Ross' Basics Demand Resilient Despite Macroeconomic Uncertainty for Lower-Income Consumers

With a fast-turning inventory of high-value branded merchandise, Ross' store experience and value proposition should continue to resonate independent of economic conditions. Ross should benefit from a turbulent economic environment, as consumers refocus on value and as vendors grapple with oversupply amid fast-changing demand, and we forecast 3% same-store sales growth in 2023. Off-price retailers have not been derailed by past recessions; Ross’ comparable sales grew by 2% and 6% in fiscal 2008 and 2009, respectively.