Ross Stores (NASDAQ:ROST) Given New $159.00 Price Target at Morgan Stanley

Ross Stores (NASDAQ:ROST) had its target price trimmed by Morgan Stanley from $161.00 to $159.00 in a research report released on Monday, Benzinga reports. The firm currently has an overweight rating on the apparel retailer’s stock.

ROST has been the subject of several other research reports. JPMorgan Chase & Co. increased their target price on Ross Stores from $150.00 to $163.00 and gave the company an overweight rating in a research note on Wednesday, March 6th. UBS Group upped their target price on shares of Ross Stores from $142.00 to $145.00 and gave the company a neutral rating in a research note on Wednesday, March 6th. Loop Capital increased their price target on shares of Ross Stores from $150.00 to $170.00 and gave the company a buy rating in a report on Wednesday, March 6th. Telsey Advisory Group boosted their price objective on shares of Ross Stores from $135.00 to $160.00 and gave the stock a market perform rating in a report on Wednesday, March 6th. Finally, The Goldman Sachs Group boosted their price objective on Ross Stores from $143.00 to $163.00 and gave the company a buy rating in a research report on Wednesday, March 6th. Four analysts have rated the stock with a hold rating and fifteen have issued a buy rating to the company’s stock. Based on data from MarketBeat, the company has a consensus rating of Moderate Buy and a consensus target price of $155.11.

Ross Stores Price Performance

Shares of NASDAQ:ROST opened at $132.48 on Monday. The company has a debt-to-equity ratio of 0.45, a current ratio of 1.77 and a quick ratio of 1.24. The stock has a market capitalization of $44.61 billion, a P/E ratio of 23.83, a P/E/G ratio of 1.86 and a beta of 1.06. The business has a 50-day moving average of $140.85 and a two-hundred day moving average of $136.18. Ross Stores has a fifty-two week low of $99.00 and a fifty-two week high of $151.12.

Ross Stores (NASDAQ:ROST) last announced its earnings results on Tuesday, March 5th. The apparel retailer reported $1.82 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.63 by $0.19. Ross Stores had a return on equity of 41.15% and a net margin of 9.20%. The firm had revenue of $6.02 billion during the quarter, compared to analysts’ expectations of $5.81 billion. During the same quarter in the prior year, the business earned $1.31 earnings per share. The company’s revenue was up 15.5% on a year-over-year basis. On average, equities research analysts predict that Ross Stores will post 5.89 EPS for the current fiscal year.

Ross Stores declared that its board has initiated a share repurchase plan on Tuesday, March 5th that allows the company to buyback $2.10 billion in outstanding shares. This buyback authorization allows the apparel retailer to repurchase up to 4.3% of its stock through open market purchases. Stock buyback plans are generally an indication that the company’s management believes its stock is undervalued.

Ross Stores Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, March 29th. Stockholders of record on Friday, March 15th were given a dividend of $0.3675 per share. The ex-dividend date of this dividend was Thursday, March 14th. This represents a $1.47 dividend on an annualized basis and a dividend yield of 1.11%. This is an increase from Ross Stores’s previous quarterly dividend of $0.34. Ross Stores’s payout ratio is presently 26.44%.

Insider Buying and Selling at Ross Stores

In related news, Director Larree M. Renda sold 4,168 shares of the business’s stock in a transaction that occurred on Thursday, March 28th. The shares were sold at an average price of $147.89, for a total transaction of $616,405.52. Following the completion of the sale, the director now directly owns 3,166 shares of the company’s stock, valued at $468,219.74. The transaction was disclosed in a legal filing with the SEC, which is available at this link. In other news, insider Michael K. Kobayashi sold 13,860 shares of the company’s stock in a transaction dated Thursday, March 28th. The stock was sold at an average price of $147.46, for a total value of $2,043,795.60. Following the completion of the sale, the insider now directly owns 61,657 shares of the company’s stock, valued at approximately $9,091,941.22. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Larree M. Renda sold 4,168 shares of Ross Stores stock in a transaction that occurred on Thursday, March 28th. The stock was sold at an average price of $147.89, for a total transaction of $616,405.52. Following the transaction, the director now directly owns 3,166 shares in the company, valued at approximately $468,219.74. The disclosure for this sale can be found here. In the last three months, insiders have sold 71,097 shares of company stock worth $10,396,178. Company insiders own 2.10% of the company’s stock.

Institutional Trading of Ross Stores

Hedge funds have recently added to or reduced their stakes in the business. Robeco Institutional Asset Management B.V. increased its holdings in Ross Stores by 33.1% during the 3rd quarter. Robeco Institutional Asset Management B.V. now owns 37,280 shares of the apparel retailer’s stock worth $4,211,000 after purchasing an additional 9,271 shares in the last quarter. Raymond James Financial Services Advisors Inc. lifted its stake in Ross Stores by 1.8% in the 3rd quarter. Raymond James Financial Services Advisors Inc. now owns 109,195 shares of the apparel retailer’s stock valued at $12,334,000 after acquiring an additional 1,982 shares in the last quarter. Brown Advisory Inc. boosted its position in Ross Stores by 0.9% during the 3rd quarter. Brown Advisory Inc. now owns 107,895 shares of the apparel retailer’s stock worth $12,187,000 after acquiring an additional 983 shares during the last quarter. IFM Investors Pty Ltd grew its stake in shares of Ross Stores by 4.1% during the 3rd quarter. IFM Investors Pty Ltd now owns 68,848 shares of the apparel retailer’s stock worth $7,776,000 after acquiring an additional 2,727 shares in the last quarter. Finally, Foyston Gordon & Payne Inc raised its holdings in shares of Ross Stores by 5.4% in the third quarter. Foyston Gordon & Payne Inc now owns 64,850 shares of the apparel retailer’s stock valued at $7,325,000 after purchasing an additional 3,304 shares during the last quarter. Institutional investors and hedge funds own 86.86% of the company’s stock.

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.