Goldman Sachs has adjusted its price target for Ross Stores (ROST, Financial) to $177, down from the previous estimate of $188, while maintaining a Buy rating on the stock. This revision comes as the firm recalibrates its outlook for the U.S. apparel and softlines sector, considering a more cautious macroeconomic environment.
Goldman Sachs has also revised its projections for U.S. GDP growth, anticipating a slowdown to 0.5% in 2025 from an earlier estimate of 2.5% in 2024, evaluated on a Q4-to-Q4 basis. Analysts at the firm now assign a 45% probability of an economic recession.
Although a complete recession scenario has not been fully integrated into their forecasts, the firm acknowledges potential risks to earnings due to ongoing market volatility, elevated geopolitical tensions, and increased tariff rates.
