Ross Stores Third Quarter Earnings Sneak Peek

S&P 500 (NYSE:SPY) component Ross Stores (NASDAQ:ROST) will unveil its latest earnings on Thursday, November 15, 2012. Ross Stores operates two chains of off-price retail apparel and home accessories stores in the United States and Guam.

Ross Stores Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average analyst estimate is for net income of 72 cents per share, a rise of 14.3% from the company’s actual earnings for the year-ago quarter. During the past three months, the average estimate has moved up from 70 cents. Between one and three months ago, the average estimate moved up. It has been unchanged at 72 cents during the last month. Analysts are projecting profit to rise by 22.4% versus last year to $3.50.

Past Earnings Performance: For the past four quarters, the company has met expectations. Last quarter, the company reported profit of 81 cents per share to fall in step with the mean estimate.

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A Look Back: In the second quarter, profit rose 22.8% to $182 million (81 cents a share) from $148.3 million (64 cents a share) the year earlier, meeting analyst expectations. Revenue rose 12% to $2.34 billion from $2.09 billion.

Stock Price Performance: Between August 16, 2012 and November 9, 2012, the stock price fell $13.24 (-19.3%), from $68.46 to $55.22. The stock price saw one of its best stretches over the last year between April 10, 2012 and April 18, 2012, when shares rose for seven straight days, increasing 5.5% (+$3.15) over that span. It saw one of its worst periods between November 5, 2012 and November 9, 2012 when shares fell for five straight days, dropping 4.5% (-$2.61) over that span.

Wall St. Revenue Expectations: Analysts are projecting a rise of 9.6% in revenue from the year-earlier quarter to $2.29 billion.

Analyst Ratings: There are mostly holds on the stock with 11 of 21 analysts surveyed giving that rating.

Balance Sheet Analysis: The company’s current ratio of assets to liabilities came in at 1.5 last quarter. The current ratio is an indication of a firm’s liquidity and ability to meet creditor demands and generally, for every dollar the company owes in the short term, it has that figure available in assets that can be converted to cash in the short term.

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(Company fundamentals by Xignite Financials. Earnings estimates provided by Zacks)

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