Wall Street Breakfast Podcast: Ross Finds Value In Value

Wall Street Breakfast 5.74M Followers Subscribe Summary Ross Stores (ROST) delivered a blowout quarter, with double-digit comparable sales growth and net income nearly doubling year-over-year. Starbucks trims corporate ranks as coffeehouse investments deliver. ChatGPT can now read, write and send messages on Apple Mac. bgwalker/iStock Unreleased via Getty Images Download this episode on Apple Podcasts / Spotify or listen below: Ross ( ROST ) rings up another blowout quarter. (00:13) ChatGPT ( OPENAI ) moves one step closer to your daily digital life . (01:29) Starbucks ( SBUX ) trims deeper . (02:10) This is an abridged transcript. Ross Stores ( ROST ) saw an increase in new customers and higher engagement from existing customers. The company delivered another stellar quarter with double-digit growth in comparable store sales and net revenue and nearly double the net income year-over-year. The better-than-expected results led Ross ( ROST ) to raise its guidance for the year and raise the number of new stores expected to open in 2026 to 115. This includes 90 Ross Dress for Less and 25 dd’s DISCOUNTS stores. The company’s results not only beat management’s expectations but also exceeded Wall Street’s estimates by a comfortable margin with a 14% increase in total sales to $6.3B ($140M better than expected) and an unadjusted profit of $2.66 per share($0.71 above estimates). These results include $253M in IEEPA tariff refunds, benefiting earnings by $0.60 per share. Moreover, comparable store sales increased by 10% on top of a 2% increase last year. Ross is up 8% in premarket action. OpenAI's ( OPENAI ) ChatGPT can now read, write and send messages on Apple Mac. The newly added capacity allows ChatGPT users to search through messages and provide summaries and other information from conversations stored in Apple’s Messages app. This feature is integrated into the ChatGPT desktop app for Mac rather than Apple’s ( AAPL ) built-in ChatGPT extension for Apple Intelligence. Users must opt in through permission settings in both ChatGPT and macOS. OpenAI ( OPENAI ) said the integration requires explicit user consent and does not create an index of all messages. Starbucks ( SBUX ) is continuing to reduce its corporate workforce, with 104 employees in its Store Development and Design department to be given the pink-slip. Another 120 employees who chose not to relocate from Seattle to a new corporate office in Nashville will also be let go. Since early 2025, Starbucks ( SBUX ) has eliminated as many as 2,500 corporate positions. Since the new CEO took over in September 2024 and launched his “Back to Starbucks” initiative, shares have gained 13% in value. What’s Trending on Seeking Alpha: U.S. to end summer blend gasoline requirement early in bid to help curb pump prices Gold could top $5,000 by next year, Morgan Stanley says Nvidia might go Hulk mode, as Jefferies expects Q2 revenue to smash estimate by $3B Catalyst watch: The English Premier League season will begin. Manchester United ( MANU ) is the stock most impacted by how the season progresses. Analysts think sports betting operators DraftKings ( DKNG ), FanDuel ( FLUT ), and BetMGM ( MGM ) ( GMVHF ) may see increased betting interest in soccer this year as a result of the World Cup. Comcast ( CMCSA ) is the broadcaster for the English Premier League in the U.S. through NBC and Peacock and Sky in the UK. Stock index futures are in the green. Crude oil is down 0.8% at $86. Brent crude is down 0.8% at $93. The FTSE 100 is up 0.2% and the DAX is up 0.3%. One stock on the biggest movers list: MicroStrategy ( MSTR ) +10% - Shares rallied after the firm returned to profitability on its Bitcoin holdings. Economic calendar: 9:45 am PMI Composite Flash 1:00 pm Baker Hughes Rig Count And don’t forget to take the Investment News Quiz for the week! This article was written by Wall Street Breakfast 5.74M Followers Subscribe Wall Street Breakfast, Seeking Alpha's flagship daily business newsletter, is a one-page summary that gives you a rapid overview of the day's key financial news. It is designed for easy readability on the site or by email (including mobile devices) and is published before 7:30 AM ET every market day. Wall Street Breakfast's readership of more than 1 million subscribers includes many from the investment banking and fund management industries. Sign up here to receive the Wall Street Breakfast in your inbox every business day.