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Ross Stores (WBO:ROST) PS Ratio : 2.50 (As of Dec. 15, 2024)


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What is Ross Stores PS Ratio?

The PS Ratio, or Price-to-Sales ratio, or Price/Sales, is a financial ratio used to compare a company's market price to its Revenue per Share. As of today, Ross Stores's share price is €147.18. Ross Stores's Revenue per Share for the trailing twelve months (TTM) ended in Oct. 2024 was €58.87. Hence, Ross Stores's PS Ratio for today is 2.50.

Warning Sign:

Ross Stores Inc stock PS Ratio (=2.41) is close to 3-year high of 2.48

The historical rank and industry rank for Ross Stores's PS Ratio or its related term are showing as below:

WBO:ROST' s PS Ratio Range Over the Past 10 Years
Min: 1.34   Med: 2.13   Max: 3.7
Current: 2.41

During the past 13 years, Ross Stores's highest PS Ratio was 3.70. The lowest was 1.34. And the median was 2.13.

WBO:ROST's PS Ratio is ranked worse than
82.58% of 1102 companies
in the Retail - Cyclical industry
Industry Median: 0.67 vs WBO:ROST: 2.41

Ross Stores's Revenue per Sharefor the three months ended in Oct. 2024 was €14.11. Its Revenue per Share for the trailing twelve months (TTM) ended in Oct. 2024 was €58.87.

Good Sign:

Ross Stores Inc has shown predictable revenue and earnings growth.

During the past 12 months, the average Revenue per Share Growth Rate of Ross Stores was 10.60% per year. During the past 3 years, the average Revenue per Share Growth Rate was 19.60% per year. During the past 5 years, the average Revenue per Share Growth Rate was 9.10% per year. During the past 10 years, the average Revenue per Share Growth Rate was 9.20% per year.

During the past 13 years, Ross Stores's highest 3-Year average Revenue per Share Growth Rate was 25.20% per year. The lowest was -1.30% per year. And the median was 14.10% per year.

Back to Basics: PS Ratio


Ross Stores PS Ratio Historical Data

The historical data trend for Ross Stores's PS Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Ross Stores PS Ratio Chart

Ross Stores Annual Data
Trend Jan15 Jan16 Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24
PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.53 3.15 1.83 2.18 2.32

Ross Stores Quarterly Data
Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24
PS Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2.01 2.32 2.10 2.27 2.19

Competitive Comparison of Ross Stores's PS Ratio

For the Apparel Retail subindustry, Ross Stores's PS Ratio, along with its competitors' market caps and PS Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Ross Stores's PS Ratio Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Ross Stores's PS Ratio distribution charts can be found below:

* The bar in red indicates where Ross Stores's PS Ratio falls into.



Ross Stores PS Ratio Calculation

The PS Ratio, or Price-to-Sales ratio, or Price/Sales, is a financial ratio used to compare a company's market price to its Revenue per Share. It is a ratio widely used to value stocks and it was first used by Ken Fisher.

Ross Stores's PS Ratio for today is calculated as

PS Ratio=Share Price/Revenue per Share (TTM)
=147.18/58.866
=2.50

Ross Stores's Share Price of today is €147.18.
Ross Stores's Revenue per Share for the trailing twelve months (TTM) ended in Oct. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was €58.87.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

It can also be calculated from the numbers for the whole company:

PS Ratio=Market Cap/Revenue

The Revenue here is for the trailing 12 months.


Ross Stores  (WBO:ROST) PS Ratio Explanation

The PS Ratio is an excellent valuation indicator if you want to compare a stock with its historical valuation or with the stocks in the same industry. The PS Ratio works especially well when you want to compare the stock's current valuation with its historical valuation. The PS Ratio is a great valuation tool for evaluating cyclical businesses where the PE Ratio works poorly. It works the best when comparing the current valuation with the historical valuation because over time, a company's profit margin tends to revert to the mean.

When the PS Ratio is applied to the whole stock market, it can be used to evaluate the current market valuation and projected returns. In this case, the price is the total market cap of all stocks that are traded, and sales are the GDP of the country. This is how Warren Buffett estimates the broad market valuation and project future returns.

Similar to the PE Ratio or Price-to-Operating-Cash-Flow or Price-to-Free-Cash-Flow , the PS Ratio measures the valuation based on the earning power of the company. This is where it is different from the PB Ratio , which measures the valuation based on the company's balance sheet.


Be Aware

The PS Ratio does not tell you how cheap or expensive the stock is. It cannot be used to compare companies in different industries. It works better for companies within the same industry because these companies tend to have similar capital structures and profit margins. It works the best when comparing a company with itself in the past.


Ross Stores PS Ratio Related Terms

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Ross Stores Business Description

Address
5130 Hacienda Drive, Dublin, CA, USA, 94568-7579
Ross Stores operates as an off-price apparel and accessories retailer with the majority of its sales derived from its Ross Dress for Less banner. The company opportunistically procures excess brand-name merchandise made available via manufacturing overruns and retail liquidation sales at a 20%-60% discount to full prices. As such, its stores are often filled with a vast array of stock-keeping units, each with minimal product depth that creates a treasure hunt shopping experience. The firm's more than 1,750 Ross Dress for Less stores are primarily located in densely populated suburban communities and typically serve middle-income consumers. Ross also operates about 350 DD's Discounts chains targeting lower-income shoppers.