Ross Stores stock gets UBS boost as CEO targets productivity gap
Published on 11/02/2026 at 12:40 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWSUBS sees room for operational gains
- UBS upgraded Ross Stores from Neutral to Buy as CEO James Conroy works to narrow the productivity gap with TJ Maxx.
- Ross Stores productivity rose 24 percent by the end of 2025, compared with 44 percent for TJ Maxx, according to UBS.
- The bank expects annual revenue growth of 8.5 percent over the next two years, above consensus expectations.
Ross Stores stock drew a more bullish view from UBS on Monday, October 26, after the bank upgraded the retailer to Buy from Neutral and lifted its price target to 315 US dollars from 239 US dollars. CNBC reported that UBS expects Chief Executive James Conroy to improve the retailer's store productivity and support future sales growth.
The broker's case centers on Ross Stores' gap with TJ Maxx, the larger off-price rival. UBS said the two retailers had broadly similar productivity in 2017, but by the end of 2025 TJ Maxx had increased productivity 44 percent, compared with 24 percent at Ross Stores.
Productivity is the central catalyst
UBS identified improved merchandise and brand selection, stronger in-store execution and more effective marketing as the main levers. Conroy joined Ross Stores in February 2025, and the bank sees his operating approach as a route to narrowing the gap with TJ Maxx.
The bank expects Ross Stores revenue to grow at a compound annual rate of 8.5 percent over the next two years. CNBC said that forecast is 260 basis points above the consensus estimate. UBS also expects the recent comparable-store-sales momentum to continue beyond 2026 and to support upward earnings revisions.
For investors, the thesis depends on execution rather than the rating change alone. Future reports will show whether stronger traffic, merchandise decisions and store operations translate into higher productivity and sustained comparable sales. The company has also completed its 2026 store expansion plan, while its next results are scheduled for November 19, according to the company's topic page.
The real-time quote of Ross Stores stock traded at 203.95 euros on Lang & Schwarz at 12:34 CET on Monday, November 2, 2026.
Ross Stores stock at a glance
- Company: Ross Stores, Inc.
- ISIN: US7782961038
- Ticker: ROST
- Sector: Retail
- Quote: 203.95 euros on Lang & Schwarz at 12:34 CET on Monday, November 2, 2026
For broader market context, the S&P 500 is the relevant US equity benchmark for Ross Stores stock.
