A growing dividend is a great indicator of a mature business and of the competency of its management team. This is because, over longer periods of time, dividend growth can only be sustained by business growth. Having just upped its quarterly dividend per share by 8.1% to $0.335, Ross Stores (NASDAQ: ROST) arguably fits this profile to a T.

But is Ross Stores' stock a buy for dividend growth investors? Let's delve into the off-price retailer's fundamentals and valuation to get an answer. 

Ross Stores is the biggest off-price apparel and home fashion retailer in the United States. The company's "no frills" approach of no window displays or mannequins differentiates it from department stores. The California-based business also has prudent buying agents who scour the world for the best brands, leveraging its massive purchasing power in negotiations with suppliers. These factors explain how Ross Stores can offer customers 20% to 60% off department and specialty store regular prices for its merchandise.

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Source Fool.com