ROSTROST
US • —
$212.85
P/E
29.67
PEG
2.20
FCF Yield
—
Rev Growth YoY
+11.9% YoY
Gross Margin
28.1%
Health Score
7/10
D/E Ratio
0.25
Confidence
LOW
Business Snapshot
Ross Stores operates as an off-price apparel and home fashion retailer, primarily generating revenue through its Ross Dress for Less and dd's DISCOUNTS store banners. The company competes in the U.S. off-price retail market, holding a strong position alongside TJX Companies as one of the dominant players in the sector. With no market capitalisation figure available in this data set, its scale relative to market-cap tiers cannot be precisely stated here. A key defining characteristic is its off-price business model, which relies on buying opportunistic merchandise from manufacturers and other retailers at a discount, allowing it to offer brand-name goods at reduced prices.
Financial Health
Ross Stores demonstrates solid profitability with a gross margin of 28.1% and a net margin of 9.7%, though gross margin trends versus the prior year are not available for comparison. The balance sheet is conservative, with a Debt/Equity ratio of just 0.25x and a healthy Current Ratio of 1.58x, providing ample liquidity...
Risk Assessment
- VALUATION — P/E of 29.67x trades at a significant premium to the sector average of 22x, suggesting elevated expectations are already priced in.
- EARNINGS QUALITY — While the company beat estimates in 3 of the last 4 quarters, one miss keeps the track record from being perfect, introducing minor guidance credibility risk.
- TECHNICALS — RSI, MACD, and moving average data unavailable for this period; momentum cannot be independently confirmed.
- VALUATION DIVERGENCE — A DCF cannot be calculated from the data provided, removing a key fundamental anchor for assessing fair value and introducing valuation uncertainty.
- FCF / CASH BURN — Free cash flow data is unavailable, preventing a full assessment of whether the company is generating sufficient cash relative to its valuation....
Ross Stores demonstrates solid profitability with a gross margin of 28.1% and a net margin of 9.7%, though gross margin trends versus the prior year are not available for comparison. The balance sheet is conservative, with a Debt/Equity ratio of just 0.25x and a healthy Current Ratio of 1.58x, providing ample liquidity. Return on equity is exceptionally high at 38.4%, indicating efficient capital utilisation. Free cash flow figures are not provided in this data set, preventing a full assessment of cash generation capacity. Overall, the company appears financially sound with low leverage and strong working capital, suggesting good capacity for reinvestment and shareholder returns.
- VALUATION — P/E of 29.67x trades at a significant premium to the sector average of 22x, suggesting elevated expectations are already priced in. - EARNINGS QUALITY — While the company beat estimates in 3 of the last 4 quarters, one miss keeps the track record from being perfect, introducing minor guidance credibility risk. - TECHNICALS — RSI, MACD, and moving average data unavailable for this period; momentum cannot be independently confirmed. - VALUATION DIVERGENCE — A DCF cannot be calculated from the data provided, removing a key fundamental anchor for assessing fair value and introducing valuation uncertainty. - FCF / CASH BURN — Free cash flow data is unavailable, preventing a full assessment of whether the company is generating sufficient cash relative to its valuation.
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