Stock AnalysisJuly 14, 2026 · 6 min read

Is Ross Stores Stock (ROST) Halal? Current Quantitative Sharia Screen

Ross Stores operates off-price apparel and home-goods retailers; this page combines current filing-backed ratios with qualitative business analysis.

Time-sensitive screening snapshot: financial ratios and business mix can change after each filing. This is educational research, not a fatwa or investment advice. Verify the latest filing and your preferred Sharia standard before acting.

The Short Answer

Ross Stores stock (ROST) is generally halal at the activity level and passes the entered asset-based financial checks, with methodology-dependent caveats. Ross Dress for Less and dd's DISCOUNTS sell apparel, footwear, accessories and home goods, which are generally permissible. The filing does not provide a universal prohibited-revenue numerator for every merchandise category, so this is a qualified screen rather than a certification.

Current quantitative Sharia screen

Based on 10-Q figures for the period ended 2026-05-02; calculated 2026-07-14.

USD · millions
Interest-bearing debt / assets
6.55%Within limit
Below 33.333% under FTSE Yasaar

1,018.187 / 15,554.572

Cash + interest-bearing securities / assets
26.56%Within limit
Below 33.333% under FTSE Yasaar

4,130.98 / 15,554.572

Receivables + cash / assets
27.92%Within limit
Below 50% under FTSE Yasaar

4,343.52 / 15,554.572

Non-compliant income / revenue
0.56%Within limit
No more than 5% under FTSE Yasaar

33.449 / 6,010.476

FTSE Yasaar
v4.6, February 2026
Financial
Pass
Overall
Incomplete

Debt is 6.55%, liquidity is 26.56%, receivables plus cash/assets is 27.92% and disclosed interest income/revenue is 0.56%; the examined financial ratios pass. The downstream prohibited-revenue percentage remains unavailable.

MSCI Islamic (total-assets series)
October 2024 methodology
Financial
Pass
Overall
Incomplete

Debt, liquidity, receivables plus cash and disclosed interest income pass the examined MSCI total-assets checks. This is a calculation against the named method, not an index-membership claim; product allocation remains incomplete.

Malaysia SAC financial ratios
single 5% activity benchmark adopted November 2025
Financial
Pass
Overall
Incomplete

Debt is 6.55%, liquidity is 26.56%, receivables plus cash/assets is 27.92% and disclosed interest income/revenue is 0.56%; the examined ratios pass. This is a calculation against SAC ratios, not an official classification of a U.S.-listed security.

Market-cap denominator methods
MSCI M-Series, S&P and Dow Jones methods differ
Financial
Not calculated
Overall
Not calculated

A properly licensed and reproducible historical market-cap series is not stored, so these methods are not estimated from a current spot price.

Business-activity disclosure

Ross Stores operates Ross Dress for Less and dd's DISCOUNTS, off-price retailers of apparel, footwear, accessories and home goods. General merchandise retail is generally permissible at the business-line level.

Limitation: The filing reports consolidated merchandise sales but does not provide a scholar-specific prohibited-revenue numerator for every product category, licensed item or customer use.

Purification

Disclosed interest income is 0.56% of quarterly sales. A universal prohibited-revenue numerator and scholar-approved purification percentage are not separately disclosed, so this record does not prescribe a fixed rate.

Inputs, assumptions and primary sources
  • Inputs use Ross Stores' May 2, 2026 Form 10-Q; amounts are USD millions converted from the filing's thousands presentation.
  • Interest-bearing debt is $1,018.187 million, comprising $241.344 million of current maturities and $776.843 million of long-term debt; operating lease liabilities are excluded.
  • Cash and cash equivalents are $4,130.980 million; restricted cash is not added to the operating cash input.
  • Accounts receivable are $212.540 million. The filing does not report a separate interest-bearing securities portfolio in the balance sheet.
  • Quarterly sales are $6,010.476 million and disclosed interest income, net is $33.449 million. The filing does not provide a universal prohibited-revenue numerator for merchandise categories or downstream customers.

This is a reproducible financial screen, not a fatwa. A failed total-assets screen can coexist with a pass under a market-cap methodology. ZakatInvest keeps the qualitative assessment separate so numerical thresholds do not erase material context.

This is a reproducible ZakatInvest calculation from Ross Stores' first-quarter fiscal 2026 Form 10-Q for the period ended May 2, 2026. It is not a fatwa, an index-membership claim or personalized investment advice.

Current Quantitative Screen (May 2, 2026)

  • Debt / assets: 6.55% — $1,018.187 million of interest-bearing debt against $15,554.572 million of assets
  • Cash / assets: 26.56% — $4,130.980 million of cash and cash equivalents
  • Receivables + cash / assets: 27.92% — $212.540 million of accounts receivable plus cash
  • Disclosed interest income / sales: 0.56% — $33.449 million over $6,010.476 million of quarterly sales
  • Market-cap denominator methods: Not calculated because a licensed, reproducible historical market-cap series is not stored

The entered financial ratios pass the examined FTSE Yasaar, MSCI total-assets and Malaysia SAC calculations. The overall record remains incomplete because product-level prohibited revenue and a market-cap denominator are not disclosed here.

Ross Stores' Business Activity

Ross Dress for Less and dd's DISCOUNTS use an off-price model: the company buys branded and closeout merchandise and sells it through discount stores. Apparel, footwear, accessories and home goods are generally permissible retail categories. Seasonal buying and closeout sourcing mean that the exact assortment changes over time.

Qualitative Issues to Keep in View

Merchandise look-through

Ross reports consolidated merchandise sales rather than a scholar-specific taxonomy for every SKU, licensed design or product use. Investors with a strict product-screen standard should apply their own look-through treatment instead of assuming that every item is classified identically.

Debt and interest income

Ross has conventional notes and reported $33.449 million of net interest income in the quarter. The ratio is below the examined income benchmark, but no fixed purification percentage is prescribed because purification depends on the investor's qualified methodology.

Retail operating diligence

Labor practices, supplier conduct, inventory markdowns, data privacy and store execution are broader ethical and financial diligence topics that are separate from the numerical screen.

How to Read the Result

ROST's off-price retail activity is generally permissible and the entered financial ratios pass. The result is not an unconditional certification: product allocation and market-cap denominator methods are not calculated, and qualified scholars may differ on merchandise look-through and purification.

Bottom Line

Ross Stores is currently generally halal with methodology-dependent caveats. As of May 2, 2026, debt/assets are 6.55%, receivables plus cash/assets are 27.92% and disclosed interest income/sales is 0.56%. Investors should review the current assortment and apply the methodology of a qualified Sharia adviser.

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