WallStSmart

Ross Stores Inc (ROST)vsVictoria's Secret & Co (VSCO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Ross Stores Inc generates 263% more annual revenue ($23.78B vs $6.55B). ROST leads profitability with a 9.7% profit margin vs 2.5%. VSCO trades at a lower P/E of 30.9x. ROST earns a higher WallStSmart Score of 64/100 (C+).

ROST

Buy

64

out of 100

Grade: C+

Growth: 8.0Profit: 7.5Value: 3.3Quality: 7.0
Piotroski: 5/9Altman Z: 3.11

VSCO

Hold

47

out of 100

Grade: D+

Growth: 4.0Profit: 6.0Value: 4.7Quality: 3.8
Piotroski: 3/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ROSTOvervalued (-8.3%)

Margin of Safety

-8.3%

Fair Value

$177.87

Current Price

$251.06

$73.19 premium

UndervaluedFair: $177.87Overvalued

Intrinsic value data unavailable for VSCO.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ROST5 strengths · Avg: 9.0/10
Return on EquityProfitability
36.7%10/10

Every $100 of equity generates 37 in profit

Altman Z-ScoreHealth
3.1110/10

Safe zone — low bankruptcy risk

Market CapQuality
$76.41B9/10

Large-cap with strong market position

Revenue GrowthGrowth
20.6%8/10

Revenue surging 20.6% year-over-year

EPS GrowthGrowth
37.4%8/10

Earnings expanding 37.4% YoY

VSCO0 strengths · Avg: 0/10

No standout strengths identified

Areas to Watch

ROST3 concerns · Avg: 3.3/10
P/E RatioValuation
33.2x4/10

Premium valuation, high expectations priced in

Price/BookValuation
12.8x4/10

Trading at 12.8x book value

PEG RatioValuation
2.792/10

Expensive relative to growth rate

VSCO4 concerns · Avg: 3.5/10
P/E RatioValuation
30.9x4/10

Premium valuation, high expectations priced in

Price/BookValuation
8.3x4/10

Trading at 8.3x book value

Profit MarginProfitability
2.5%3/10

2.5% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : ROST

The strongest argument for ROST centers on Return on Equity, Altman Z-Score, Market Cap. Revenue growth of 20.6% demonstrates continued momentum.

Bull Case : VSCO

VSCO has a balanced fundamental profile.

Bear Case : ROST

The primary concerns for ROST are P/E Ratio, Price/Book, PEG Ratio.

Bear Case : VSCO

The primary concerns for VSCO are P/E Ratio, Price/Book, Profit Margin. Debt-to-equity of 3.32 is elevated, increasing financial risk. Thin 2.5% margins leave little buffer for downturns.

Key Dynamics to Monitor

ROST profiles as a growth stock while VSCO is a value play — different risk/reward profiles.

VSCO carries more volatility with a beta of 2.25 — expect wider price swings.

ROST is growing revenue faster at 20.6% — sustainability is the question.

VSCO generates stronger free cash flow (649M), providing more financial flexibility.

Bottom Line

ROST scores higher overall (64/100 vs 47/100) and 20.6% revenue growth. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Ross Stores Inc

CONSUMER CYCLICAL · APPAREL RETAIL · USA

Ross Stores, Inc., operating under the brand name Ross Dress for Less, is an American chain of discount department stores headquartered in Dublin, California.

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Victoria's Secret & Co

CONSUMER CYCLICAL · APPAREL RETAIL · USA

Victoria's Secret & Co (VSCO) is a prominent specialty retailer recognized for its esteemed brands, primarily Victoria's Secret and PINK, offering a wide range of women's lingerie and personal care products. The company is strategically enhancing its omnichannel presence to better engage customers and respond to market dynamics, with a strong emphasis on brand repositioning and sustainability efforts. By prioritizing consumer preferences and exploring new growth opportunities, VSCO aims to strengthen its market position and drive long-term value creation in an increasingly competitive retail sector.

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