Ross Stores Inc
NASDAQ: ROST · CONSUMER CYCLICAL · APPAREL RETAIL
Updated 2026-04-29
Ross Stores Inc (ROST) Stock Valuation Analysis
Fair value estimate, historical valuation range, and quality signals for ROST.
Valued
Valuation reasonably reflects current fundamentals. Limited margin of safety at these levels.
ROST historical valuation range
Where current P/E sits in ROST's own 5Y range.
ROST intrinsic value (DCF)
DCF-based fair value estimate vs current market price.
Intrinsic value calculated using discounted cash flow (DCF) model based on projected free cash flows, discount rate, and terminal growth assumptions. A positive margin of safety indicates the current price is below estimated fair value, providing a cushion against estimation error.
ROST valuation signals
Quick-read green flags, caution flags, and risks based on current metrics.
P/E Ratio — History
Current: 34.25x
P/S Ratio — History
Current: 3.22x
Is ROST overvalued in 2026?
Ross Stores Inc (ROST) currently trades at $225.08 per share with a market capitalization of $73,231,163,000.00. Based on our multi-factor framework, the stock trades at a fair valuation with a Smart Value Score of 56/100. This score blends growth quality, financial health, and price attractiveness into a single institutional-grade read.
The stock trades at a P/E ratio of 34.3x, above its 5-year median of 24.3x. The PEG ratio of 3.29 indicates the price has run ahead of the underlying growth rate.
Looking at its own history, ROST is currently trading more expensive than 100% of the last 5Y on P/E. This places it in the 100th percentile of its historical range, a zone where forward returns have typically been muted.
Our discounted cash flow model estimates ROST's intrinsic value at $183.26 per share, against the current market price of $225.08. This implies a premium to fair value of -5.06%. The stock is priced close to its estimated fair value, offering limited upside without further operational improvement.
The Piotroski F-Score of 5/9 puts financial quality in a middling range, neither a standout strength nor an obvious red flag.
Bottom line: ROST trades at a fair valuation on our framework, with a Smart Value Score of 56/100. The valuation is defensible but offers no obvious bargain. Patience or a better entry price may reward disciplined buyers.
Frequently asked questions
Is ROST overvalued in 2026?
Based on a Smart Value Score of 56/100, ROST is fairly valued. Price reasonably reflects current fundamentals with limited cushion in either direction.
What is ROST's fair value?
Our DCF model estimates ROST's intrinsic value at $183.26 per share, versus the current price of $225.08. This produces a margin of safety of -5.06%.
What P/E ratio does ROST trade at?
ROST trades at a P/E of 34.3x on trailing twelve-month earnings, compared to its 5-year median of 24.3x.
Is ROST a buy based on valuation?
WallStSmart does not issue buy or sell recommendations. Our Smart Value Score of 56/100 reflects the combined read on growth, quality, and price. The profile is balanced. Best suited for investors with an existing thesis.
How does ROST's valuation compare to its history?
On P/E, ROST currently sits in the 100th percentile of its own 5Y range. That is historically expensive relative to where it has traded over the period.
What is ROST's Smart Value Score?
ROST's Smart Value Score is 56/100. The Smart Value Score is a proprietary WallStSmart metric blending growth quality, financial health, and valuation attractiveness into a single 0-100 read. Scores above 75 are rare and indicate strong multi-factor alignment.