Ross Stores third-quarter results misses expectations
Same-store sales in the quarter slipped 3 percent on a year-over-year basis
avatar
Staff or Guest writer for The Dog of Wall Street.
2020-11-20 13:37

Ross Stores Inc. (ROST) reported its third-quarter earnings and revenue below consensus forecast amid higher expenses related to safety protocols due to the pandemic.

Ross Stores third-quarter results misses expectations

The Dublin, California-based discount retail chain said that it earned $131.2 million, or 37 cents per share for the quarter ended October 31, significantly lower than $1.03 per share in the same period last year, and below the consensus forecast of 59 cents per share.

Revenue also slipped to $3.75 billion in the quarter, versus $3.85 billion in the year-ago quarter. On the other hand, analysts on average had a sales forecast of $3.42 billion.

Speaking on the quarterly performance, CEO Barbara Rentler said “sales trends accelerated during the third quarter following a slower start in August, driven by an improvement in our merchandise assortments, a later back-to-school season, stronger performance in our larger markets, and our return to more normal store hours. As we enter the fourth quarter, our month-to-date comparable store sales in November are down mid-single-digits. In addition, there remains a high level of uncertainty related to the worsening health crisis and we are concerned with how the upsurge of this pandemic might impact consumer demand during what we expect to be a highly competitive holiday shopping season.”

Same-store sales in the quarter slipped 3 percent on a year-over-year basis, while overall consolidated inventories decreased 25 percent.

The company said that it opened 9 dd's Discounts and 30 Ross stores during the quarter, as a part of its expansion plan for the current fiscal year.

Ross Stores (NASDAQ: ROST) shares are trading nearly flat in the mid-day trading Friday. Overall, the stock price remained almost unchanged in 2020. ROST share price has decreased by nearly 5 percent on a year-to-date basis. At the current trading price, the company’s total market value stands at approx. $39.403 billion.


Disclaimer: I have no positions in any of the stocks mentioned. I wrote this article myself, and it expresses my own opinions. I have no business relationship with any company whose stock is mentioned in this article. All information should be independently verified and should not be relied upon for purposes of transacting securities or other investments. See terms for more info.

Rate this article

positive
negative
Published On
2020-11-20 13:37

avatar
About the Author
Staff or Guest writer for The Dog of Wall Street.


buy-coffee
You've read 1 article in the last year
..thank you for supporting us and for visiting our site. Unlike many other sites, The Dog of Wall Street is available for everyone to read. Our focus is to provide great content for free. Do you like what we are doing? Buy us a cup coffee. It is the fuel that keeps us going..

Levi Strauss' Bold Gambit: Is the Denim Icon's DTC Shift Enough to Weather the Storm?
Levi Strauss & Co. boasts a strong quarter with direct-to-consumer growth and innovative fashion, but can it navigate the choppy waters of the retail market?
By Alfonso | 9 months ago

Amazon's Bold Counterattack: Introducing the China-Direct Discount Section
As competition heats up, Amazon unveils a daring new strategy to offer unbeatable prices and direct shipping from China.
By Alfonso | 9 months ago

Tesla's Legal Challenges: Facing the Music on Autopilot Misrepresentation
Court ruling intensifies scrutiny on Tesla's self-driving claims.
By Alfonso | 10 months ago

Netflix's Ad-Supported Triumph: A New Era in Streaming
Surpassing 40 million users, Netflix’s ad-supported plan redefines the streaming landscape.
By Alfonso | 10 months ago

Tesla Stock (TSLA): Look Who's Back!
I’m cautiously optimistic but I’m at the point where I need to see it to believe it.
By Mike Sakuraba | 11 months ago

2 Earnings To Pay Attention to Next Week
Since big tech is the theme, you probably know what I have my eyes on for next week.
By Mike Sakuraba | 11 months ago

2 Stocks to Watch Below $10
Here are two stocks that are currently less trading in the single digits that I believe have some relative upside from their current prices.
By Mike Sakuraba | 11 months ago

Looking Ahead to Tesla's Earnings: What Can We Expect?
Is there any stock that has been more talked about than Tesla (NASDAQ: TSLA) as of late? It’s a company that is always in the spotlight but the stock is under some heavy scrutiny this year and deservedly so.
By Mike Sakuraba | 11 months ago