROST's PEG ratio is currently 2.81. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. By the end of yesterday's trading, the Retail - Discount Stores industry had an average PEG ratio of 2.81.
The Retail - Discount Stores industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 184, putting it in the bottom 26% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Ross Stores, Inc. (ROST): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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