Ross Stores (NASDAQ:ROST) Stock Bumped Down to “Hold” by Zacks Research

Zacks Research downgraded shares of Ross Stores (NASDAQ:ROST) from a strong-buy rating to a hold rating in a research report sent to investors on Wednesday morning,Zacks reports.

A number of other analysts also recently weighed in on ROST. Citigroup increased their price target on shares of Ross Stores from $270.00 to $290.00 and gave the company a “buy” rating in a research report on Friday, August 21st. JPMorgan Chase & Co. boosted their price objective on shares of Ross Stores from $262.00 to $272.00 and gave the company an “overweight” rating in a report on Friday, August 21st. Deutsche Bank Aktiengesellschaft reaffirmed a “buy” rating and issued a $294.00 target price on shares of Ross Stores in a research note on Friday, August 21st. Wolfe Research initiated coverage on shares of Ross Stores in a research note on Wednesday, October 21st. They issued an “outperform” rating and a $279.00 target price for the company. Finally, Telsey Advisory Group increased their target price on shares of Ross Stores from $265.00 to $280.00 and gave the stock an “outperform” rating in a report on Friday, August 14th. One research analyst has rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating and four have issued a Hold rating to the company. According to MarketBeat.com, Ross Stores presently has an average rating of “Moderate Buy” and a consensus price target of $272.06.

Ross Stores Trading Down 4.3%

ROST opened at $235.23 on Wednesday. The firm has a 50 day simple moving average of $230.87 and a 200 day simple moving average of $222.92. Ross Stores has a fifty-two week low of $157.73 and a fifty-two week high of $257.00. The company has a market cap of $75.14 billion, a price-to-earnings ratio of 28.48, a price-to-earnings-growth ratio of 2.19 and a beta of 0.85. The company has a debt-to-equity ratio of 0.12, a current ratio of 1.61 and a quick ratio of 0.98.

Ross Stores (NASDAQ:ROST) last announced its quarterly earnings data on Thursday, August 20th. The apparel retailer reported $2.66 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.95 by $0.71. Ross Stores had a net margin of 10.85% and a return on equity of 39.29%. The firm had revenue of $6.26 billion for the quarter, compared to analysts’ expectations of $6.16 billion. During the same period last year, the firm earned $1.56 earnings per share. The business’s revenue for the quarter was up 13.3% on a year-over-year basis. On average, sell-side analysts anticipate that Ross Stores will post 8.15 earnings per share for the current year.

Ross Stores Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Wednesday, September 30th. Shareholders of record on Tuesday, September 8th were paid a $0.4450 dividend. This represents a $1.78 dividend on an annualized basis and a yield of 0.8%. The ex-dividend date of this dividend was Tuesday, September 8th. Ross Stores’s payout ratio is presently 21.55%.

Insider Activity

In other Ross Stores news, insider Stephen Brinkley sold 6,424 shares of the stock in a transaction dated Monday, September 14th. The stock was sold at an average price of $229.66, for a total value of $1,475,335.84. Following the completion of the sale, the insider directly owned 51,665 shares in the company, valued at $11,865,383.90. This represents a 11.06% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO James Conroy sold 49,205 shares of the firm’s stock in a transaction dated Monday, September 14th. The stock was sold at an average price of $229.48, for a total value of $11,291,563.40. Following the sale, the chief executive officer directly owned 134,349 shares in the company, valued at approximately $30,830,408.52. This represents a 26.81% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 2.10% of the stock is owned by corporate insiders.

Institutional Trading of Ross Stores

Several hedge funds have recently bought and sold shares of ROST. BlackRock Inc. bought a new stake in Ross Stores in the 2nd quarter valued at about $5,938,711,000. State Street Corp grew its position 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 worth $3,116,902,000 after purchasing an additional 734,009 shares in the last quarter. Bank of America Corp DE bought a new position in shares of Ross Stores during the second quarter worth approximately $2,024,203,000. Primecap Management Co. CA bought a new position in shares of Ross Stores during the second quarter worth approximately $1,937,995,000. Finally, Wellington Management Group LLP increased its holdings in shares of Ross Stores by 89.2% during the second quarter. Wellington Management Group LLP now owns 6,615,682 shares of the apparel retailer’s stock worth $1,408,148,000 after purchasing an additional 3,118,591 shares during the period. 86.86% of the stock is currently owned by institutional investors and hedge funds.

About Ross Stores

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.