WallStSmart

Genesco Inc (GCO)vsRoss Stores Inc (ROST)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Ross Stores Inc generates 871% more annual revenue ($23.78B vs $2.45B). ROST leads profitability with a 9.7% profit margin vs 0.8%. GCO appears more attractively valued with a PEG of 0.68. ROST earns a higher WallStSmart Score of 64/100 (C+).

GCO

Buy

61

out of 100

Grade: C+

Growth: 6.0Profit: 3.5Value: 8.0Quality: 6.0
Piotroski: 5/9Altman Z: 2.68

ROST

Buy

64

out of 100

Grade: C+

Growth: 8.0Profit: 7.5Value: 3.3Quality: 7.0
Piotroski: 5/9Altman Z: 3.08
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

GCOUndervalued (+33.5%)

Margin of Safety

+33.5%

Fair Value

$42.72

Current Price

$39.05

$3.67 discount

UndervaluedFair: $42.72Overvalued
ROSTOvervalued (-8.9%)

Margin of Safety

-8.9%

Fair Value

$176.80

Current Price

$230.37

$53.57 premium

UndervaluedFair: $176.80Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

GCO3 strengths · Avg: 8.7/10
Price/BookValuation
0.7x10/10

Reasonable price relative to book value

PEG RatioValuation
0.688/10

Growing faster than its price suggests

EPS GrowthGrowth
41.6%8/10

Earnings expanding 41.6% YoY

ROST5 strengths · Avg: 9.0/10
Return on EquityProfitability
36.7%10/10

Every $100 of equity generates 37 in profit

Altman Z-ScoreHealth
3.0810/10

Safe zone — low bankruptcy risk

Market CapQuality
$72.39B9/10

Large-cap with strong market position

Revenue GrowthGrowth
20.6%8/10

Revenue surging 20.6% year-over-year

EPS GrowthGrowth
37.4%8/10

Earnings expanding 37.4% YoY

Areas to Watch

GCO4 concerns · Avg: 3.3/10
Revenue GrowthGrowth
2.8%4/10

2.8% revenue growth

Market CapQuality
$421.14M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
3.6%3/10

ROE of 3.6% — below average capital efficiency

Profit MarginProfitability
0.8%3/10

0.8% margin — thin

ROST3 concerns · Avg: 3.3/10
P/E RatioValuation
31.2x4/10

Premium valuation, high expectations priced in

Price/BookValuation
12.0x4/10

Trading at 12.0x book value

PEG RatioValuation
2.722/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : GCO

The strongest argument for GCO centers on Price/Book, PEG Ratio, EPS Growth. PEG of 0.68 suggests the stock is reasonably priced for its growth.

Bull Case : ROST

The strongest argument for ROST centers on Return on Equity, Altman Z-Score, Market Cap. Revenue growth of 20.6% demonstrates continued momentum.

Bear Case : GCO

The primary concerns for GCO are Revenue Growth, Market Cap, Return on Equity. Thin 0.8% margins leave little buffer for downturns.

Bear Case : ROST

The primary concerns for ROST are P/E Ratio, Price/Book, PEG Ratio.

Key Dynamics to Monitor

GCO profiles as a value stock while ROST is a growth play — different risk/reward profiles.

GCO carries more volatility with a beta of 1.82 — expect wider price swings.

ROST is growing revenue faster at 20.6% — sustainability is the question.

ROST generates stronger free cash flow (627M), providing more financial flexibility.

Bottom Line

ROST scores higher overall (64/100 vs 61/100) and 20.6% revenue growth. GCO offers better value entry with a 33.5% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Genesco Inc

CONSUMER CYCLICAL · APPAREL RETAIL · USA

Genesco Inc. is a retailer and wholesaler of footwear, apparel and accessories. The company is headquartered in Nashville, Tennessee.

Ross Stores Inc

CONSUMER CYCLICAL · APPAREL RETAIL · USA

Ross Stores, Inc., operating under the brand name Ross Dress for Less, is an American chain of discount department stores headquartered in Dublin, California.

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