Foyston Gordon & Payne Inc Reduces Stake in Ross Stores, Inc.

Foyston Gordon & Payne Inc has decreased its investment in Ross Stores, Inc. (NASDAQ:ROST - Free Report) by 20.0% in the third quarter, according to the firm’s latest Form 13F filing with the SEC. After selling 9,518 shares during the quarter, Foyston Gordon & Payne Inc now holds a total of 38,138 shares of the apparel retailer. The stock represents approximately 1.4% of their overall portfolio, ranking it as the 27th largest holding. As indicated in the recent SEC filing, Foyston Gordon & Payne Inc’s stake in Ross Stores was valued at around $5,740,000.

Changes by Other Investors

Other investment firms have also adjusted their positions in Ross Stores. For example, PGGM Investments increased its investment by an impressive 724.1% in the second quarter, acquiring an additional 21,833 shares and bringing its total to 24,848 shares valued at approximately $3,611,000. Additionally, Algert Global LLC raised its stake by 917.2% in the third quarter, owning 29,498 shares worth $4,440,000 after adding 26,598 shares. Diversified Trust Co grew its position by 47.5% in the second quarter, now holding 13,124 shares valued at $1,907,000, while Legal & General Group Plc saw a 10.3% increase in its stake, now owning over 2.7 million shares valued at around $397.7 million. Lastly, Quantinno Capital Management LP raised its position by 48.8%, owning 49,523 shares worth $7,454,000 after purchasing 16,248 additional shares. Institutional investors and hedge funds collectively own 86.86% of Ross Stores' stock.

Insider Trading Activity

In related news, COO Michael J. Hartshorn sold 8,366 shares of Ross Stores on September 16th, at an average price of $155.64, totaling approximately $1.3 million. This transaction resulted in a 7.51% reduction in his holdings, bringing his direct ownership to 103,049 shares, valued at $16,038,546. Insiders currently hold about 2.10% of the stock.

Overview of Ross Stores Performance

Ross Stores shares opened at $156.24 on a recent Tuesday, with the company boasting a market capitalization of $51.83 billion. Its P/E ratio stands at 24.60, and the business has shown a 52-week low of $127.53 and a high of $163.60. Other financial metrics include a quick ratio of 0.98, a current ratio of 1.57, and a debt-to-equity ratio of 0.29.

On November 21st, Ross Stores reported its quarterly earnings, achieving $1.48 in EPS, surpassing the expected $1.41 by $0.07. The company's revenue reached $5.10 billion, slightly below the analysts’ projected $5.15 billion, but represented a 3.6% increase year-over-year.

Dividend Declaration

The company recently announced a quarterly dividend of $0.3675 per share, payable to investors of record on December 10th, with an ex-dividend date also set for December 10th. This dividend translates to an annualized payout of $1.47, corresponding to a yield of 0.94%. Ross Stores has a dividend payout ratio of 23.15%.

Analyst Updates

Several brokerage firms have recently provided updates regarding their ratings on Ross Stores. Barclays raised their price target from $165.00 to $175.00, maintaining an “overweight” rating. Other firms, including TD Cowen and JPMorgan Chase & Co., have also adjusted their price targets, with overall analyst sentiment showing that the stock holds an average rating of "Moderate Buy" and an average price target of approximately $171.69.

Company Background

Ross Stores, Inc. operates off-price retail apparel and home fashion stores in the United States under the brands Ross Dress for Less and dd's DISCOUNTS. The retailer’s offerings primarily include apparel, accessories, footwear, and home fashions aimed at middle-income households.

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