Ross Stores (ROST) Could Be 207% Above Fair Value After 115 Store Openings

Ross Stores (ROST) just wrapped up its fiscal 2026 expansion push, adding 41 Ross Dress for Less and 10 dd's DISCOUNTS locations across 17 states to complete 115 openings this year.

Ross Stores has been busy expanding, yet the share price has eased in the short term, with the 7 day share price return down 3.2% and the 30 day share price return down 2%, while the 1 year total shareholder return of 47.5% and 3 year total shareholder return of 109.37% indicate momentum that has built up over a longer horizon.

Capitalize on Ross Stores’ expansion signal and scan for other off-price retailers showing strong multi year returns with the curated 27 high quality undervalued stocks.

Ross Stores has pulled back a little while analyst and intrinsic estimates still sit above the current US$229.30 price. So where does a fair valuation really fall inside that spread?

Most Popular Narrative: 207% Overvalued

Ross Stores screens as heavily overvalued in the leading narrative, with a fair value of $74.69 sitting far below the recent $229.30 close, which puts the market price well above that narrative anchor.

2,282-store US off-price retailer that converts other people's inventory mistakes into an 18% return on invested capital, and it does so most reliably when the economy is worst, as recessions simultaneously push shoppers toward value and flood the closeout market with distressed branded goods. This is why the business generated record free cash flow in the COVID year on collapsed earnings. The investment case is not growth; it is protected compounding at a modest rate.

See why 4 investors see Ross Stores as 207% overvalued.

Result: Fair Value of $74.69 (OVERVALUED)

Still, Ross Stores could see this overvaluation narrative crack if competition for closeout inventory tightens or if its smaller scale compared with TJX starts to bite harder.

Find out about the key risks to this Ross Stores narrative.

Next Steps

That overvaluation story is strong, but it is only half the picture. Move quickly, look at both the concerns and the upside, then weigh the 2 key rewards and 1 important warning sign.

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