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The TJX Companies, Inc. (TJX), headquartered in Framingham, Massachusetts, is an off-price retailer of apparel and home fashions with a vast network of stores across the U.S., Canada, Europe, and Australia. Specializing in delivering brand-name and designer products at significant savings, TJX operates well-known chains like T.J. Maxx, Marshalls, and HomeGoods. With a market cap of $128.6 billion, TJX is preparing to release its Q3 earnings report on Wednesday, Nov. 20.
Ahead of the event, analysts expect TJX to report a profit of $1.09 per share, up 5.8% from $1.03 in the year-ago quarter. The company has consistently topped or matched Wall Street's earnings estimates in the past four quarters.
Its adjusted earnings of $0.96 per share for the last quarter surpassed the consensus estimate by 4.4%. TJX’s quarterly solid performance was driven by higher customer transactions across divisions and reduced freight costs, leading to raised full-year guidance for profit margin and earnings.
For fiscal 2024, analysts expect TJX to report EPS of $4.15, up 10.4% from $3.76 in fiscal 2023.
TJX stock is up 21.3% on a YTD basis, marginally underperforming the broader S&P 500 Index's ($SPX) 21.8% gains. However, the stock has outperformed the VanEck Retail ETF’s (RTH) 15.4% gain over the same time frame.
TJX stock has outpaced the market this year, driven by strong consumer demand for off-price options, minimal clearance sales, and growth in both store and e-commerce channels amid shifting economic and fashion trends.
Shares of TJX Companies jumped 6.1% on Aug. 21 after posting a strong Q2 earnings report, with net sales up 5.6% year over year to $13.5 billion and net income surging 11.1%. The company also repurchased 5.1 million shares, rewarding shareholders.
The consensus opinion on TJX stock is bullish, with an overall “Strong Buy” rating. Of 24 analysts covering the stock, 21 advise a “Strong Buy” rating, and three suggest a “Hold.”
TJX’s average analyst price target is $129.41, suggesting a potential upside of 13.7% from the current levels.
On the date of publication, Rashmi Kumari did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
