ROST ROST

Name: ROST Crucible Score
Creator: Kaladin Capital Intelligence

UnknownUnknownN/A📅 Scored March 31, 2026

Price at analysis: $219.98

Crucible Score

59.7

C+

Quality × Value Composite

KQI — Quality

70.7

Fundamental Quality Index

KVI — Value

46.2

D+

Valuation Attractiveness Index

Crucible Verdict — ROST

ROST earns a middling C+ rating driven by solid operational fundamentals but lackluster growth prospects and value creation. The company demonstrates strong financial quality (80) and management effectiveness (78) with an impressive 89% earnings beat rate, yet growth remains anemic at 51 and the stock trades near fair value. Insider selling amid performance-based compensation raises questions about management's confidence in accelerating growth.

— Kal, Kaladin Capital Intelligence

◆ KQI Quality Dimensions

Financial Quality

79.9

Growth Profile

51.3

Moat Durability⚠

73.2

Management Effectiveness

78.4

Diversification & Resilience

66.5

Market Position

54.0

Weakest dimension: Growth Profile (51.3)

◆ KVI Value Dimensions

DCF Margin of Safety

61.0

FCF Yield & Cash Returns

35.1

Relative Valuation

59.2

Growth-Adjusted Value

43.2

Historical Valuation

5.5

Macro Context

47.2

◆ DCF Valuation Scenarios

Bear Case

$168.42

Base Case

$232.15

Bull Case

$312.87

Price at Analysis

$219.98

Scenario	Fair Value	Rev CAGR (5yr)	Terminal Margin	WACC
🔴 Bear	$168.42	4.0%	10.5%	9.8%
🟢 Base	$232.15	6.0%	12.0%	9.3%
🟢 Bull	$312.87	8.0%	13.5%	8.8%

Key Assumptions: Revenue growth anchored to 5-year historical CAGR of ~4.7%, with bear assuming macro headwinds slow growth to 4% and margins compress toward 10.5%, base continuing trend at 6% with stable 12% operating margins, and bull reflecting accelerated store openings and market share gains at 8% growth with margin expansion to 13.5%. WACC derived using CAPM with 0.93 beta and 5.25% ERP for base (5.75% bear, 4.75% bull), reflecting off-price retail's moderate cyclicality. D&A assumed at ~2.1% of revenue with capex at 3.7% based on trailing averages; net debt of ~$618M applied across scenarios.

◆ Financial Snapshot

Profitability

Gross Margin27.9%

Operating Margin11.9%

Net Margin9.4%

ROIC17.0%

ROE37.4%

Balance Sheet

Balance SheetCR: 1.58

Cash ConversionFCF/EPS: 1.03x

Capital IntensityCapex/Rev: 3.6%

Altman Z-Score6.67 (Safe)

Piotroski F-Score8/9 (Strong)

Growth

Revenue CAGR4.7% CAGR

Earnings CAGR5.6% CAGR

Growth ConsistencyCV: 2.25

Segment Breadth4/6 growing (67%)

Quarterly TrendRev∆, WC↓

Earnings CredibilityConsistent Beater

◆ Analyst Consensus & Leadership

Leadership & Governance

CEOBorja Perez · 4 years

CEO Ownership2.2%

Compensation91% performance-based

Insider ActivitySelling

Capital AllocationROIC 17.0% vs WACC 0.5%

Earnings Beat Rate89% (18/22)

◆ Related Companies in Our Universe

Other Unknown companies scored by the Crucible:

ADBE81.8A-NICE80.7A-DECK79.9A-INTU79.9A-EXEL78.3A-MTCH78.2A-TTD78.0B+

Methodology All Scores Crucible Briefs Performance @KaladinCI

Analysis conducted March 31, 2026 based on most recent SEC filings. Updated quarterly, after new SEC filings.

Point-in-time fundamental analysis. Not investment advice. Scores reflect company quality and valuation at time of analysis and may not reflect current market conditions.