Ross Stores, Inc. Q4 2026 Earnings Recap

Ross Stores reported a strong fourth quarter, with total sales increasing by 12% to $6.6 billion and earnings per share of $2, exceeding expectations amidst robust growth in customer transactions.

Key Takeaways

• Comparable store sales rose by 9%, driven by increased foot traffic and healthy performance across all merchandise categories.
• Operating margin improved by 95 basis points, reflecting effective cost management and strong sales leverage, despite a slight year-over-year decline.
• The company opened 80 Ross Dress for Less and 10 dd's DISCOUNTS stores in 2025, with plans to accelerate growth by adding 110 new locations in 2026.
• Inventory levels are well-managed, with an 8% year-over-year increase and ample availability anticipated to support ongoing sales momentum.
• Positive customer engagement from recent marketing efforts is expected to further enhance growth as the company enters FY 2026.