GAMMA Investing LLC Makes New Investment in Ross Stores, Inc. (NASDAQ:ROST)

GAMMA Investing LLC bought a new position in shares of Ross Stores, Inc. (NASDAQ:ROST) during the fourth quarter, according to its most recent filing with the SEC. The fund bought 1,688 shares of the apparel retailer’s stock, valued at approximately $237,000.

A number of other hedge funds and other institutional investors also recently made changes to their positions in the stock. HTLF Bank bought a new stake in shares of Ross Stores during the 4th quarter valued at $1,094,000. Raymond James & Associates boosted its position in shares of Ross Stores by 5.7% in the fourth quarter. Raymond James & Associates now owns 302,277 shares of the apparel retailer’s stock valued at $41,832,000 after acquiring an additional 16,167 shares during the period. NBC Securities Inc. purchased a new position in Ross Stores during the third quarter valued at approximately $503,000. Federated Hermes Inc. increased its holdings in Ross Stores by 160.7% during the 4th quarter. Federated Hermes Inc. now owns 164,876 shares of the apparel retailer’s stock worth $22,817,000 after acquiring an additional 101,628 shares during the period. Finally, Handelsbanken Fonder AB boosted its holdings in Ross Stores by 20.3% in the 4th quarter. Handelsbanken Fonder AB now owns 159,116 shares of the apparel retailer’s stock valued at $22,020,000 after purchasing an additional 26,868 shares during the period. 86.86% of the stock is owned by hedge funds and other institutional investors.

Ross Stores Trading Down 0.3 %

Shares of NASDAQ ROST opened at $132.15 on Friday. Ross Stores, Inc. has a 52-week low of $99.00 and a 52-week high of $151.12. The firm’s 50 day moving average price is $142.99 and its 200-day moving average price is $135.12. The company has a market cap of $44.49 billion, a PE ratio of 23.77, a P/E/G ratio of 1.89 and a beta of 1.04. The company has a debt-to-equity ratio of 0.45, a quick ratio of 1.24 and a current ratio of 1.77.

Ross Stores (NASDAQ:ROST) last issued its earnings results on Tuesday, March 5th. The apparel retailer reported $1.82 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.63 by $0.19. The company had revenue of $6.02 billion for the quarter, compared to analysts’ expectations of $5.81 billion. Ross Stores had a net margin of 9.20% and a return on equity of 41.15%. The firm’s quarterly revenue was up 15.5% on a year-over-year basis. During the same quarter last year, the company posted $1.31 earnings per share. On average, equities research analysts expect that Ross Stores, Inc. will post 5.89 EPS for the current fiscal year.

Ross Stores Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, March 29th. Investors of record on Friday, March 15th were issued a $0.3675 dividend. This is a boost from Ross Stores’s previous quarterly dividend of $0.34. This represents a $1.47 dividend on an annualized basis and a yield of 1.11%. The ex-dividend date of this dividend was Thursday, March 14th. Ross Stores’s dividend payout ratio (DPR) is currently 26.44%.

Ross Stores announced that its Board of Directors has initiated a stock buyback program on Tuesday, March 5th that permits the company to repurchase $2.10 billion in outstanding shares. This repurchase authorization permits the apparel retailer to repurchase up to 4.3% of its shares through open market purchases. Shares repurchase programs are typically a sign that the company’s management believes its stock is undervalued.

Analyst Ratings Changes

A number of brokerages have weighed in on ROST. Jefferies Financial Group upped their target price on Ross Stores from $135.00 to $147.00 and gave the stock a “hold” rating in a research note on Wednesday, March 6th. Loop Capital raised their target price on shares of Ross Stores from $150.00 to $170.00 and gave the company a “buy” rating in a research note on Wednesday, March 6th. JPMorgan Chase & Co. upped their target price on shares of Ross Stores from $150.00 to $163.00 and gave the stock an “overweight” rating in a research report on Wednesday, March 6th. BMO Capital Markets raised their price target on Ross Stores from $138.00 to $165.00 and gave the company an “outperform” rating in a research report on Wednesday, March 6th. Finally, The Goldman Sachs Group upped their price target on shares of Ross Stores from $143.00 to $163.00 and gave the company a “buy” rating in a research report on Wednesday, March 6th. Four analysts have rated the stock with a hold rating and fifteen have issued a buy rating to the stock. Based on data from MarketBeat.com, Ross Stores has a consensus rating of “Moderate Buy” and a consensus target price of $155.21.

Insider Transactions at Ross Stores

In other Ross Stores news, insider Michael K. Kobayashi sold 13,860 shares of the firm’s stock in a transaction that occurred on Thursday, March 28th. The shares were sold at an average price of $147.46, for a total transaction of $2,043,795.60. Following the sale, the insider now owns 61,657 shares in the company, valued at approximately $9,091,941.22. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. In other news, Director Patricia H. Mueller sold 2,265 shares of Ross Stores stock in a transaction that occurred on Monday, March 18th. The shares were sold at an average price of $145.38, for a total transaction of $329,285.70. Following the sale, the director now owns 1,914 shares in the company, valued at $278,257.32. The transaction was disclosed in a document filed with the SEC, which is available at this link. Also, insider Michael K. Kobayashi sold 13,860 shares of the firm’s stock in a transaction on Thursday, March 28th. The shares were sold at an average price of $147.46, for a total transaction of $2,043,795.60. Following the transaction, the insider now directly owns 61,657 shares of the company’s stock, valued at $9,091,941.22. The disclosure for this sale can be found here. Insiders have sold 71,097 shares of company stock valued at $10,396,178 over the last quarter. 2.00% of the stock is currently owned by company insiders.

Ross Stores Profile

Ross Stores, Inc, together with its subsidiaries, operates off-price retail apparel and home fashion stores under the Ross Dress for Less and dd's DISCOUNTS brand names in the United States. Its stores primarily offer apparel, accessories, footwear, and home fashions. The company's Ross Dress for Less stores sell its products at department and specialty stores to middle income households; and dd's DISCOUNTS stores sell its products at department and discount stores for households with moderate income.