Ross Stores Stock Tumbles as Retailer Pulls Outlook Amid Tariff Uncertainty

Shares of Ross Stores (ROST) sank Friday, dropping a day after the discount retailer pulled its full-year outlook due to the uncertainty caused by the Trump administration’s shifting tariff policies.

“Heightened macroeconomic and geopolitical uncertainty persists, most notably prolonged inflation and evolving trade policies,” CEO Jim Conroy said. “While we directly import only a small portion of our merchandise, more than half of the goods we sell originate from China. As such, we expect pressure on our profitability if tariffs remain at elevated levels.”

The retailer only gave forecasts for the second quarter, and withdrew its full-year forecasts “given the varying nature of tariff announcements.”

Ross stock was recently down about 15%. The drop reversed much of the shares’ recent runup, returning the stock to prices last seen more than a month ago.

In its first-quarter results after the bell Thursday, Ross Stores reported earnings per share of $1.47 on revenue of $4.98 billion. Both metrics came in slightly above Visible Alpha consensus.

JPMorgan analysts kept their “overweight” rating on the retailer, but cut their price target by $20 to $141 following the results.

This story has been updated since it was first published to reflect new share-price information.