- 2 Nasdaq 100 Stocks to Keep an Eye On and 1 We Question
May 12, 2026
While the Nasdaq 100 (^NDX) is filled with cutting-edge technology and consumer companies, not all are on solid footing. Some are dealing with declining demand, high costs, or regulatory pressures that could limit future upside.
Investing in Nasdaq 100 stocks isn’t just about picking big names - it’s about finding the right ones, and that’s where StockStory comes in. Keeping that in mind, here are two Nasdaq 100 stocks that have huge potential and one that may struggle.
One Stock to Sell:
Autodesk (ADSK)
Market Cap: $52.97 billion
Starting with AutoCAD in the 1980s and evolving into a comprehensive design ecosystem, Autodesk (NASDAQ:ADSK) provides software solutions for architecture, engineering, construction, manufacturing, and entertainment industries to design, simulate, and visualize projects.
Why Do We Think Twice About ADSK?
Sales trends were unexciting over the last five years as its 13.7% annual growth was below the typical software company Competitive market means the company must spend more on sales and marketing to stand out even if the return on investment is low Operating margin was unchanged over the last year, suggesting it failed to gain leverage on its fixed costs
Autodesk is trading at $248.20 per share, or 6.4x forward price-to-sales. Check out our free in-depth research report to learn more about why ADSK doesn’t pass our bar.
Two Stocks to Watch:
Ross Stores (ROST)
Market Cap: $72.32 billion
Selling excess inventory or overstocked items from other retailers, Ross Stores (NASDAQ:ROST) is an off-price concept that sells apparel and other goods at prices much lower than department stores.
Why Could ROST Be a Winner?
Same-store sales provide a solid foundation for the steady expansion of its stores Brick-and-mortar locations are witnessing elevated demand as their same-store sales growth averaged 3.6% over the past two years Market-beating returns on capital illustrate that management has a knack for investing in profitable ventures
Ross Stores’s stock price of $227.01 implies a valuation ratio of 31.1x forward P/E. Is now a good time to buy? See for yourself in our full research report, it’s free.
Diamondback Energy (FANG)
Market Cap: $53.58 billion
Sporting one of Wall Street's most memorable ticker symbols, Diamondback Energy (NASDAQ:FANG) drills for and produces oil and natural gas from underground rock formations in the Permian Basin of West Texas and New Mexico.
Why Is FANG a Good Business?
Impressive 42.8% annual revenue growth over the last ten years indicates it’s winning market share this cycle Attractive asset base leads to wonderful unit economics and a best-in-class gross margin of 79.7% Robust free cash flow margin of 37.1% gives it many options for capital deployment
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At $192.75 per share, Diamondback Energy trades at 9.9x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free.
Stocks We Like Even More
ONE MORE THING: Top 5 Growth Stocks. The biggest stock winners almost always had one thing in common before they ran. Revenue growing like crazy. Meta. CrowdStrike. Broadcom. Our AI flagged all three. They returned 315%, 314%, and 455%, respectively.
Find out which 5 stocks it's flagging for this month - FREE. Get Our Top 5 Growth Stocks for Free HERE.
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,326% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+351% five-year return). Find your next big winner with StockStory today.
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- Ross Stores (ROST) Gained from Tighter Consumer Budgets
May 12, 2026
Jensen Investment Management, an asset management company based in the US, released its first-quarter 2025 investor letter for the “Jensen Quality Mid Cap Fund”. A copy of the letter is available to download here. The Jensen Quality Mid Cap Fund aims for long-term growth. The Fund returned -2.53% in Q1 2026, lagging the 0.60% return for the MSCI US Mid Cap 450 Index. Mid-cap stocks were flat in the quarter due to inflation, war, high energy prices, and cautious consumer spending. Rapid AI investment growth impacted the Index, boosting some stocks but hurting others, especially software and business services stocks facing AI disruption concerns. Energy stocks surged after the Iran War, challenging performance. The fund's process focuses on high-quality companies with a 15%+ ROE for ten years, indicating sustained advantages. Quarterly performance benefited from underweights in the Financials and Communications Services and higher exposure to the Industrials sector, while underweight exposure in the Energy and Utilities sectors and overweight in Consumer Discretionary hurt performance. Please review the Fund’s top five holdings to gain insights into their key selections for 2026.
In its first-quarter 2026 investor letter, Jensen Quality Mid Cap Fund highlighted Ross Stores, Inc. (NASDAQ:ROST) as one of its leading contributors. Ross Stores, Inc. (NASDAQ:ROST) is a US-based off-price retail apparel and home fashion store operator. On May 11, 2026, Ross Stores, Inc. (NASDAQ:ROST) stock closed at $214.55 per share. One-month return of Ross Stores, Inc. (NASDAQ:ROST) was -3.91%, and its shares gained 43.68% over the past 52 weeks. Ross Stores, Inc. (NASDAQ:ROST) has a market capitalization of $69.39 billion.
Jensen Quality Mid Cap Fund stated the following regarding Ross Stores, Inc. (NASDAQ:ROST) in its Q1 2026 investor letter:
"Ross Stores, Inc. (NASDAQ:ROST) was the second largest contributor to Portfolio performance during the quarter. With a market share of approximately 30 percent, ROST is the second largest off-price retailer of apparel and home accessories in the U.S. Off-price retailers exploit manufacturing and purchasing inefficiencies between traditional retailers and their suppliers, enabling them to purchase inventory at low prices. Attractive purchase prices allow ROST to sell merchandise at significant discounts compared to traditional retailers. We believe ROST outperformed as it reported strong same store sales growth and better than expected earnings for the fourth quarter. In our opinion, ROST’s sales and earnings benefit from tighter consumer budgets, which are driving more value-seeking shoppers to the company’s stores. ROST remains a core Portfolio holding due to its solid market position, economies of scale versus smaller retailers, strong product sourcing capabilities, and the counter-cyclical nature of its off-price retail model."
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Ross Stores’ (ROST) Dividend Growth: A Key Highlight in Retail Dividend Stocks
Ross Stores, Inc. (NASDAQ:ROST) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 71 hedge fund portfolios held Ross Stores, Inc. (NASDAQ:ROST) at the end of the fourth quarter, up from 58 in the previous quarter. While we acknowledge the potential of Ross Stores, Inc. (NASDAQ:ROST) as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
In another article, we covered Ross Stores, Inc. (NASDAQ:ROST) and shared the list of stocks Jim Cramer discussed. In addition, please check out our hedge fund investor letters Q1 2026 page for more investor letters from hedge funds and other leading investors.
READ NEXT: 33 Stocks That Should Double in 3 Years and 15 Stocks That Will Make You Rich in 10 Years.
Disclosure: None. This article is originally published at Insider Monkey.
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- Rising Gas Costs Test Ross Stores Margins Before Back To School
May 12, 2026
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Ross Stores is facing pressure from higher gas prices and shifting consumer sentiment ahead of the key back to school season. Rising gasoline and freight costs are raising questions about margins and sales for the off price retailer. The timing before back to school shopping could influence how investors view the rest of the fiscal year for NasdaqGS:ROST.
For investors watching NasdaqGS:ROST, the latest concerns come with the stock trading around $214.55, following a gain of 17.4% year to date and 45.2% over the past year. Those figures sit alongside a decline of 5.1% over the past week and 3.0% over the past month, which may reflect some of the market's focus on near term consumer and cost pressures.
Rising fuel and freight expenses, paired with questions around discretionary spending, are putting extra attention on how Ross Stores executes during the upcoming back to school period. The way the company manages pricing, inventory and promotions around this season could shape investor expectations for the rest of the fiscal year.
Stay updated on the most important news stories for Ross Stores by adding it to your watchlist or portfolio. Alternatively, explore our Community to discover new perspectives on Ross Stores.NasdaqGS:ROST Earnings & Revenue Growth as at May 2026
We've flagged 1 risk for Ross Stores. See which could impact your investment.
Higher gas prices and softer consumer confidence matter for Ross Stores because they hit both sides of the equation: shoppers have less money left after filling the tank, and the company may face higher freight and distribution costs. For an off-price retailer that competes on low tickets, there is limited room to pass on every cost increase without testing customer sensitivity. At the same time, pressure on household budgets can push more shoppers from full-price retailers such as Macy’s or Kohl’s toward value-focused chains like Ross, TJX, and Burlington, especially in the back-to-school window when apparel and footwear spending is concentrated.
How This Fits Into The Ross Stores Narrative
The news puts extra focus on Ross Stores’ merchandising and supply-chain initiatives, which the narrative highlights as important for keeping margins resilient when freight and tariff costs are under pressure. Rising fuel and freight costs directly tie into the narrative risk that elevated distribution expenses can weigh on operating margins if vendor negotiations and pricing decisions do not fully offset them. The potential for weaker foot traffic from pressured low-income shoppers, and the lack of a strong e-commerce channel, are not fully reflected in the catalysts section, even though they could influence how store expansion and new-market entry perform in practice.
Story Continues
Knowing what a company is worth starts with understanding its story. Check out one of the top narratives in the Simply Wall St Community for Ross Stores to help decide what it's worth to you.
The Risks and Rewards Investors Should Consider
⚠️ Higher gasoline and freight costs can pressure margins if Ross Stores keeps price increases limited to protect its value message. ⚠️ Back-to-school spending could be more cautious if weaker consumer sentiment leads households to cut discretionary purchases or trade down further within categories. 🎁 Pressure on household budgets can encourage shoppers to switch from full-price retailers to off-price chains, which may affect Ross Stores’ traffic over time. 🎁 Existing merchandising and supply-chain investments, including access to closeout inventory, give Ross Stores tools to manage cost pressures while still offering branded products at discounts.
What To Watch Going Forward
From here, it is worth keeping an eye on any commentary in the upcoming earnings call about back-to-school trends, freight and fuel expenses, and how pricing and promotions are being adjusted. Watch for signs of changing customer mix, such as higher-income shoppers trading down or core low-income shoppers pulling back, and how that compares with peers like TJX and Burlington. Updates on new-store productivity and any tweaks to inventory levels or buying cadence will also help you judge whether Ross Stores is adjusting fast enough to higher logistics costs and softer sentiment ahead of the key seasonal period.
To ensure you're always in the loop on how the latest news impacts the investment narrative for Ross Stores, head to the community page for Ross Stores to never miss an update on the top community narratives.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include ROST.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com
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- Ross Stores (ROST) Declines More Than Market: Some Information for Investors
May 7, 2026
Ross Stores (ROST) closed at $224.48 in the latest trading session, marking a -1.94% move from the prior day. The stock's performance was behind the S&P 500's daily loss of 0.38%. Meanwhile, the Dow experienced a drop of 0.63%, and the technology-dominated Nasdaq saw a decrease of 0.13%.
Coming into today, shares of the discount retailer had gained 1.98% in the past month. In that same time, the Retail-Wholesale sector gained 11.17%, while the S&P 500 gained 11.41%.
The investment community will be closely monitoring the performance of Ross Stores in its forthcoming earnings report. It is anticipated that the company will report an EPS of $1.65, marking a 12.24% rise compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $5.53 billion, up 10.96% from the year-ago period.
For the full year, the Zacks Consensus Estimates are projecting earnings of $7.32 per share and revenue of $24.19 billion, which would represent changes of +10.74% and +6.34%, respectively, from the prior year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Ross Stores. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Ross Stores presently features a Zacks Rank of #2 (Buy).
In the context of valuation, Ross Stores is at present trading with a Forward P/E ratio of 31.28. This valuation marks a premium compared to its industry average Forward P/E of 28.11.
We can additionally observe that ROST currently boasts a PEG ratio of 3.12. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. ROST's industry had an average PEG ratio of 3.12 as of yesterday's close.
Story Continues
The Retail - Discount Stores industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 53, which puts it in the top 22% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Ross Stores, Inc. (ROST) : Free Stock Analysis Report
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- Ross Stores, Inc. Announces First Quarter 2026 Earnings Release and Conference Call
May 7, 2026
DUBLIN, Calif., May 7, 2026 /PRNewswire/ -- Ross Stores, Inc. (Nasdaq: ROST) plans to release its first quarter 2026 earnings results on Thursday, May 21, 2026 at approximately 4:00 p.m. Eastern time.
Participants may listen to a real-time audio webcast of the conference call on Thursday, May 21, 2026 at 4:15 p.m. Eastern time by visiting the Investors section of the Company's website located at www.rossstores.com.
A recorded version of the call will also be available at the website address, as well as via a telephone recording at 201-612-7415, Passcode #13760373, through 8:00 p.m. Eastern time on May 28, 2026.
About Ross Stores, Inc. Ross Stores, Inc. is an S&P 500, Fortune 500, and Nasdaq 100 (ROST) company headquartered in Dublin, California, with fiscal 2025 revenues of $22.8 billion. Currently, the Company operates Ross Dress for Less® ("Ross"), the largest off-price apparel and home fashion chain in the United States with 1,917 locations in 44 states, the District of Columbia, Guam, and Puerto Rico. Ross offers first-quality, in-season, brand name and designer apparel, accessories, footwear, and home fashions for the entire family at savings of 20% to 60% off department and specialty store regular prices every day. The Company also operates 365 dd's DISCOUNTS® stores in 23 states that feature a more moderately-priced assortment of first-quality, in-season apparel, accessories, footwear, and home fashions for the entire family at savings of 20% to 70% off moderate department and discount store regular prices every day. Additional information is available at www.rossstores.com.
Contact: Connie Kao Senior Vice President, Investor & Media Relations (925) 965-4668 connie.kao@ros.comCision
View original content:https://www.prnewswire.com/news-releases/ross-stores-inc-announces-first-quarter-2026-earnings-release-and-conference-call-302766184.html
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- Zacks.com featured highlights include Ross Stores, TE Connectivity, Broadcom, Corning and Arista Networks
May 6, 2026
For Immediate Release
Chicago, IL – May 6, 2026 – Stocks in this week’s article are Ross Stores, Inc. ROST, TE Connectivity plc TEL, Broadcom Inc. AVGO, Corning Inc. GLW and Arista Networks, Inc. ANET.
5 Stocks with High ROE to Buy as Markets Battle Intense Volatility
The broader equity markets witnessed intense volatility over the past few days as stalled negotiations for a U.S.-Iran peace deal and a fragile ceasefire between the two warring countries came under strain following reported drone and missile attacks by Iran on the UAE. This sent oil prices spiraling, fueling instability among investors.
A solid quarterly earnings performance by Apple spurred a sharp market rally to negate the losses to some extent. However, equity markets went downhill as President Trump scrapped plans to send a U.S. special envoy for peace talks in Pakistan. The continuation of the Iran blockade and restrictions in the Strait of Hormuz compounded the stock market misery, as oil prices went up steadily.
All these developments fueled intense volatility, with uncertainty being the order of the day. As investors employ a wait-and-see approach in a classic example of “backing and filling” in the market, they can benefit from “cash cow” stocks that garner higher returns. However, identifying cash-rich stocks alone does not make for a solid investment proposition unless it is backed by attractive efficiency ratios, such as return on equity (ROE).
A high ROE ensures that the company is reinvesting cash at a high rate of return. Ross Stores, Inc., TE Connectivity plc, Broadcom Inc., Corning Inc. and Arista Networks, Inc. are some of the stocks with high ROE to profit from.
Why ROE?
ROE = Net Income/Shareholders’ Equity
ROE helps investors distinguish profit-generating companies from profit burners and is useful in determining the financial health of a company. In other words, this financial metric enables investors to identify companies that diligently deploy cash for higher returns.
Moreover, ROE is often used to compare the profitability of a company with other firms in the industry; the higher, the better. It measures how well a company is multiplying its profits without investing new equity capital and portrays management’s efficiency in rewarding shareholders with attractive risk-adjusted returns.
Here are five of the 20 stocks that qualified the screening:
Ross: Based in Dublin, CA, Ross is an off-price retailer of apparel and home accessories, offering in-season, branded and designer apparel, footwear, accessories and other home-related merchandise. Operating primarily in the United States, it targets middle-income households, keeping prices at generally 20% to 60% below the regular prices of most department and specialty stores.
Story Continues
The company has a long-term earnings growth expectation of 10% and delivered a trailing four-quarter earnings surprise of 6.2%, on average. Ross carries a Zacks Rank #2 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
TE Connectivity: Based in Galway, Ireland, TE Connectivity is a global technology company that designs and manufactures connectivity and sensor solutions for a wide range of industries, including automotive, aerospace, defense, energy and medical. With operations in more than 130 countries, TE Connectivity focuses on emerging technologies such as 5G, electric vehicles, industrial automation and smart cities to position itself at the forefront of connectivity advancements.
The company has a long-term earnings growth expectation of 12.5%. It delivered a trailing four-quarter earnings surprise of 6%, on average. TE Connectivity carries a Zacks Rank #2.
Broadcom: Headquartered in San Jose, CA, Broadcom develops a broad range of semiconductor solutions for enterprise and data center networking, home connectivity, set-top boxes, broadband access, telecommunication equipment, smartphones and base stations, data center servers and storage systems, factory automation, power generation and alternative energy systems, and electronic displays.
The company has a long-term earnings growth expectation of 48.6%. It delivered a trailing four-quarter earnings surprise of 1.9%, on average. Broadcom currently carries a Zacks Rank #2.
Corning: New York-based Corning started out as a glass business that was reincorporated in 1936. The company has since developed its glass technologies to produce advanced glass substrates used in a wide range of applications across various markets. Corning’s competitive strength lies in its focus on innovation.
The company has a long-term earnings growth expectation of 22.1%. It delivered a trailing four-quarter earnings surprise of 2.4%, on average. Corning carries a Zacks Rank #2 at present.
Arista: Santa Clara, CA-based Arista is engaged in providing cloud networking solutions for data centers and cloud computing environments. The company holds a leadership position in 100-gigabit Ethernet switching for the high-speed datacenter segment. It is increasingly gaining market traction in 200- and 400-gig high-performance switching products and remains well-positioned for healthy growth in the data-driven cloud networking business with proactive platforms and predictive operations.
The company has a long-term earnings growth expectation of 17.9%. It delivered a trailing four-quarter earnings surprise of 9%, on average. Arista carries a Zacks Rank #2.
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Corning Incorporated (GLW) : Free Stock Analysis Report
Ross Stores, Inc. (ROST) : Free Stock Analysis Report
TE Connectivity Ltd. (TEL) : Free Stock Analysis Report
Broadcom Inc. (AVGO) : Free Stock Analysis Report
Arista Networks, Inc. (ANET) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
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- 3 Market-Beating Stocks with Exciting Potential
May 2, 2026
Stocks that outperform the market usually share key traits such as rising sales, expanding margins, and increasing returns on capital. The select few that can do all three for many years are often the ones that make you life-changing money.
Long story short, there is a near-perfect correlation between consistent earnings growth and huge winners. Keeping that in mind, here are three market-beating stocks with room for further growth.
Ross Stores (ROST)
Five-Year Return: +72.6%
Selling excess inventory or overstocked items from other retailers, Ross Stores (NASDAQ:ROST) is an off-price concept that sells apparel and other goods at prices much lower than department stores.
Why Are We Positive On ROST?
Same-store sales growth lends it the confidence to gradually expand its store base so it can reach more customers Same-store sales growth averaged 3.6% over the past two years, showing it’s bringing new and repeat shoppers into its stores Stellar returns on capital showcase management’s ability to surface highly profitable business ventures
Ross Stores’s stock price of $228.00 implies a valuation ratio of 30.6x forward P/E. Is now the time to initiate a position? See for yourself in our in-depth research report, it’s free.
First Solar (FSLR)
Five-Year Return: +166%
Headquartered in Arizona, First Solar (NASDAQ:FSLR) specializes in manufacturing solar panels and providing photovoltaic solar energy solutions.
Why Is FSLR a Good Business?
Impressive 23.3% annual revenue growth over the last two years indicates it’s winning market share this cycle Free cash flow profile has moved into positive territory over the last five years, indicating the company has passed a significant test Rising returns on capital show management is finding more attractive investment opportunities
At $201.88 per share, First Solar trades at 9.7x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free.
Cactus (WHD)
Five-Year Return: +77.8%
Named for the spiky wellhead equipment that reminded founders of desert cacti, Cactus (NYSE:WHD) manufactures wellheads, valves, and spoolable pipes used in drilling and producing oil and gas wells.
Why Do We Love WHD?
Impressive 24.1% annual revenue growth over the last nine years indicates it’s winning market share this cycle EBITDA profits and efficiency rose over the last five years as it benefited from some fixed cost leverage WHD is a free cash flow machine with the flexibility to invest in growth initiatives or return capital to shareholders
Cactus is trading at $55.72 per share, or 19.2x forward P/E. Is now the time to initiate a position? See for yourself in our comprehensive research report, it’s free.
Story Continues
High-Quality Stocks for All Market Conditions
WHILE YOU’RE HERE: Top 9 Market-Beating Stocks. The best stocks don't just beat the market once. They do it again. And again. Robust revenue growth, rising free cash flow, returns on capital that leave their competition in the dust. The market has already rewarded these businesses.
But our AI platform says the party isn't over. Find out which 9 stocks made the cut this week - FREE. Get Our Top 9 Market-Beating Stocks for Free HERE.
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,326% between June 2020 and June 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today.
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- Ross Stores (ROST) Laps the Stock Market: Here's Why
Apr 30, 2026
Ross Stores (ROST) ended the recent trading session at $227.79, demonstrating a +1.2% change from the preceding day's closing price. The stock's performance was ahead of the S&P 500's daily gain of 1.02%. Meanwhile, the Dow experienced a rise of 1.62%, and the technology-dominated Nasdaq saw an increase of 0.89%.
Coming into today, shares of the discount retailer had gained 2.33% in the past month. In that same time, the Retail-Wholesale sector gained 13.36%, while the S&P 500 gained 12.23%.
The investment community will be closely monitoring the performance of Ross Stores in its forthcoming earnings report. The company is expected to report EPS of $1.65, up 12.24% from the prior-year quarter. Simultaneously, our latest consensus estimate expects the revenue to be $5.53 billion, showing a 10.96% escalation compared to the year-ago quarter.
For the full year, the Zacks Consensus Estimates are projecting earnings of $7.32 per share and revenue of $24.19 billion, which would represent changes of +10.74% and +6.34%, respectively, from the prior year.
Any recent changes to analyst estimates for Ross Stores should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Ross Stores currently has a Zacks Rank of #3 (Hold).
Digging into valuation, Ross Stores currently has a Forward P/E ratio of 30.75. This expresses a premium compared to the average Forward P/E of 28.09 of its industry.
We can additionally observe that ROST currently boasts a PEG ratio of 3.07. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As of the close of trade yesterday, the Retail - Discount Stores industry held an average PEG ratio of 3.07.
The Retail - Discount Stores industry is part of the Retail-Wholesale sector. With its current Zacks Industry Rank of 94, this industry ranks in the top 39% of all industries, numbering over 250.
Story Continues
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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Ross Stores, Inc. (ROST) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
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- How The Ross Stores (ROST) Narrative Is Shifting After Q4 Beat And Higher Price Targets
Apr 28, 2026
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Price targets for Ross Stores have been lifted into a range of roughly US$226 to US$248 per share, even as one fair value model holds at US$229.81 per share. Analysts tying these higher targets to a "healthy" Q4 earnings beat, broad based strength in merchandising, marketing and store operations, and an expanding off price opportunity are helping shape a more optimistic tone around the stock. As you read on, you will see how to interpret these shifting views and what to watch as the narrative evolves.
Analyst Price Targets don't always capture the full story. Head over to our Company Report to find new ways to value Ross Stores.
What Wall Street Has Been Saying
🐂 Bullish Takeaways
Multiple firms, including JPMorgan, Barclays, Citi, Wells Fargo, Goldman Sachs and Evercore ISI, recently raised Ross Stores price targets into a band around US$226 to US$248, reflecting increased confidence in the story after Q4. Goldman Sachs, Telsey Advisory and Citi highlight broad based strength in marketing, merchandising and store operations, with Goldman pointing to transaction driven growth, stronger merchandise margins and improving new store productivity. Telsey and JPMorgan point to an expanding off price and total addressable market opportunity, with Telsey citing value seeking consumers and JPMorgan referring to what it calls a gross margin inflection. Several firms, including Wells Fargo, Guggenheim and Barclays, reference what they describe as a clean or strong Q4 beat and a strong start to 2026, alongside Ross guidance for Q1 comparable sales in the 7% to 8% range.
🐻 Bearish Takeaways
UBS and Bernstein keep more cautious stances with Neutral or Market Perform ratings, with UBS describing a balanced risk skew into Q4 and Bernstein viewing another off price peer as higher quality and more consistent. Telsey, even while upgrading to Outperform later, previously highlighted pressure on Ross core lower income customer, pointing to some constraints on near term visibility despite value focused traffic.
Do your thoughts align with the Bull or Bear Analysts? Perhaps you think there's more to the story. Head to the Simply Wall St Community to discover more perspectives!NasdaqGS:ROST 1-Year Stock Price Chart
We've flagged 1 risk for Ross Stores. See which could impact your investment.
What's in the News
Ross Stores opened 17 new locations across 11 states during February and March, including 13 Ross Dress for Less and four dd's DISCOUNTS stores, as part of a fiscal 2026 plan to add about 110 new stores and target 5% unit growth. Each opening was tied to donations to local youth focused nonprofits. The Board of Directors authorized a new share repurchase program of up to US$2.55b on March 3, 2026. The program is expected to run through fiscal 2027. Between November 2, 2025 and January 31, 2026, Ross Stores repurchased 1,500,000 shares for US$262m, completing a total of 14,417,157 shares bought for US$2,098.67m under the March 5, 2024 authorization. For the 13 weeks ending May 2, 2026, the company guided to comparable store sales growth of 7% to 8% and earnings per share of US$1.60 to US$1.67. The company also provided fiscal 2026 same store sales growth guidance of 3% to 4% and earnings per share of US$7.02 to US$7.36. The Board approved a 10% increase in the quarterly dividend to US$0.445 per share.
Story Continues
How This Changes the Fair Value For Ross Stores
Fair value in the model is unchanged at US$229.81 per share, with no revision to the central estimate. Assumed long term revenue growth remains effectively stable at 6.57%, with only an immaterial numerical adjustment. The net profit margin input stays essentially unchanged at about 9.95%. The future P/E multiple in the model moves slightly higher from 32.87x to 33.02x. The discount rate in the model rises slightly from 8.37% to 8.54%.
Never Miss an Update: Follow The Narrative
Narratives connect Ross Stores' business story, its key drivers and its risks to a structured forecast and fair value framework. They refresh as new earnings, guidance and news come through, so you always see the latest version of the thesis.
Head over to the Simply Wall St Community and follow the Narrative on Ross Stores to stay up to date on:
How expansion into underpenetrated regions such as the New York Metro area and Puerto Rico, along with ongoing store openings, is shaping Ross Stores store footprint and revenue potential. How merchandising, supply chain investments and access to branded closeout inventory are influencing gross margin resilience and the overall value proposition to shoppers. Key pressures, including tariffs, distribution costs, limited pricing power, heavy reliance on brick and mortar and access to closeout inventory, that could challenge profitability and growth over time.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include ROST.
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- 1 Consumer Stock with Promising Prospects and 2 We Ignore
Apr 27, 2026
Retailers are overhauling their operations as technology redefines the shopping experience. But many seem to be moving too slowly as their demand is lagging, causing the industry to underperform the market - over the past six months, retail stocks have shed 3.4%. This drawdown was disheartening since the S&P 500 gained 3.4%.
Despite the lackluster result, a few diamonds in the rough can produce earnings growth no matter what, and we started StockStory to help you find them. Keeping that in mind, here is one resilient consumer stock at the top of our shopping list and two best left ignored.
Two Consumer Retail Stocks to Sell:
Victoria's Secret (VSCO)
Market Cap: $4.25 billion
Spun off from L Brands in 2020, Victoria’s Secret (NYSE:VSCO) is an intimate clothing and beauty retailer that sells its own brands of lingerie, undergarments, and personal fragrances.
Why Does VSCO Worry Us?
Sales trends were unexciting over the last three years as its 1.1% annual growth was below the typical consumer retail company Responsiveness to unforeseen market trends is restricted due to its substandard operating margin profitability Performance over the past three years shows its incremental sales were much less profitable, as its earnings per share fell by 16.2% annually
Victoria's Secret is trading at $52.90 per share, or 15x forward P/E. If you’re considering VSCO for your portfolio, see our FREE research report to learn more.
Macy's (M)
Market Cap: $5.30 billion
With a storied history that began with its 1858 founding, Macy’s (NYSE:M) is a department store chain that sells clothing, cosmetics, accessories, and home goods.
Why Do We Steer Clear of M?
Recent store closures and weak same-store sales point to soft demand and an operational restructuring Disappointing same-store sales over the past two years show customers aren’t responding well to its product selection and store experience Earnings per share have dipped by 20.7% annually over the past three years, which is concerning because stock prices follow EPS over the long term
At $20.09 per share, Macy's trades at 9.6x forward P/E. Read our free research report to see why you should think twice about including M in your portfolio, it’s free.
One Consumer Retail Stock to Watch:
Ross Stores (ROST)
Market Cap: $72.92 billion
Selling excess inventory or overstocked items from other retailers, Ross Stores (NASDAQ:ROST) is an off-price concept that sells apparel and other goods at prices much lower than department stores.
Why Are We Fans of ROST?
Same-store sales growth lends it the confidence to gradually expand its store base so it can reach more customers Comparable store sales rose by 3.6% on average over the past two years, demonstrating its ability to drive increased spending at existing locations Stellar returns on capital showcase management’s ability to surface highly profitable business ventures
Story Continues
Ross Stores’s stock price of $226.50 implies a valuation ratio of 30.9x forward P/E. Is now a good time to buy? Find out in our full research report, it’s free.
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Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,326% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Tecnoglass (+1,754% five-year return). Find your next big winner with StockStory today.
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