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Ross Stores ROST

Ross Stores scores good on business quality (6.5 of 10). Here is why, in plain words, and what our sealed record shows.

Last price$222.41Oct 9, 2026
Business qualityGood
Next earningsNov 18, 2026
Insiders, 90 daysSelling

Why it matters

  1. What Ross Stores does

    Ross Stores operates off-price apparel and home fashion retail chains, making money by selling name-brand merchandise at steep discounts to everyday shoppers. The company relies on opportunistic buying and a treasure-hunt store experience to drive foot traffic.

  2. What it does best

    Ross excels at opportunistic procurement, securing brand-name inventory at low costs thanks to its massive scale. With an ROE of 42.4%, it generates elite returns on equity compared to peers like Burlington at 39.8%. This buying edge is hard to copy because suppliers rely on Ross to clear excess stock quickly without disrupting full-price channels.

  3. The main risk

    Fuel, freight, and supplier cost inflation squeeze retail margins. If shipping and wholesale expenses rise faster than Ross can pass them to price-sensitive shoppers, operating income takes a direct hit.

Quality, check by check

Scored against its own industry, from company filings.

ProfitabilityFair

Operating margin of 12.7% and FCF of $2.8B demonstrate strong cash conversion. Profitability scales efficiently as store count and buying volume increase.

MoatFair

Scale provides buying power with brand manufacturers, locking in low wholesale costs that rivals struggle to match. Gross margin sits at 28.6%, reflecting this supply chain clout.

GrowthSteady

Revenue grew 7.7% to $24.5 billion, accelerating past historical annual figures. Expansion relies on consistent store openings across the domestic footprint.

Financial healthStrong

Net cash of $3.1 billion and interest coverage of 98x make debt costs a rounding error. Free cash flow reached $2.8B, getting stronger as operations scale.

Insiders

Executives and directors, from SEC Form 4 filings we read ourselves. Open market trades only; grants, option exercises and pre-planned sales left out.

2 sold $12.8M outside pre-planned sales.

Our sealed record on ROST

Verdicts appear here 30 days after we publish them; members see today's. Each one is in the nightly ledger, fingerprinted the night it was made.

The first sealed verdicts appear here on Oct 11, 2026.

Questions

Is ROST a good business?

Ross Stores scores good on the Cluenex quality check (6.5 of 10), measured against its own industry. Profitability is fair, moat fair, growth steady and financial health strong.

Are insiders buying ROST?

In the last 90 days of SEC Form 4 filings: 2 sold $12.8M outside pre-planned sales.

When does ROST report earnings?

Nov 18, 2026.

For members

See ROST today

  • Today's verdict on ROST, and why
  • Fair value with cautious, base and optimistic cases
  • The exact price that would change the verdict
  • Which stocks each signal names, the night it fires
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Cite this page: Cluenex, “Ross Stores (ROST)”, https://cluenex.com/stocks/rost/, data as of Oct 10, 2026.