UPDATE: UBS Securities Reiterates on Ross Stores on Multiple Long-Term Growth Catalysts
In a report published Wednesday, UBS Securities analyst Roxanne Meyer reiterated a Buy rating on Ross Stores (NASDAQ: ROST), and raised the price target from $80.00 to $90.00.
In the report, UBS Securities noted, “On the back of TJX' strong results and bullish tone as it relates to current performance and product availability, we expect ROST to also benefit. Our 3Q EPS estimate is $0.81 (vs. Street's $0.80) based on a 4% comp, gross margin -10 bps, and SG&A ~flattish. We came away from mgmt meetings in Sept believing that QTD trends were positive, and Kantar survey data suggests customer traffic rose in Oct. We see the first opportunity for a comp inflection in home in 4Q, which could impact more than the 25% of sales that it represents. ROST is also well-positioned for 4Q given strong packaways (from LY's warm winter). Lastly, Kantar survey data indicates that shoppers are planning to spend more at ROST in November vs. LY. The shorter holiday calendar is a wildcard, but not necessarily a negative.”
Ross Stores closed on Tuesday at $80.95.
Latest Ratings for ROST
|Aug 2015||Buckingham Research||Upgrades||Neutral||Buy|
|Aug 2015||Cantor Fitzgerald||Maintains||Hold|
|Apr 2015||Cantor Fitzgerald||Initiates Coverage on||Hold|
© 2015 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.