Ross Stores rises after Jefferies upgrades to 'buy'

Ross Stores

02/07/2025 11:50

** Shares of discount store operator Ross Stores ROST.O up 1.6% at $132.05 premarket

** Jefferies upgrades ROST to "buy" from "hold"; raises PT to $150 from $135, upside of 15.4% to stock's last close

** Brokerage says strong merchandising and favorable comparable sales comparison can drive comparable sales acceleration in second half of year and in next few years

** Expects further comparable sales boost if interest rates are reduced and housing improves, sees profit expansion opportunity in 2026 despite tariff headwinds from existing margin improvement momentum

** Also sees upside to shares as valuation discount to peers is near widest in recent history

** Average rating of 20 analysts is "buy", with median PT of $153 - data compiled by LSEG

** Up to last close, stock has fallen 14% YTD

 (Reporting by Neil J Kanatt in Bengaluru)

 ((Neil.JKanatt@thomsonreuters.com;))