ROST - Ross Stores' Store & Other Efforts Aid: Apt to Buy? | Benzinga
Ross Stores, Inc. (NASDAQ: ROST) seems well-poised for growth, thanks to its robust strategic efforts. The company has been gaining from positive customer response for its merchandise across both banners, which has been boosting the comparable-store sales (comps) performance for a while now. Its store expansion plans also bode well.
In first-quarter fiscal 2024, comps improved 3%, mostly attributed to higher customer traffic and a favorable reaction from shoppers toward the enhanced assortments across its stores. This led to a sales improvement of 8% year over year in the quarter. Additionally, earnings rose 33.9% year over year while the top and bottom lines surpassed the Zacks Consensus Estimate. This marked the fourth straight quarter of a top and bottom-line beat.
The company remains focused on continually increasing penetration in the existing as well as new markets. As of May 24, 2024, Ross Stores operated a total of 2,127 stores, comprising 1,775 Ross Dress for Less stores and 352 dd's DISCOUNTS locations. This reflects the company's continued expansion strategy. Notably, ROST inaugurated 11 Ross Dress for Less stores and seven dd's DISCOUNTS outlets through February and March, thus spreading its reach across 11 diverse states.
In the fiscal second quarter, the company expects to open 24 stores, including 21 Ross and three dd's locations. ...