Citigroup Maintains Neutral, Raises PT to $48 on Ross Stores

Citigroup reiterates its Neutral rating on Ross Stores

and raises its price target to $48 from $46 on high square footage growth and continued margin visibility into 2012. Citigroup says, "We rate the shares of Ross Stores Inc Neutral. In late 2007, ROST began a multiyear initiative to lower inventory per store to drive gross and operating margins. Since then the company's operating margin has come to a near peak of approximately 11% at the end of the third quarter. Our $48 price target is based on a 15x multiple and our 2012 estimate of $3.15." ROST closed at $47.81 per share on Wednesday.