Ross Stores rises after Jefferies upgrades to 'buy'

Shares of discount store operator Ross Stores ROST.O up 1.6% at $132.05 premarket

Jefferies upgrades ROST to "buy" from "hold"; raises PT to $150 from $135, upside of 15.4% to stock's last close

Brokerage says strong merchandising and favorable comparable sales comparison can drive comparable sales acceleration in second half of year and in next few years

Expects further comparable sales boost if interest rates are reduced and housing improves, sees profit expansion opportunity in 2026 despite tariff headwinds from existing margin improvement momentum

Also sees upside to shares as valuation discount to peers is near widest in recent history

Average rating of 20 analysts is "buy", with median PT of $153 - data compiled by LSEG

Up to last close, stock has fallen 14% YTD