ROSS STORES, INC. (ROST)

Ross Stores, Inc. operates two off-price retail apparel and home fashion chains in the United States: Ross Dress for Less, the largest off-price apparel and home fashion chain in the country with 1,904 stores across 44 states, the District of Columbia, Guam, and Puerto Rico, and dd's DISCOUNTS, a smaller chain of 363 stores in 22 states offering more moderately-priced merchandise, together comprising 2,267 total stores as of January 31, 2026. Both brands sell first-quality, in-season, brand name and designer apparel, accessories, footwear, and home fashions for the entire family at discounts of 20% to 60% (Ross) and 20% to 70% (dd's DISCOUNTS) below regular department, specialty, and discount store prices every day, with Ross targeting primarily middle-income households and dd's DISCOUNTS targeting lower to more moderate income households, both emphasizing value-driven customers through a "treasure-hunt" shopping experience. Merchandise categories include apparel, footwear, home accents and furniture, beauty, bed and bath, accessories, gourmet food, toys, luggage, pet accessories, electronics, jewelry and watches, and cookware, sourced primarily through direct purchases from manufacturers using off-price buying strategies such as close-out purchases, upfront purchases, and packaway inventory, supported by buying offices in New York City, Los Angeles, and Boston and a merchant organization of over 800 buyers.

The company operates centralized distribution processing facilities and regional cross-dock facilities to supply stores, which are located predominantly in community and neighborhood shopping centers in urban and suburban areas, with a strategy of clustering stores to build market penetration and economies of scale. Marketing efforts combine traditional and streaming television, digital and social media, and store grand openings to communicate the company's value proposition. As of January 31, 2026, the company employed approximately 111,000 associates, with over 85% working in retail stores, and none covered by collective bargaining agreements.

The company competes in the highly fragmented and competitive retail apparel and home fashion industry against online retailers, department stores, specialty stores, discount stores, warehouse stores, other off-price retailers, and manufacturer-owned outlet stores, differentiating itself through significant discounts on brand name merchandise, broad and well-balanced product assortments, and convenient, easy-to-shop store environments, with sales that are generally higher in the second half of the year due to back-to-school and holiday seasons.