Ross Stores, Inc. reported strong Q3 fiscal 2025 results with earnings and sales beating estimates. Net sales totaled $5.6 billion, up 10% YoY, and comparable store sales improved by 7%. Despite tariff-related costs, earnings per share reached $1.58, exceeding the consensus estimate of $1.40.

COGS increased 35 bps YoY, while distribution costs rose 60 bps due to new distribution centers and tariffs. SG&A remained flat, impacting the operating margin of 11.6%. Ross Stores ended Q3 with $3.8 billion in cash and repurchased $262 million worth of shares.

For Q4, Ross Stores expects comps growth of 3-4%, total sales to increase 6-7%, and an EPS range of $1.77-$1.85. The company raised its full-year EPS outlook to $6.38-$6.46 for fiscal 2025. Ross Stores plans to end the year with 1,903 Ross stores and 360 dd’s locations.

Other stocks to consider include American Eagle Outfitters, Inc. (AEO), Boot Barn Holdings, Inc. (BOOT), and Amazon.com, Inc. (AMZN), with growth projections and Zacks Rank of 2. The Zacks Consensus Estimate for their sales and earnings show promising figures for potential investment opportunities.

Read more at Nasdaq: Ross Stores Q3 Earnings & Sales Beat Estimates, Comps Outlook Raised