Consumer Discretionary · Apparel Retail · US stock · price as of 16 Oct 2026
Key indicators
Price
$236.89
52-week range
$153.41 – $256.50
Market cap
$75.7B
P/E (trailing)
28.7×
EV / EBITDA
18.5×
Free-cash-flow yield
3.7%
Dividend yield
0.7%
Revenue (last 12 months)
$24.5B
Revenue growth (3y a year)
6.8%
Operating margin
13.7%
Return on invested capital
73.7%
Net debt / EBITDA
-0.8×
Fair value
Blended fair value$249.79 range $237 – $264
Versus priceFair+5% to fair value
Peer multiples
$191.99
Fundamentals-adjusted multiple
$263.72
10-year DCF (market-scaled)
$293.66
Earnings power value (floor, not blended)
$82.92
Model uncertainty
Medium
X-Ray Score
56/ 100 · High confidence · ahead of 72% of sector peers
Valuation32
Growth63
Profitability66
Financial health72
Dividends48
Five-year price chart navy: price · brown: 200-day average · blue band: fair value range
Executive summary
Ross Stores operates off-price retail chains offering brand-name and designer clothing, shoes, accessories and home goods at discounts to regular department store prices. Its buyers purchase excess and closeout inventory from manufacturers and other retailers, and the products are sold in stores across the United States. Revenue comes from in-store sales, and the model depends on a steady flow of discounted merchandise and tight control of costs.
The company reported revenue of $24.5 billion for the last twelve months. Revenue growth over three years averaged 6.8% a year. Operating margin is 13.7% and return on invested capital is 74%. With net debt to EBITDA at negative 0.8 times, cash exceeds debt. It pays a dividend with a yield of 0.7%.
StocksXray gives Ross Stores, Inc. an X-Ray Score of 56 out of 100 (high confidence), ahead of 72% of the S&P 500 stocks in its sector. Its strongest lens is financial health (72) and its weakest is valuation (32).
Our fair value blend is $249.79 (range $237.20 to $264.25). At $236.89 the stock trades 5% below that blend, so the label is "Fair" with medium model uncertainty. Fair value is a range, not a price target.
XStocksXray
Ross Stores, Inc. (ROST)
Valuation history multiples at each fiscal year-end price; the last column uses today's price and the last twelve months
FY2022
FY2023
FY2024
FY2025
FY2026
Now
Price
$90.91
$114.95
$139.87
$148.02
$187.52
$236.89
Market cap
$32.2B
$39.7B
$47.2B
$49.0B
$60.8B
$75.7B
P/E
18.7×
26.2×
25.2×
23.4×
28.4×
28.7×
EV / revenue
1.6×
2.0×
2.2×
2.2×
2.5×
3.0×
EV / EBITDA
11.3×
15.8×
16.4×
15.3×
18.0×
18.5×
Price / free cash flow
27.2×
38.3×
26.9×
29.9×
27.6×
27.1×
Free-cash-flow yield
3.7%
2.6%
3.7%
3.3%
3.6%
3.7%
Price / book
7.9×
9.3×
9.7×
8.9×
9.8×
11.2×
Dividend yield
1.25%
1.08%
0.96%
0.99%
0.86%
0.73%
Fundamentals checklist ● 7 Good · ● 6 Average · ● 3 Bad · each check graded against the sector
Cash quality
Earnings backed by cash−6.3%Average
Free-cash-flow yield3.7%Bad
Risk models
Altman Z score4.5×Good
Piotroski F-Score6 of 9Average
Growth
EPS growth (3y)14.7%Good
Free-cash-flow growth (3y)28.7%Good
Revenue growth (3y)6.8%Average
Growth consistency90%Average
Balance sheet
Current ratio1.6×Good
Net debt / EBITDA-0.8×Good
Interest coverno interest costGood
Valuation
Fair value vs price1.1×Bad
EBIT / EV yield4.7%Bad
Profitability
Return on invested capital73.7%Good
Operating margin13.7%Average
Gross profitability45.5%Average
XStocksXray
Ross Stores, Inc. (ROST)
Financials US$ millions, from SEC filings; last column is the last twelve months
Income statement
FY22
FY23
FY24
FY25
FY26
LTM
Revenue
18,916
18,696
20,377
21,129
22,751
24,512
Gross profit
5,207
4,750
5,575
5,869
6,303
7,272
Operating income
2,259
1,990
2,308
2,586
2,707
3,370
Net income
1,723
1,512
1,875
2,091
2,145
2,659
Diluted EPS ($)
4.87
4.38
5.56
6.32
6.61
8.26
Free cash flow
1,181
1,035
1,752
1,637
2,208
2,790
Gross margin
27.5%
25.4%
27.4%
27.8%
27.7%
29.7%
Operating margin
11.9%
10.6%
11.3%
12.2%
11.9%
13.7%
Net margin
9.1%
8.1%
9.2%
9.9%
9.4%
10.8%
Balance sheet
FY22
FY23
FY24
FY25
FY26
LTM
Total assets
13,640
13,416
14,300
14,905
15,549
15,982
Cash
4,922
4,552
4,872
4,731
4,594
4,288
Total debt
2,452
2,457
2,461
2,215
1,518
1,019
Equity
4,060
4,289
4,871
5,509
6,187
6,743
Dividend per share ($)
1.14
1.24
1.34
1.47
1.62
–
Revenue and net income US$ billions: navy revenue, teal net income
Every number comes from SEC filings, end-of-day prices and the StocksXray models described on the methodology page. The X-Ray Score ranks each metric against the company's own sector. Fair value blends three models and carries a typical error of about 40%, so treat it as a range. Analyst ratings, price targets and earnings-call summaries are not part of this report. Educational research, not financial advice; read the disclaimer.