TacticScaleWhat Ross Stores Does & How It Makes Money (ROST)
Updated October 2026 · reflects Ross Stores's latest reported financials
Off-price retailer selling discounted brand-name apparel and home goods. Ross buys brand-name and designer apparel, footwear, accessories and home goods and resells them in its own stores at off-price discounts.
How Ross Stores makes money
Ross buys brand-name and designer apparel, footwear, accessories and home goods and resells them in its own stores at off-price discounts. It makes money on the gap between what it pays for the goods and the price it sells them for.
What Ross Stores does
Ross Stores, Inc. is a U.S. off-price retailer that runs two store brands: Ross Dress for Less and dd's DISCOUNTS. Its stores sell designer and brand-name apparel, accessories, footwear and home fashion products for the whole family, priced below what shoppers would typically pay elsewhere. The company serves value-conscious customers, mainly middle-income households, and dd's DISCOUNTS also reaches households with lower to moderate incomes. Ross was incorporated in 1957 and is headquartered in Dublin, California.
Products & services
- Ross Dress for Less stores
- dd's DISCOUNTS stores
- Designer and brand-name apparel
- Footwear and accessories
- Home fashion products
What is Ross Stores worth?
On an owner-earnings DCF, Ross Stores's most-likely value is about $162 versus a recent price near $222 (27% above fair value). But TacticScale only calls a stock undervalued when the price sits below its conservative no-growth floor (~$75) with a margin of safety — so the honest verdict here is “Fairly priced — no edge.” Fair value earns its keep only at the extremes, not in the wide middle.
Price sits in the normal range — fair value isn't actionable here; it earns its keep only when price drops below the no-growth floor, or runs to roughly double the optimistic case.
Analysis, not advice. Fair value is a margin-of-safety estimate from a deterministic owner-earnings DCF, not a price target or recommendation. See the full breakdown →
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