The discount department stores operator now expects same store sales growth of 3% to 4% for the full year on top of a 5% gain in 2025.
- Earnings per share for fiscal 2026 is expected to be in the range of $7.02 to $7.36, above the $6.61 reported for fiscal 2025.
- The company also said that its Board of Directors has approved a $2.55 billion share buyback program for fiscal 2026 and 2027.
- The firm’s fourth quarter earnings and revenue numbers also beat Wall Street expectations.
Shares of Ross Stores, Inc. (ROST) rose 6% after hours on Tuesday after the company predicted sales growth for fiscal 2026 on top of upbeat fourth-quarter earnings.
The discount department stores operator now expects same store sales growth of 3% to 4% for the full year on top of a 5% gain in 2025. Earnings per share for fiscal 2026 is expected to be in the range of $7.02 to $7.36, above the $6.61 reported for fiscal 2025.
The company also said that its Board of Directors has approved a $2.55 billion share buyback program for fiscal 2026 and 2027, presenting a 21% increase from the recently completed repurchase of $2.1 billion of common stock in 2024 and 2025 combined.
Q4 Numbers
The firm’s fourth quarter earnings and revenue numbers beat Wall Street expectations.
The discount department stores company’s total sales for the fourth quarter rose 12% to $6.6 billion, above an expected $6.37 billion.
Earnings per share for the quarter came in at $2, above its guidance of $1.77 to $1.85, and above an analyst estimate of $1.9.
Further, comparable store sales increased a robust 9% in the period.
"For the full year, we delivered a solid performance. While the first half presented challenges amid a dynamic macroeconomic environment, including the impact of tariffs and broader consumer uncertainty, we remained focused…As the year progressed, underlying trends steadily improved… This momentum built throughout the back half of the year and culminated in a strong finish, positioning us well as we move into the year ahead," said CEO Jim Conroy.
How Did Stocktwits Users React?
On Stocktwits, retail sentiment around ROST rose from ‘bullish’ to ‘extremely bullish’ territory over the past 24 hours, while message volume increased from ‘normal’ to ‘extremely high’ levels.
ROST stock has gained 44% over the past 12 months.
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