Gap vs Ross Stores
GAP and ROST side by side, both in family clothing stores. Figures are trailing twelve months unless noted, from SEC filings and end-of-day prices.
How GAP and ROST compare
Ross Stores is the larger company, worth 9.3 times as much as Gap ($72.9B against $7.8B).
On earnings, Gap is cheaper: it trades at 6.7× trailing earnings, against 27.6× for Ross Stores.
Ross Stores grew revenue faster over the last twelve months (14.0% versus 1.1% for Gap).
Ross Stores keeps more of each dollar of sales as profit, with a net margin of 10.8% compared with 8.1% at Gap.
Both pay dividends: Gap yields 3.1% and Ross Stores 0.76%.
Ross Stores scores higher on the StockData Score (18 against 17 for Gap), which adds up 30 checks on valuation, growth, past performance, financial health and dividends.
Key numbers
A dot marks the better figure where higher or lower is clearly better.
| Metric | GAP | ROST |
|---|---|---|
| Size and price | ||
| Market cap | $7.8B | $72.9B |
| Share price | $22.32 | $228.28 |
| Change, 1 year | −5.8% | 44.2% |
| Change, 5 years | −10.3% | 90.8% |
| Beta (5Y) | 1.46 | 0.90 |
| Employees | 79K | 111K |
| StockData Score | ||
| Total score | 17 | 18 (better) |
| Valuation score | 6 (better) | 0 |
| Growth score | 1 | 4 (better) |
| Performance score | 2 | 6 (better) |
| Health score | 5 | 5 |
| Dividend score | 3 | 3 |
| Valuation | ||
| P/E | 6.7× (better) | 27.6× |
| P/S | 0.5× (better) | 3.0× |
| P/B | 2.0× (better) | 10.8× |
| EV/EBITDA | 3.1× (better) | 17.8× |
| P/FCF | 8.2× (better) | 26.1× |
| PEG | – | 1.88 |
| FCF yield | 12.2% (better) | 3.8% |
| Fair value | $38.92 | $120.77 |
| Margin of safety | 42.6% (better) | −89.0% |
| Growth | ||
| Revenue growth (TTM) | 1.1% | 14.0% (better) |
| Revenue growth, 5Y average | 2.2% | 12.7% (better) |
| Net income growth (TTM) | 40.3% (better) | 28.9% |
| EPS growth (TTM) | 43.3% (better) | 31.3% |
| EPS growth, 5Y average | – | 94.1% |
| Profitability | ||
| Gross margin | 43.3% (better) | 29.7% |
| Operating margin | 11.0% | 13.7% (better) |
| Net margin | 8.1% | 10.8% (better) |
| FCF margin | 6.2% | 11.4% (better) |
| Return on equity | 33.8% | 42.6% (better) |
| Return on invested capital | 45.2% | 74.4% (better) |
| Financial health | ||
| Debt / equity | 0.38 | 0.15 (better) |
| Net debt / EBITDA | −0.45 | −0.84 |
| Interest coverage | 18.1× | – |
| Current ratio | 1.82 (better) | 1.61 |
| Altman Z-score | 2.82 | 7.66 (better) |
| Piotroski F-score | 6 | 6 |
| Dividends and buybacks | ||
| Dividend yield | 3.1% (better) | 0.76% |
| Payout ratio | 20.0% | 20.6% |
| Years of dividend growth | 1 | 5 (better) |
| Dividend growth, 5Y average | 22.2% | 41.6% (better) |
| Buyback yield | 7.7% (better) | 1.6% |
| Shareholder yield | 10.8% (better) | 2.4% |
| Ownership | ||
| Held by institutions | 62.8% | 94.0% |
| Held by insiders | 40.9% | 2.1% |
| Insider net buying, 12 months | −$60.1M | −$23.0M (better) |
| Short interest, % of float | 12.4% | 3.3% |
Go deeper
- GAP stock overview
- GAP income statement
- GAP valuation and score
- ROST stock overview
- ROST income statement
- ROST valuation and score
Other comparisons
For information only, not investment advice. Check the source filings before relying on any figure.