Ross Stores (NASDAQ:ROST) Shares Gap Down on Analyst Downgrade

Shares of Ross Stores, Inc. (NASDAQ:ROST - Get Free Report) gapped down before the market opened on Friday after Wells Fargo & Company lowered their price target on the stock from $155.00 to $150.00. The stock had previously closed at $152.25, but opened at $134.60. Wells Fargo & Company currently has an overweight rating on the stock. Ross Stores shares last traded at $131.07, with a volume of 4,295,296 shares.

Several other equities research analysts also recently commented on ROST. Evercore ISI lowered their price objective on shares of Ross Stores from $170.00 to $160.00 and set an "outperform" rating for the company in a research note on Friday. Robert W. Baird lowered their price target on Ross Stores from $175.00 to $160.00 and set an "outperform" rating for the company in a research report on Wednesday, March 5th. BMO Capital Markets cut their price objective on Ross Stores from $168.00 to $156.00 and set an "outperform" rating on the stock in a report on Wednesday, March 5th. Wall Street Zen cut Ross Stores from a "buy" rating to a "hold" rating in a research note on Wednesday, May 21st. Finally, Barclays dropped their target price on Ross Stores from $157.00 to $156.00 and set an "overweight" rating on the stock in a research report on Friday. Five equities research analysts have rated the stock with a hold rating, eleven have assigned a buy rating and one has given a strong buy rating to the company. According to data from MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus target price of $158.67.

Insider Transactions at Ross Stores

In related news, CMO Karen Sykes sold 5,036 shares of the company's stock in a transaction dated Wednesday, April 2nd. The stock was sold at an average price of $130.48, for a total value of $657,097.28. Following the completion of the transaction, the chief marketing officer now owns 110,365 shares of the company's stock, valued at approximately $14,400,425.20. This represents a 4.36% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Chairman Michael Balmuth sold 11,261 shares of the stock in a transaction that occurred on Wednesday, April 2nd. The stock was sold at an average price of $131.60, for a total value of $1,481,947.60. Following the transaction, the chairman now owns 59,790 shares in the company, valued at $7,868,364. This represents a 15.85% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 34,398 shares of company stock valued at $4,439,950 in the last 90 days. 2.20% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Ross Stores

Institutional investors have recently added to or reduced their stakes in the stock. Larson Financial Group LLC lifted its holdings in Ross Stores by 152.9% during the fourth quarter. Larson Financial Group LLC now owns 177 shares of the apparel retailer's stock valued at $27,000 after purchasing an additional 107 shares in the last quarter. BOK Financial Private Wealth Inc. acquired a new position in shares of Ross Stores during the 4th quarter worth about $31,000. Golden State Wealth Management LLC lifted its stake in Ross Stores by 50.7% in the 1st quarter. Golden State Wealth Management LLC now owns 217 shares of the apparel retailer's stock valued at $28,000 after buying an additional 73 shares in the last quarter. Bayforest Capital Ltd boosted its holdings in Ross Stores by 372.5% in the 1st quarter. Bayforest Capital Ltd now owns 241 shares of the apparel retailer's stock worth $31,000 after buying an additional 190 shares during the last quarter. Finally, Banque Transatlantique SA acquired a new stake in Ross Stores in the 1st quarter worth about $29,000. Institutional investors and hedge funds own 86.86% of the company's stock.

Ross Stores Trading Down 9.8%

The company has a 50 day simple moving average of $138.19 and a 200 day simple moving average of $142.98. The company has a market capitalization of $45.13 billion, a PE ratio of 21.62, a price-to-earnings-growth ratio of 2.13 and a beta of 1.17. The company has a debt-to-equity ratio of 0.29, a quick ratio of 0.98 and a current ratio of 1.57.

Ross Stores (NASDAQ:ROST - Get Free Report) last issued its quarterly earnings results on Thursday, May 22nd. The apparel retailer reported $1.47 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.44 by $0.03. Ross Stores had a return on equity of 41.83% and a net margin of 9.95%. The firm had revenue of $4.98 billion for the quarter, compared to analyst estimates of $4.94 billion. During the same period in the previous year, the company posted $1.46 earnings per share. The business's revenue was up 2.6% on a year-over-year basis. Analysts anticipate that Ross Stores, Inc. will post 6.17 earnings per share for the current year.

Ross Stores Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Monday, June 30th. Stockholders of record on Tuesday, June 10th will be issued a dividend of $0.405 per share. This represents a $1.62 dividend on an annualized basis and a dividend yield of 1.18%. The ex-dividend date of this dividend is Tuesday, June 10th. Ross Stores's payout ratio is 25.59%.

Ross Stores Company Profile

Ross Stores, Inc, together with its subsidiaries, operates off-price retail apparel and home fashion stores under the Ross Dress for Less and dd's DISCOUNTS brand names in the United States. Its stores primarily offer apparel, accessories, footwear, and home fashions. The company's Ross Dress for Less stores sell its products at department and specialty stores to middle income households; and dd's DISCOUNTS stores sell its products at department and discount stores for households with moderate income.