Ross Stores Lowers FY22 Outlook; Shares Down 20%

(RTTNews) - While reporting its results for the first quarter on Thursday, Ross Stores Inc. (ROST) lowered its outlook for the full year 2022, sending the company's shares down over 20% in extended trading session.

Looking ahead, CEO Barbara Rentler said, "Given our first quarter results and today's increasingly uncertain macro-economic and geopolitical environment, we believe it is prudent to adopt a more conservative outlook for the balance of the year."

The company now expects comparable store sales to decline 2% to 4% and earnings of $4.34 to $4.58 per share for the full year 2022. Previously, the company expected comparable store sales to be flat to up 3% and earnings of $4.71 to $5.12 per share.

Analysts polled by Thomson Reuters currently expect earnings of $5.02 per share for the year.

For the second quarter, the company now forecast same store sales to decrease 4% to 6% with earnings projected to be $0.99 to $1.07 per share. Analysts currently expect earnings of $1.33 per share for the quarter.

ROST closed Thursday's trading at $92.70, down $0.10 or 0.11%, on the Nasdaq. The stock further dropped $20.89 or 22.54% in the after-hours trade.