In the latest trading session, Ross Stores (ROST) closed at $160.73, marking a +2.54% move from the previous day. This move outpaced the S&P 500's daily gain of 1.23%. Elsewhere, the Dow gained 0.72%, while the tech-heavy Nasdaq added 1.86%.
Shares of the discount retailer witnessed a gain of 3.45% over the previous month, beating the performance of the Retail-Wholesale sector with its loss of 1.39%, and the S&P 500's gain of 2.45%.
The investment community will be closely monitoring the performance of Ross Stores in its forthcoming earnings report. In that report, analysts expect Ross Stores to post earnings of $1.38 per share. This would mark a year-over-year decline of 6.76%. Alongside, our most recent consensus estimate is anticipating revenue of $5.39 billion, indicating a 6.24% upward movement from the same quarter last year.
For the full year, the Zacks Consensus Estimates project earnings of $6.19 per share and a revenue of $22.12 billion, demonstrating changes of -2.06% and +4.71%, respectively, from the preceding year.
Investors should also take note of any recent adjustments to analyst estimates for Ross Stores. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. Right now, Ross Stores possesses a Zacks Rank of #3 (Hold).
Digging into valuation, Ross Stores currently has a Forward P/E ratio of 25.34. This indicates no noticeable deviation in contrast to its industry's Forward P/E of 25.34.
Meanwhile, ROST's PEG ratio is currently 3.01. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. By the end of yesterday's trading, the Retail - Discount Stores industry had an average PEG ratio of 2.74.
The Retail - Discount Stores industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 37, putting it in the top 15% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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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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