ROSS STORES INC (1ROST.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1ROST - US7782961038 - Common Stock
137.54 EUR
+137.54 (+Infinity%)
We assign a fundamental rating of 6 out of 10 to 1ROST. 1ROST was compared to 57 industry peers in the Specialty Retail industry. 1ROST has an excellent profitability rating, but there are some minor concerns on its financial health. While showing a medium growth rate, 1ROST is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
1ROST had positive earnings in the past year.
1ROST had a positive operating cash flow in the past year.
Each year in the past 5 years 1ROST has been profitable.
Each year in the past 5 years 1ROST had a positive operating cash flow.
1.2 Ratios
1ROST has a Return On Assets of 14.55%. This is amongst the best in the industry. 1ROST outperforms 92.59% of its industry peers.
With an excellent Return On Equity value of 37.34%, 1ROST belongs to the best of the industry, outperforming 96.30% of the companies in the same industry.
1ROST's Return On Invested Capital of 19.99% is amongst the best of the industry. 1ROST outperforms 92.59% of its industry peers.
1ROST had an Average Return On Invested Capital over the past 3 years of 17.29%. This is significantly above the industry average of 10.52%.
The last Return On Invested Capital (19.99%) for 1ROST is above the 3 year average (17.29%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 14.55% | ||
| ROE | 37.34% | ||
| ROIC | 19.99% |
ROA(3y)12.8%
ROA(5y)10.34%
ROE(3y)37.23%
ROE(5y)31.34%
ROIC(3y)17.29%
ROIC(5y)14.87%
1.3 Margins
1ROST's Profit Margin of 9.79% is amongst the best of the industry. 1ROST outperforms 92.59% of its industry peers.
1ROST's Profit Margin has been stable in the last couple of years.
1ROST has a Operating Margin of 12.24%. This is amongst the best in the industry. 1ROST outperforms 90.74% of its industry peers.
1ROST's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 27.78%, 1ROST is doing worse than 66.67% of the companies in the same industry.
In the last couple of years the Gross Margin of 1ROST has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.24% | ||
| PM (TTM) | 9.79% | ||
| GM | 27.78% |
OM growth 3Y-0.26%
OM growth 5Y-1.77%
PM growth 3Y2.8%
PM growth 5Y-0.91%
GM growth 3Y0.3%
GM growth 5Y-0.21%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), 1ROST is creating value.
The number of shares outstanding for 1ROST has been reduced compared to 1 year ago.
1ROST has less shares outstanding than it did 5 years ago.
1ROST has a better debt/assets ratio than last year.
2.2 Solvency
1ROST has a debt to FCF ratio of 0.94. This is a very positive value and a sign of high solvency as it would only need 0.94 years to pay back of all of its debts.
The Debt to FCF ratio of 1ROST (0.94) is better than 90.74% of its industry peers.
1ROST has a Debt/Equity ratio of 0.18. This is a healthy value indicating a solid balance between debt and equity.
1ROST's Debt to Equity ratio of 0.18 is amongst the best of the industry. 1ROST outperforms 85.19% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | 0.94 | ||
| Altman-Z | N/A |
ROIC/WACC2.08
WACC9.6%
2.3 Liquidity
A Current Ratio of 1.55 indicates that 1ROST should not have too much problems paying its short term obligations.
1ROST has a Current ratio of 1.55. This is in the better half of the industry: 1ROST outperforms 70.37% of its industry peers.
A Quick Ratio of 0.95 indicates that 1ROST may have some problems paying its short term obligations.
With a decent Quick ratio value of 0.95, 1ROST is doing good in the industry, outperforming 79.63% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.55 | ||
| Quick Ratio | 0.95 |
3. Growth
3.1 Past
1ROST shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.75%.
Measured over the past 5 years, 1ROST shows a small growth in Earnings Per Share. The EPS has been growing by 6.56% on average per year.
1ROST shows a small growth in Revenue. In the last year, the Revenue has grown by 2.49%.
The Revenue has been growing slightly by 5.67% on average over the past years.
EPS 1Y (TTM)6.75%
EPS 3Y9.15%
EPS 5Y6.56%
EPS Q2Q%0.68%
Revenue 1Y (TTM)2.49%
Revenue growth 3Y3.76%
Revenue growth 5Y5.67%
Sales Q2Q%2.61%
3.2 Future
The Earnings Per Share is expected to grow by 9.14% on average over the next years. This is quite good.
1ROST is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.53% yearly.
EPS Next Y3.6%
EPS Next 2Y5.85%
EPS Next 3Y6.63%
EPS Next 5Y9.14%
Revenue Next Year3.67%
Revenue Next 2Y4.22%
Revenue Next 3Y4.6%
Revenue Next 5Y5.53%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 24.65, which indicates a rather expensive current valuation of 1ROST.
68.52% of the companies in the same industry are more expensive than 1ROST, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 27.19. 1ROST is around the same levels.
The Price/Forward Earnings ratio is 22.02, which indicates a rather expensive current valuation of 1ROST.
Compared to the rest of the industry, the Price/Forward Earnings ratio of 1ROST is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 23.88. 1ROST is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.65 | ||
| Fwd PE | 22.02 |
4.2 Price Multiples
1ROST's Enterprise Value to EBITDA ratio is in line with the industry average.
The rest of the industry has a similar Price/Free Cash Flow ratio as 1ROST.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 31.92 | ||
| EV/EBITDA | 16.05 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of 1ROST may justify a higher PE ratio.
PEG (NY)6.85
PEG (5Y)3.76
EPS Next 2Y5.85%
EPS Next 3Y6.63%
5. Dividend
5.1 Amount
1ROST has a Yearly Dividend Yield of 1.17%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 1.32, 1ROST pays a bit more dividend than its industry peers.
1ROST's Dividend Yield is slightly below the S&P500 average, which is at 1.94.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.17% |
5.2 History
The dividend of 1ROST is nicely growing with an annual growth rate of 7.61%!
Dividend Growth(5Y)7.61%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
23.95% of the earnings are spent on dividend by 1ROST. This is a low number and sustainable payout ratio.
The dividend of 1ROST is growing, but earnings are growing more, so the dividend growth is sustainable.
DP23.95%
EPS Next 2Y5.85%
EPS Next 3Y6.63%
BIT:1ROST (5/20/2025, 7:00:00 PM)
137.54
+137.54 (+Infinity%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners94.25%
Inst Owner ChangeN/A
Ins Owners2.06%
Ins Owner ChangeN/A
Market Cap45.23B
Revenue(TTM)21.26B
Net Income(TTM)2.08B
Analysts80.71
Price TargetN/A
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.17% |
Yearly Dividend1.3
Dividend Growth(5Y)7.61%
DP23.95%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3%
Min EPS beat(2)0%
Max EPS beat(2)5.99%
EPS beat(4)4
Avg EPS beat(4)3.51%
Min EPS beat(4)0%
Max EPS beat(4)5.99%
EPS beat(8)8
Avg EPS beat(8)5.81%
EPS beat(12)12
Avg EPS beat(12)6.78%
EPS beat(16)15
Avg EPS beat(16)9.48%
Revenue beat(2)0
Avg Revenue beat(2)-2.18%
Min Revenue beat(2)-2.68%
Max Revenue beat(2)-1.68%
Revenue beat(4)0
Avg Revenue beat(4)-2.24%
Min Revenue beat(4)-3.38%
Max Revenue beat(4)-1.22%
Revenue beat(8)2
Avg Revenue beat(8)-0.93%
Revenue beat(12)3
Avg Revenue beat(12)-0.89%
Revenue beat(16)5
Avg Revenue beat(16)-0.6%
PT rev (1m)N/A
PT rev (3m)N/A
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)N/A
EPS NY rev (3m)N/A
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)N/A
Revenue NY rev (3m)N/A
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.65 | ||
| Fwd PE | 22.02 | ||
| P/S | 2.41 | ||
| P/FCF | 31.92 | ||
| P/OCF | 21.39 | ||
| P/B | 9.2 | ||
| P/tB | 9.2 | ||
| EV/EBITDA | 16.05 |
EPS(TTM)5.58
EY4.06%
EPS(NY)6.25
Fwd EY4.54%
FCF(TTM)4.31
FCFY3.13%
OCF(TTM)6.43
OCFY4.68%
SpS57.01
BVpS14.95
TBVpS14.95
PEG (NY)6.85
PEG (5Y)3.76
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 14.55% | ||
| ROE | 37.34% | ||
| ROCE | 26.36% | ||
| ROIC | 19.99% | ||
| ROICexc | 32.41% | ||
| ROICexgc | 32.41% | ||
| OM | 12.24% | ||
| PM (TTM) | 9.79% | ||
| GM | 27.78% | ||
| FCFM | 7.56% |
ROA(3y)12.8%
ROA(5y)10.34%
ROE(3y)37.23%
ROE(5y)31.34%
ROIC(3y)17.29%
ROIC(5y)14.87%
ROICexc(3y)32.61%
ROICexc(5y)29.08%
ROICexgc(3y)32.61%
ROICexgc(5y)29.08%
ROCE(3y)22.8%
ROCE(5y)19.61%
ROICexgc growth 3Y-3.26%
ROICexgc growth 5Y2.96%
ROICexc growth 3Y-3.26%
ROICexc growth 5Y2.96%
OM growth 3Y-0.26%
OM growth 5Y-1.77%
PM growth 3Y2.8%
PM growth 5Y-0.91%
GM growth 3Y0.3%
GM growth 5Y-0.21%
F-Score9
Asset Turnover1.49
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | 0.94 | ||
| Debt/EBITDA | 0.33 | ||
| Cap/Depr | 174.46% | ||
| Cap/Sales | 3.72% | ||
| Interest Coverage | 34.18 | ||
| Cash Conversion | 78.5% | ||
| Profit Quality | 77.16% | ||
| Current Ratio | 1.55 | ||
| Quick Ratio | 0.95 | ||
| Altman-Z | N/A |
F-Score9
WACC9.6%
ROIC/WACC2.08
Cap/Depr(3y)169.59%
Cap/Depr(5y)154.94%
Cap/Sales(3y)3.55%
Cap/Sales(5y)3.37%
Profit Quality(3y)80.07%
Profit Quality(5y)494.81%
High Growth Momentum
Growth
EPS 1Y (TTM)6.75%
EPS 3Y9.15%
EPS 5Y6.56%
EPS Q2Q%0.68%
EPS Next Y3.6%
EPS Next 2Y5.85%
EPS Next 3Y6.63%
EPS Next 5Y9.14%
Revenue 1Y (TTM)2.49%
Revenue growth 3Y3.76%
Revenue growth 5Y5.67%
Sales Q2Q%2.61%
Revenue Next Year3.67%
Revenue Next 2Y4.22%
Revenue Next 3Y4.6%
Revenue Next 5Y5.53%
EBIT growth 1Y6.47%
EBIT growth 3Y3.49%
EBIT growth 5Y3.8%
EBIT Next Year22.1%
EBIT Next 3Y10.73%
EBIT Next 5Y11.01%
FCF growth 1Y-11.11%
FCF growth 3Y11.5%
FCF growth 5Y0.26%
OCF growth 1Y-4.81%
OCF growth 3Y10.67%
OCF growth 5Y1.65%
ROSS STORES INC / 1ROST.MI FAQ
What is the ChartMill fundamental rating of ROSS STORES INC (1ROST.MI) stock?
ChartMill assigns a fundamental rating of 6 / 10 to 1ROST.MI.
What is the valuation status of ROSS STORES INC (1ROST.MI) stock?
ChartMill assigns a valuation rating of 3 / 10 to ROSS STORES INC (1ROST.MI). This can be considered as Overvalued.
Can you provide the profitability details for ROSS STORES INC?
ROSS STORES INC (1ROST.MI) has a profitability rating of 8 / 10.
Can you provide the PE and PB ratios for 1ROST stock?
The Price/Earnings (PE) ratio for ROSS STORES INC (1ROST.MI) is 24.65 and the Price/Book (PB) ratio is 9.2.
How financially healthy is ROSS STORES INC?
The financial health rating of ROSS STORES INC (1ROST.MI) is 6 / 10.