Ross Stores (NASDAQ:ROST) Updates FY 2026 Earnings Guidance

Ross Stores (NASDAQ:ROST) issued an update on its FY 2026 earnings guidance on Thursday. The company provided earnings per share (EPS) guidance of 8.610-8.770 for the period, compared to the consensus estimate of 7.310. The company issued revenue guidance of -. Ross Stores also updated its Q3 2026 guidance to 1.750-1.830 EPS.

Wall Street Analysts Forecast Growth

A number of research firms have issued reports on ROST. The Goldman Sachs Group restated a “buy” rating and set a $270.00 price target on shares of Ross Stores in a report on Friday, May 22nd. Morgan Stanley set a $231.00 target price on shares of Ross Stores in a research report on Wednesday, August 5th. Sanford C. Bernstein reissued a “market perform” rating and set a $230.00 target price on shares of Ross Stores in a research note on Friday, May 22nd. Wells Fargo & Company downgraded shares of Ross Stores from an “overweight” rating to an “equal weight” rating and set a $245.00 price target for the company. in a research note on Tuesday, June 23rd. Finally, Guggenheim reiterated a “buy” rating and set a $290.00 price objective on shares of Ross Stores in a report on Monday, April 27th. Sixteen research analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company. According to MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $244.76.

Ross Stores Stock Performance

ROST opened at $228.99 on Friday. The company has a current ratio of 1.54, a quick ratio of 0.94 and a debt-to-equity ratio of 0.12. The company’s fifty day moving average price is $233.83 and its two-hundred day moving average price is $221.74. The company has a market cap of $73.46 billion, a price-to-earnings ratio of 31.98, a PEG ratio of 2.61 and a beta of 0.86. Ross Stores has a 1-year low of $143.39 and a 1-year high of $257.00.

Ross Stores (NASDAQ:ROST) last announced its quarterly earnings results on Thursday, August 20th. The apparel retailer reported $2.66 earnings per share for the quarter, beating the consensus estimate of $1.95 by $0.71. The business had revenue of $6.26 billion for the quarter, compared to analysts’ expectations of $6.16 billion. Ross Stores had a net margin of 9.74% and a return on equity of 38.42%. The firm’s revenue for the quarter was up 13.3% compared to the same quarter last year. During the same quarter last year, the firm earned $1.56 EPS. On average, analysts expect that Ross Stores will post 7.81 EPS for the current fiscal year.

Ross Stores Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Wednesday, September 30th. Investors of record on Tuesday, September 8th will be issued a dividend of $0.445 per share. The ex-dividend date is Tuesday, September 8th. This represents a $1.78 annualized dividend and a yield of 0.8%. Ross Stores’s dividend payout ratio is 24.86%.

Key Headlines Impacting Ross Stores

Here are the key news stories impacting Ross Stores this week:

• Positive Sentiment: Strong Q2 results: Revenue rose 13.3% year over year to approximately $6.26 billion, ahead of the $6.16 billion consensus estimate. Diluted EPS reached $2.66, up from $1.56 a year ago and well above the roughly $1.95 analyst forecast. Comparable-store sales increased 10%, supported by higher customer traffic. Ross Stores raises annual profit forecast again on discounted apparel demand
• Positive Sentiment: Guidance raised: Ross increased fiscal 2026 EPS guidance to $8.61-$8.77, substantially above the prior outlook and the cited $7.31 consensus estimate. Third-quarter EPS guidance of $1.75-$1.83 and fourth-quarter guidance of $2.17-$2.26 also exceed consensus expectations. Ross Stores Reports Strong Second Quarter Sales and Earnings Results
• Positive Sentiment: Expansion and customer momentum: The company opened 47 stores during the quarter and raised its fiscal-year opening plan to 115 locations. Management cited gains among both existing and new customers, reinforcing expectations that the off-price value proposition is attracting shoppers from mainstream retailers. Ross Posts 13% Sales Jump as Inflation Drives Shoppers to Off-Price Retailers
• Neutral Sentiment: Valuation remains a concern: BTIG reiterated a Hold rating, arguing that strong execution is already reflected in ROST’s premium valuation. Investors may therefore require continued earnings beats and guidance increases to support further upside. Analyst Reiterates Hold on Ross Stores
• Negative Sentiment: One-time benefit and insider selling: Results included approximately $253 million in tariff refunds, which may not recur. Separately, reported insider activity over the past six months consisted of sales rather than purchases, modestly tempering the otherwise bullish reaction.

Institutional Investors Weigh In On Ross Stores

A number of institutional investors have recently added to or reduced their stakes in the company. Virtus Advisers LLC purchased a new position in shares of Ross Stores in the 4th quarter worth approximately $32,000. Quarry LP lifted its holdings in Ross Stores by 1,124.0% during the fourth quarter. Quarry LP now owns 306 shares of the apparel retailer’s stock worth $55,000 after acquiring an additional 281 shares during the period. Kemnay Advisory Services Inc. purchased a new position in Ross Stores in the fourth quarter worth $60,000. Quattro Advisors LLC purchased a new position in Ross Stores in the fourth quarter worth $70,000. Finally, Johnson Financial Group Inc. grew its stake in Ross Stores by 189.1% in the 4th quarter. Johnson Financial Group Inc. now owns 396 shares of the apparel retailer’s stock valued at $71,000 after purchasing an additional 259 shares during the period. 86.86% of the stock is owned by institutional investors.

Ross Stores Company Profile

Ross Stores, Inc (NASDAQ: ROST) is an American off‑price retailer headquartered in Dublin, California, that operates the Ross Dress for Less and dd’s DISCOUNTS store formats. The company sells a broad assortment of apparel, footwear, home fashions, accessories and other soft goods, positioning itself as a value-oriented destination for brand‑name and fashion merchandise at reduced prices.

Ross’s business model centers on opportunistic buying of excess inventory, closeouts, cancelled orders and overstocks from manufacturers, department stores and other suppliers.