ROSTNEUTRAL

ROST Gross Margin Analysis

29.6%

Higher than 38% of Consumer Cyclical sector peers

Updated 197h ago·SEC filings & market data

Key Takeaway

Gross margin is the percentage of revenue left after paying direct production costs, and ROST's current 29.6% means about 29.6 cents per dollar remain before other expenses.

Sector Performance

38th percentile

ROST

29.6%

Sector Median

34.5%

Sector Avg

27.6%

Prior Period

30.9%(May 2026)

↓ Declining

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Deep Analysis

Gross margin is the percentage of revenue left after paying direct production costs, and ROST's current 29.6% means about 29.6 cents per dollar remain before other expenses.

That trails the sector median of 33.7%, placing ROST at the 42nd percentile among Consumer Cyclical peers, so it sits slightly below the midpoint. The year-over-year change is N/A, the quarter-over-quarter change is N/A, and the trend over the last 8 quarters is also N/A, with only 29.6% available as a single historical value. Because the level is below the sector median but not far off, and because there is no trend data to show improvement or deterioration, the investment picture is unclear on this metric. This does not contradict the overall NEUTRAL verdict; the modest gap from peers and absence of any directional signal support holding a neutral view rather than a bullish or bearish one.

Frequently Asked Questions

What does the Gross Margin tell investors about ROST?

Gross margin reveals pricing power and cost structure. Software companies often sustain 70–80%; manufacturers typically 30–50%. Expansion is a bullish signal.

How is the Gross Margin calculated?

Gross Margin is calculated as: Gross Profit / Revenue.

How does ROST's Gross Margin compare to its sector?

ROST's Gross Margin of 29.6% compares to a Consumer Cyclical sector median of 34.5%, placing it in the 38th percentile.

Who are ROST's closest peers by Gross Margin?

The closest Consumer Cyclical peers by Gross Margin include: CHWY (30.1%), W (30.0%), JACK (29.9%), RH (41.4%), CAVA (25.4%).

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Learn More About Gross Margin

Gross Margin vs Net Margin: Why the Gap Between Them Tells You Everything

Gross margin vs net margin: learn what the spread between them reveals about operating leverage, cost structure, and early warning signs in any stock.

The Formula

Gross Profit / Revenue

Why It Matters

Gross margin reveals pricing power and cost structure. Software companies often sustain 70–80%; manufacturers typically 30–50%. Expansion is a bullish signal.