$146.09
arrow_drop_up2.32%Is ROST a Buy or Sell based on AI Analysis?
Fundamental Analysis
One of the most important indicators for Ross Stores Inc's fundamental analysis is its price-to-earnings (PE) ratio, which currently stands at 29.75. This ratio gives investors insight into how much they are paying for each dollar of earnings generated by the company. A lower PE ratio typically suggests that a stock may be undervalued, while a higher PE ratio may indicate that a stock is overvalued. With Ross Stores Inc's PE ratio of 29.75, investors can make informed decisions about the stock's valuation and potential for growth. Another key indicator for Ross Stores Inc is its return on equity (ROE), which is at an impressive 39.22%. This metric measures the profitability of a company by assessing how effectively it is utilizing its shareholders' equity. A higher ROE indicates that the company is generating more profit with less investment, making it an attractive investment option for shareholders. Ross Stores Inc's strong ROE suggests that the company is efficiently managing its resources and generating solid returns for its investors. Additionally, the company's dividend yield of 0.9% provides shareholders with a steady stream of income, further enhancing the attractiveness of the stock for long-term investors.
Positive Development
Ross Stores Inc. has consistently outperformed competitors, indicating strong market position and competitive advantage. The company's earnings are expected to grow, suggesting robust financial performance. The company's stock price has shown a consistent upward trend, indicating investor confidence and positive sentiment.
Negative Development
Ross Stores Inc. has a negative net margin, indicating potential financial stress. The company's long-term debt is relatively high, which could pose a risk to its financial stability. The company's payout ratio is relatively high, which could indicate a potential risk of dilution for shareholders.
Technical Analysis
Ross Stores Inc (ROST) has a neutral technical rating based on various indicators. The stock is currently showing a buy signal according to the Average True Range (ATR) indicator, but also has several hold and sell signals based on indicators such as RSI, MACD, ADX, ROC, CCI, WILLR, and STOCHRSI. This mixed technical outlook suggests that the stock may not be showing a strong directional trend at the moment. Additionally, Ross Stores Inc has a technical score of 59, indicating a moderate level of technical strength in the market. The stock has a beta of 1.05, suggesting that it is slightly more volatile than the overall market. The stock has a 52-week high of $151.12 and a 52-week low of $99, with a seven-day price change percent of 1.25%. Overall, the technical analysis points to a stock that is currently experiencing moderate volatility and may not be exhibiting a clear trend in the short term.
Conclusion and recommendation
Based on the data provided for Ross Stores Inc, it appears to be a stable and well-performing company in the consumer cyclical sector. With a market capitalization of $50.49 billion and a strong return on equity of 39.22%, Ross Stores Inc has shown consistent growth over the years. The company also has a dividend yield of 0.9% and a relatively low debt-to-equity ratio of 1.26, indicating a healthy financial position. Overall, Ross Stores Inc seems to be a promising investment option for those looking for a reliable company in the consumer cyclical sector. With a neutral analyst recommendation and a technical rating of NEUTRAL, investors may want to consider adding Ross Stores Inc to their portfolio for long-term growth potential. The company's consistent revenue and earnings growth, along with its solid financial metrics, suggest that it could continue to outperform the market in the future. In conclusion, Ross Stores Inc appears to be a solid choice for investors seeking a stable and profitable company in the consumer cyclical sector.