Ross Stores Inc. (ROST): Today's Featured Services Laggard

Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.

Ross Stores ( ROST) pushed the Services sector lower today making it today's featured Services laggard. The sector as a whole closed the day up 1.2%. By the end of trading, Ross Stores fell $1.06 (-1.3%) to $80.26 on heavy volume. Throughout the day, 2,366,583 shares of Ross Stores exchanged hands as compared to its average daily volume of 1,282,900 shares. The stock ranged in price between $79.94-$81.55 after having opened the day at $81.55 as compared to the previous trading day's close of $81.32. Other companies within the Services sector that declined today were: Newlead Holdings ( NEWL), down 22.3%, Liquidity Service ( LQDT), down 18.7%, Seanergy Maritime Holdings ( SHIP), down 12.7% and Dolan ( DM), down 10.7%.

Ross Stores, Inc., together with its subsidiaries, operates off-price retail apparel and home fashion stores under the Ross Dress for Less and dd's DISCOUNTS brand names in the United States. It primarily offers apparel, accessories, footwear, and home fashions for the entire family. Ross Stores has a market cap of $17.5 billion and is part of the retail industry. The company has a P/E ratio of 21.0, above the S&P 500 P/E ratio of 17.7. Shares are up 49.7% year to date as of the close of trading on Wednesday. Currently there are 10 analysts that rate Ross Stores a buy, no analysts rate it a sell, and 7 rate it a hold.

TheStreet Ratings rates Ross Stores as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, impressive record of earnings per share growth, revenue growth, notable return on equity and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company shows weak operating cash flow.

On the positive front, Dex Media ( DXM), up 34.4%, Bon-Ton Stores ( BONT), up 23.0%, Point.360 ( PTSX), up 16.3% and Globus Maritime ( GLBS), up 12.8% , were all gainers within the services sector with CVS Caremark ( CVS) being today's featured services sector leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the services sector could consider iShares Dow Jones US Cons Services ( IYC) while those bearish on the services sector could consider ProShares Ultra Short Consumer Sers ( SCC).

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.
null

If you liked this article you might like

This Is How to Avoid Becoming Amazon Roadkill

How Long Can This Rally Run?: Cramer's 'Mad Money' Recap (Monday 9/19/17)

Cramer: How to Avoid Being Amazon Roadkill

Analysts Wrong on iPhone; Retail Not Going Away: Best of Cramer

Don't Get Shaken Out of Good Stocks: Cramer's 'Mad Money' Recap (Wed 9/13/17)