Telsey Advisory analyst Dana Telsey reiterated a Market Perform rating on the shares of Ross Stores Inc (NASDAQ:ROST) and lowered the price forecast from $175.00 to $150.00.
ROST reported fourth-quarter EPS of $1.79, slightly lower than last year’s $1.82 but above both the consensus estimate and guidance of $1.57 – $1.64.
The earnings beat was largely driven by a $0.14 one-time gain from the sale of a packaway facility. Sales decreased by 1.8% to $5.912 billion, slightly missing consensus.
Comps grew 3%, outperforming the 2.6% consensus. Gross margin contracted to 26.5%, below estimates, but better cost control led to an operating margin of 12.4%, beating expectations, said the analyst.
The analyst noted that ROST’s initial FY25 outlook falls …
