Ross Stores (ROST) DCF: History & Chart

Ross Stores, Inc. (ROST)ROSTRoss Stores, Inc.

About Ross Stores, Inc.

Ross Stores, Inc., through its various subsidiaries, manages a chain of off-price retail establishments focusing on apparel and home goods. These stores operate under two main brand names: Ross Dress for Less and dd's DISCOUNTS. Their product selection primarily includes clothing, accessories, footwear, and household decor. The Ross Dress for Less outlets primarily serve middle-income households, offering merchandise at prices considerably lower than traditional department and specialty stores. Conversely, dd's DISCOUNTS stores cater to moderate-income households, providing products at prices below those typically found in department and discount stores. As of July 5, 2022, the company had approximately 1,950 stores operating across 40 states, the District of Columbia, and Guam. Ross Stores, Inc. was founded in 1957 and is based in Dublin, California.

Dublin, CA

111,000 employees

www.rossstores.com

Consumer Cyclical / Apparel - Retail

Sector: Consumer Cyclical
Industry: Apparel - Retail
CEO: James G. Conroy

View full financials

Ross Stores, Inc. (ROST) DCF Valuation

Price is ABOVE the estimated range

$90.19

$155.43

Model scenario range

$238.89

Today's price

TGM's two-stage DCF values Ross Stores, Inc. (ROST) between $90.19 and $155.43 depending on assumptions, with a base case of $116.29. Growth is taken from the company's own record (blend of 5-year revenue and FCF growth), fading to 2.5% long-run; the discount rate (8.5%) reflects its beta.

What would today's price require?

Growth the price assumes+25.6%/yr

Actual FCF growth, last 5 years+3.7%/yr

$238.89 is justified only if free cash flow grows about +25.6% a year (fading to 2.5% long-run) at a 8.5% required return — faster than the company has actually grown.

Scenario	FCF growth (fading to 2.5%)	Discount	Value / share
Conservative	3.5%/yr	9.5%	$90.19
Base case	6.5%/yr	8.5%	$116.29
Optimistic	9.5%/yr	7.5%	$155.43
Third-party model estimate (FMP)	independent reference · retrieved Jul 26, 2026 · assumptions not provided		$122.56

The FMP figure is a third-party point estimate. Its cash-flow forecast, discount rate, terminal growth, and valuation date are not included in the stored response, so TGMCharts presents it only as a reference—not as an intrinsic-value conclusion or price target.

Price|PE Ratio|FCF Yield|All Metrics

Current Price

$238.89

Market-Implied Growth

+25.6%/yr

vs +3.7% 5Y actual

Model Scenario Range

$90.19 – $155.43

model output — not a price target

ROST DCF Fair Value Calculator

Edit the assumptions to see how they change the estimated fair value. Opens seeded with TGM's data-driven base case for ROST (growth from its own 5-year record, discount from its beta), so the sandbox starts where the scenarios above leave off. Illustrative model — not investment advice.

FCF Growth Rate6.5%/yr

Historical FCF CAGR: 3Y 13.3% · 5Y 3.7% · 10Y 9.7%

Discount Rate (WACC)8.5%

Terminal Growth2.5%

Projection Years10yr

Base inputs: FCF $1.7B · 0.32B shares · net cash $3.1B

Estimated Fair Value

$116.29

-51.3% vs $238.89

Current price$238.89

Third-party model estimate (FMP)$122.56

Sensitivity — fair value by discount rate × terminal growth

How the estimated fair value shifts with the discount rate (WACC) and terminal growth, holding your 6.5%/yr FCF growth and 10-year horizon fixed. Green = above today's $238.89; red = below. Your current case is outlined.

WACC ↓ / Terminal →	1.50%	2.00%	2.50%	3.00%	3.50%
6.5%	$143	$155	$171	$191	$218
7.5%	$120	$128	$138	$150	$165
8.5%	$104	$110	$116	$124	$134
9.5%	$91.62	$95.87	$101	$106	$113
10.5%	$82.22	$85.44	$89.07	$93.17	$97.84