Ross Stores (NASDAQ:ROST) Cut to Hold at Zacks Research

Ross Stores (NASDAQ:ROST) was downgraded by investment analysts at Zacks Research from a “strong-buy” rating to a “hold” rating in a research report issued to clients and investors on Wednesday, Zacks reports.

Several other research firms have also issued reports on ROST. Wells Fargo & Company lifted their target price on Ross Stores from $245.00 to $248.00 and gave the company an “equal weight” rating in a research note on Friday, August 21st. Wolfe Research began coverage on shares of Ross Stores in a report on Wednesday, October 21st. They issued an “outperform” rating and a $279.00 target price for the company. Barclays increased their price target on shares of Ross Stores from $260.00 to $298.00 and gave the company an “overweight” rating in a research report on Friday, August 21st. Truist Financial raised their price target on shares of Ross Stores from $290.00 to $310.00 and gave the company a “buy” rating in a report on Friday, August 21st. Finally, Bank of America cut their price objective on shares of Ross Stores from $265.00 to $258.00 and set a “buy” rating on the stock in a research report on Tuesday, October 27th. One research analyst has rated the stock with a Strong Buy rating, fifteen have issued a Buy rating and four have assigned a Hold rating to the stock. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $272.06.

Ross Stores Stock Down 4.3%

Shares of NASDAQ ROST opened at $235.23 on Wednesday. Ross Stores has a 12-month low of $157.73 and a 12-month high of $257.00. The stock’s fifty day simple moving average is $230.87 and its two-hundred day simple moving average is $222.92. The stock has a market capitalization of $75.14 billion, a PE ratio of 28.48, a price-to-earnings-growth ratio of 2.19 and a beta of 0.85. The company has a current ratio of 1.61, a quick ratio of 0.98 and a debt-to-equity ratio of 0.12.

Ross Stores (NASDAQ:ROST) last released its quarterly earnings results on Thursday, August 20th. The apparel retailer reported $2.66 EPS for the quarter, topping the consensus estimate of $1.95 by $0.71. The firm had revenue of $6.26 billion during the quarter, compared to analyst estimates of $6.16 billion. Ross Stores had a return on equity of 39.29% and a net margin of 10.85%. The business’s revenue for the quarter was up 13.3% compared to the same quarter last year. During the same period in the previous year, the company posted $1.56 EPS. As a group, analysts expect that Ross Stores will post 8.15 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, insider Stephen C. Brinkley sold 6,424 shares of the company’s stock in a transaction dated Monday, September 14th. The stock was sold at an average price of $229.66, for a total transaction of $1,475,335.84. Following the transaction, the insider directly owned 51,665 shares of the company’s stock, valued at $11,865,383.90. This represents a 11.06% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. Also, CEO James Conroy sold 49,205 shares of the stock in a transaction dated Monday, September 14th. The shares were sold at an average price of $229.48, for a total value of $11,291,563.40. Following the completion of the sale, the chief executive officer owned 134,349 shares of the company’s stock, valued at approximately $30,830,408.52. This trade represents a 26.81% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 2.10% of the stock is owned by company insiders.

Institutional Trading of Ross Stores

Several large investors have recently bought and sold shares of the stock. BlackRock Inc. acquired a new stake in shares of Ross Stores during the second quarter worth about $5,938,711,000. State Street Corp raised its stake in shares of Ross Stores by 5.3% during the 2nd quarter. State Street Corp now owns 14,643,656 shares of the apparel retailer’s stock valued at $3,116,902,000 after buying an additional 734,009 shares during the last quarter. Bank of America Corp DE acquired a new position in shares of Ross Stores in the 2nd quarter valued at about $2,024,203,000. Primecap Management Co. CA acquired a new position in shares of Ross Stores in the 2nd quarter valued at about $1,937,995,000. Finally, Wellington Management Group LLP lifted its holdings in shares of Ross Stores by 89.2% in the 2nd quarter. Wellington Management Group LLP now owns 6,615,682 shares of the apparel retailer’s stock valued at $1,408,148,000 after buying an additional 3,118,591 shares during the period. Hedge funds and other institutional investors own 86.86% of the company’s stock.

Ross Stores Company Profile

Ross Stores, Inc is an off-price apparel and home fashion retailer headquartered in Dublin, California. The company operates primarily through its Ross Dress for Less stores, which offer branded and designer apparel, accessories, footwear, and home merchandise at discounts to regular department and specialty store prices.

Ross Stores also operates dd’s DISCOUNTS, a chain focused on value-oriented apparel, accessories, footwear, and home products. Both retail formats generally purchase merchandise opportunistically from manufacturers, department stores, and other suppliers, allowing the company to offer changing assortments and discounted prices.

Founded in 1950, Ross Stores serves customers across the United States through its store network and e-commerce presence.