ROSS STORES INC (RSO.DE) Fundamental Analysis & Valuation
FRA:RSO • US7782961038
Current stock price
191.42 EUR
+2.5 (+1.32%)
Last:
This RSO.DE fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. RSO.DE Profitability Analysis
1.1 Basic Checks
- RSO had positive earnings in the past year.
- In the past year RSO had a positive cash flow from operations.
- In the past 5 years RSO has always been profitable.
- RSO had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- RSO has a better Return On Assets (13.80%) than 92.86% of its industry peers.
- The Return On Equity of RSO (34.67%) is better than 87.50% of its industry peers.
- RSO's Return On Invested Capital of 19.10% is amongst the best of the industry. RSO outperforms 91.07% of its industry peers.
- RSO had an Average Return On Invested Capital over the past 3 years of 18.49%. This is significantly above the industry average of 9.31%.
- The last Return On Invested Capital (19.10%) for RSO is above the 3 year average (18.49%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.8% | ||
| ROE | 34.67% | ||
| ROIC | 19.1% |
ROA(3y)13.64%
ROA(5y)12.97%
ROE(3y)37.03%
ROE(5y)37.76%
ROIC(3y)18.49%
ROIC(5y)17.92%
1.3 Margins
- RSO's Profit Margin of 9.43% is amongst the best of the industry. RSO outperforms 92.86% of its industry peers.
- RSO's Profit Margin has improved in the last couple of years.
- RSO has a better Operating Margin (11.90%) than 91.07% of its industry peers.
- In the last couple of years the Operating Margin of RSO has grown nicely.
- Looking at the Gross Margin, with a value of 27.71%, RSO is doing worse than 62.50% of the companies in the same industry.
- In the last couple of years the Gross Margin of RSO has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.9% | ||
| PM (TTM) | 9.43% | ||
| GM | 27.71% |
OM growth 3Y3.79%
OM growth 5Y28.24%
PM growth 3Y5.25%
PM growth 5Y69.28%
GM growth 3Y2.93%
GM growth 5Y5.21%
2. RSO.DE Health Analysis
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so RSO is creating value.
- RSO has less shares outstanding than it did 1 year ago.
- RSO has less shares outstanding than it did 5 years ago.
- RSO has a better debt/assets ratio than last year.
2.2 Solvency
- RSO has an Altman-Z score of 7.30. This indicates that RSO is financially healthy and has little risk of bankruptcy at the moment.
- RSO's Altman-Z score of 7.30 is amongst the best of the industry. RSO outperforms 98.21% of its industry peers.
- RSO has a debt to FCF ratio of 0.69. This is a very positive value and a sign of high solvency as it would only need 0.69 years to pay back of all of its debts.
- RSO has a Debt to FCF ratio of 0.69. This is amongst the best in the industry. RSO outperforms 96.43% of its industry peers.
- A Debt/Equity ratio of 0.16 indicates that RSO is not too dependend on debt financing.
- RSO has a better Debt to Equity ratio (0.16) than 92.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 0.69 | ||
| Altman-Z | 7.3 |
ROIC/WACC2.18
WACC8.75%
2.3 Liquidity
- A Current Ratio of 1.58 indicates that RSO should not have too much problems paying its short term obligations.
- RSO's Current ratio of 1.58 is fine compared to the rest of the industry. RSO outperforms 69.64% of its industry peers.
- A Quick Ratio of 1.04 indicates that RSO should not have too much problems paying its short term obligations.
- The Quick ratio of RSO (1.04) is better than 78.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.58 | ||
| Quick Ratio | 1.04 |
3. RSO.DE Growth Analysis
3.1 Past
- RSO shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 4.59%.
- RSO shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 49.67% yearly.
- Looking at the last year, RSO shows a small growth in Revenue. The Revenue has grown by 7.67% in the last year.
- The Revenue has been growing by 12.67% on average over the past years. This is quite good.
EPS 1Y (TTM)4.59%
EPS 3Y15.14%
EPS 5Y49.67%
EPS Q2Q%11.73%
Revenue 1Y (TTM)7.67%
Revenue growth 3Y6.76%
Revenue growth 5Y12.67%
Sales Q2Q%12.23%
3.2 Future
- Based on estimates for the next years, RSO will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.24% on average per year.
- The Revenue is expected to grow by 6.21% on average over the next years.
EPS Next Y13.65%
EPS Next 2Y12.07%
EPS Next 3Y11.76%
EPS Next 5Y11.24%
Revenue Next Year7.97%
Revenue Next 2Y7.1%
Revenue Next 3Y6.88%
Revenue Next 5Y6.21%
3.3 Evolution
- Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. RSO.DE Valuation Analysis
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 33.88, RSO can be considered very expensive at the moment.
- RSO's Price/Earnings is on the same level as the industry average.
- The average S&P500 Price/Earnings ratio is at 27.42. RSO is valued slightly more expensive when compared to this.
- With a Price/Forward Earnings ratio of 29.80, RSO can be considered very expensive at the moment.
- RSO's Price/Forward Earnings ratio is in line with the industry average.
- RSO is valuated rather expensively when we compare the Price/Forward Earnings ratio to 22.24, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.88 | ||
| Fwd PE | 29.8 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, RSO is valued a bit more expensive than 64.29% of the companies in the same industry.
- RSO's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 32.67 | ||
| EV/EBITDA | 21.46 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- RSO has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)2.48
PEG (5Y)0.68
EPS Next 2Y12.07%
EPS Next 3Y11.76%
5. RSO.DE Dividend Analysis
5.1 Amount
- With a yearly dividend of 0.78%, RSO is not a good candidate for dividend investing.
- RSO's Dividend Yield is a higher than the industry average which is at 1.25.
- With a Dividend Yield of 0.78, RSO pays less dividend than the S&P500 average, which is at 1.81.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.78% |
5.2 History
- On average, the dividend of RSO grows each year by 41.69%, which is quite nice.
Dividend Growth(5Y)41.69%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- 24.62% of the earnings are spent on dividend by RSO. This is a low number and sustainable payout ratio.
- The dividend of RSO is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP24.62%
EPS Next 2Y12.07%
EPS Next 3Y11.76%
RSO.DE Fundamentals: All Metrics, Ratios and Statistics
FRA:RSO (4/17/2026, 7:00:00 PM)
191.42
+2.5 (+1.32%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)03-03 2026-03-03/amc
Earnings (Next)05-20 2026-05-20
Inst Owners93.68%
Inst Owner ChangeN/A
Ins Owners2.12%
Ins Owner ChangeN/A
Market Cap61.67B
Revenue(TTM)22.75B
Net Income(TTM)2.15B
Analysts82.4
Price Target199.18 (4.05%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.78% |
Yearly Dividend1.38
Dividend Growth(5Y)41.69%
DP24.62%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.54%
Min EPS beat(2)3.03%
Max EPS beat(2)10.06%
EPS beat(4)3
Avg EPS beat(4)3.18%
Min EPS beat(4)-0.39%
Max EPS beat(4)10.06%
EPS beat(8)7
Avg EPS beat(8)4.15%
EPS beat(12)11
Avg EPS beat(12)5.02%
EPS beat(16)14
Avg EPS beat(16)5.21%
Revenue beat(2)2
Avg Revenue beat(2)1.19%
Min Revenue beat(2)1.03%
Max Revenue beat(2)1.36%
Revenue beat(4)2
Avg Revenue beat(4)-0.51%
Min Revenue beat(4)-2.76%
Max Revenue beat(4)1.36%
Revenue beat(8)2
Avg Revenue beat(8)-1.35%
Revenue beat(12)4
Avg Revenue beat(12)-0.81%
Revenue beat(16)5
Avg Revenue beat(16)-1.09%
PT rev (1m)17.79%
PT rev (3m)34.4%
EPS NQ rev (1m)0%
EPS NQ rev (3m)3.87%
EPS NY rev (1m)2.18%
EPS NY rev (3m)3.4%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)4.95%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.95%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.88 | ||
| Fwd PE | 29.8 | ||
| P/S | 3.17 | ||
| P/FCF | 32.67 | ||
| P/OCF | 23.82 | ||
| P/B | 11.65 | ||
| P/tB | 11.65 | ||
| EV/EBITDA | 21.46 |
EPS(TTM)5.65
EY2.95%
EPS(NY)6.42
Fwd EY3.36%
FCF(TTM)5.86
FCFY3.06%
OCF(TTM)8.03
OCFY4.2%
SpS60.39
BVpS16.42
TBVpS16.42
PEG (NY)2.48
PEG (5Y)0.68
Graham Number45.6941 (-76.13%)
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.8% | ||
| ROE | 34.67% | ||
| ROCE | 25.25% | ||
| ROIC | 19.1% | ||
| ROICexc | 33.43% | ||
| ROICexgc | 33.43% | ||
| OM | 11.9% | ||
| PM (TTM) | 9.43% | ||
| GM | 27.71% | ||
| FCFM | 9.7% |
ROA(3y)13.64%
ROA(5y)12.97%
ROE(3y)37.03%
ROE(5y)37.76%
ROIC(3y)18.49%
ROIC(5y)17.92%
ROICexc(3y)34.07%
ROICexc(5y)34.04%
ROICexgc(3y)34.07%
ROICexgc(5y)34.04%
ROCE(3y)24.44%
ROCE(5y)23.68%
ROICexgc growth 3Y5.1%
ROICexgc growth 5Y32.22%
ROICexc growth 3Y5.1%
ROICexc growth 5Y32.22%
OM growth 3Y3.79%
OM growth 5Y28.24%
PM growth 3Y5.25%
PM growth 5Y69.28%
GM growth 3Y2.93%
GM growth 5Y5.21%
F-Score6
Asset Turnover1.46
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 0.69 | ||
| Debt/EBITDA | 0.32 | ||
| Cap/Depr | 160.83% | ||
| Cap/Sales | 3.6% | ||
| Interest Coverage | 48.54 | ||
| Cash Conversion | 94.1% | ||
| Profit Quality | 102.92% | ||
| Current Ratio | 1.58 | ||
| Quick Ratio | 1.04 | ||
| Altman-Z | 7.3 |
F-Score6
WACC8.75%
ROIC/WACC2.18
Cap/Depr(3y)167.96%
Cap/Depr(5y)164.85%
Cap/Sales(3y)3.58%
Cap/Sales(5y)3.44%
Profit Quality(3y)91.55%
Profit Quality(5y)82.33%
High Growth Momentum
Growth
EPS 1Y (TTM)4.59%
EPS 3Y15.14%
EPS 5Y49.67%
EPS Q2Q%11.73%
EPS Next Y13.65%
EPS Next 2Y12.07%
EPS Next 3Y11.76%
EPS Next 5Y11.24%
Revenue 1Y (TTM)7.67%
Revenue growth 3Y6.76%
Revenue growth 5Y12.67%
Sales Q2Q%12.23%
Revenue Next Year7.97%
Revenue Next 2Y7.1%
Revenue Next 3Y6.88%
Revenue Next 5Y6.21%
EBIT growth 1Y4.71%
EBIT growth 3Y10.81%
EBIT growth 5Y44.48%
EBIT Next Year35.37%
EBIT Next 3Y16.12%
EBIT Next 5Y11.61%
FCF growth 1Y34.87%
FCF growth 3Y28.71%
FCF growth 5Y3.7%
OCF growth 1Y28.42%
OCF growth 3Y21.46%
OCF growth 5Y6.15%
ROSS STORES INC / RSO.DE Fundamental Analysis FAQ
What is the fundamental rating for RSO stock?
ChartMill assigns a fundamental rating of 7 / 10 to RSO.DE.
What is the valuation status for RSO stock?
ChartMill assigns a valuation rating of 2 / 10 to ROSS STORES INC (RSO.DE). This can be considered as Overvalued.
How profitable is ROSS STORES INC (RSO.DE) stock?
ROSS STORES INC (RSO.DE) has a profitability rating of 9 / 10.
What is the financial health of ROSS STORES INC (RSO.DE) stock?
The financial health rating of ROSS STORES INC (RSO.DE) is 8 / 10.
Can you provide the dividend sustainability for RSO stock?
The dividend rating of ROSS STORES INC (RSO.DE) is 4 / 10 and the dividend payout ratio is 24.62%.