Ross Stores Crushes Expectations in Q3, Confirms It Still Knows How to Win

Ross Stores, Inc. (NASDAQ: ROST) delivered a standout third quarter in fiscal 2025, reaffirming its off‑price retail prowess. The company posted net sales of approximately $5.6 billion, up ~10% year‑over‑year, and delivered earnings per share (EPS) of $1.58, both figures surpassing analyst consensus. Comparable store sales rose 7%, indicating strong demand and execution, while operating margin held at roughly 11.6% despite inflation and tariff headwinds. Management pointed to broad‑based strength across merchandise categories — especially women’s apparel, shoes and cosmetics — and across geographies, led by the Southeast and Midwest. The team reaffirmed its value‑oriented merchandising strategy and emphasized disciplined cost and inventory management. Furthermore, Ross opened 36 new Ross Dress for Less stores and 4 new dd’s DISCOUNTS locations in Q3, completing 90 new store openings for the year. Looking ahead, Ross raised its guidance for the year. For Q4 it projects comparable store sales growth of 3‑4%, EPS of $1.77‑$1.85, and full‑year EPS of $6.38‑$6.46. While the stock trades at a premium valuation (P/E around 25x) and near‑term upside may be constrained, the company’s fundamentals remain compelling in a tough retail environment driven by value‑seeking shoppers. #RossStores #RetailEarnings #OffPriceRetail #ValueRetailing #SlimScan #GrowthStocks #CANSLIM