TJX Companies stock price: what's the sentiment now?

4:32 pm ET, 02 Mar 2019

TJX Companies (TJX) shares are trading at $52.  The company closed out its fiscal 2018 on a high note and said that key sales and profitability metrics outpaced management's guidance to deliver strong earnings gains for the year. 

How awesome is that!

The company relied on operational improvement to boost cash returns to shareholders through a higher dividend and aggressive stock buybacks.

What is the sentiment towards the TJX stock? Our technical analysis shows that:

  • The stock short-term sentiment (next 30 days) is positive;
  • The mid-term sentiment (3-6 months) is trending positive;
  • The long-term sentiment (9-12 months) is trending positive. 

Over the last month, TJX Companies (TJX) returned +6.38%.

TJX Companies forward P/E ratio is 18.19, and it’s high compared to its industry peers’ P/E ratio.

TJX Companies, Inc. (TJX) average analyst price target ($53.35) is 2.56% above its current price ($52.02).

For the latest price and information on TJX Companies, please visit Finstead and just type "TJX" or "TJX analysis". We will answer any questions you might have about this stock. 

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TJX upcoming earnings: what to expect

1:28 pm ET, 09 Nov 2018

TJX Companies, Inc. (TJX) shares are trading at $55.28, down 0.47%. The company is announcing its quarterly earnings results on Tuesday before the market opens.  What's driving TJX stock price?  What's TJX stock price forecast?

TJX Companies is a leading off-price department store and a home fashion retailer. The stock appreciated significantly in the past year. It is now available at a forward P/E ratio of 20.32 and is priced aggressively compared to its industry peers.

Investors are showing interest in the company because of the strong cash flow and attractive business model.  On the other hand, few bearish investors worry about the rising competition in the retail sector. Last quarter’s revenue rose 12% to $9.33 billion and earnings per share came at 99 cents compared to 85 cents for the same period last year.

Earlier in the year, TJX's board approved a 2-for-1 stock split of the company's common stock by means of a stock dividend.  The number of authorized shares of the company's common stock increased from 1.2 billion to 1.8 billion shares.   The company's common stock was distributed on November 6. 

Third-quarter results will be released before market open on November 13, 2018.  Analysts expect the company to earn 61 cents per share on revenue of $9.49 billion. The company beat analysts' EPS estimates three times in the previous four quarter results.  

What is the sentiment towards the TJX stock? Our technical analysis shows that:

  • The stock short-term sentiment (next 30 days) is trending positive;
  • The mid-term sentiment (3-6 months) is trending positive;
  • The long-term sentiment (9-12 months) is trending positive. 

Over the last month, TJX Companies, Inc. (The) (TJX) returned -0.84%.

TJX Companies, Inc. (TJX) forward P/E ratio is 20.32, and it’s high compared to its industry peers’ P/E ratio.

TJX Companies, Inc. (TJX) average analyst price target is 1.76% above its current price.

For the latest price and information on TJX Companies, please visit Finstead and search for "TJX price" or "TJX news".

TJX Companies, Inc. (The) (TJX) Stock Guide

Updated at: 5:05 pm ET, 18 Sep 2020

Before we start: if you're looking for TJX stock price, you can quickly find it out by visiting Finny and typing "TJX quote". If you're looking for a quick scoop on TJX stock (chart, price target, market cap, news and buy or sell analysis), go to Finny and look for "TJX". You'll get all this info in one place. Or you can just type "TJX news" to get the latest stock news.

Looking to buy or sell TJX Companies, Inc. (The) (TJX)? Interested in getting the full scoop on TJX, including earnings and dividends, stock forecast, buy or sell analysis and key stats? If so, you came to the right place.

In this TJX stock guide, we'll address key questions about TJX, above and beyond what you can find on Yahoo Finance, Zacks, MarketWatch or Morningstar.

Here is what you'll be able to find in this guide:

Earnings and Dividends: earnings, earnings date, dividend rate and dividend yield;
Analyst Predictions: stock forecast and analyst ratings;
Analysis: Finny Score and buy or sell analysis;
Key Stats: revenue, market cap, revenue growth, profit margin, P/E ratio, P/B ratio, industry, sector, and number of employees.

And here is the list of questions we'll answer:
1. What are TJX earnings?
2. What is TJX stock forecast (i.e., prediction)?
3. TJX buy or sell? What is TJX Finny Score?
4. What are the reasons to buy TJX? Why should I buy TJX stock?
5. What are the reasons to sell TJX? Why should I sell TJX stock?
6. What are TJX key stats: revenue, market cap, revenue growth, profit margin, P/E ratio, P/B ratio industry, sector, and number of employees?

So let's start. Scroll down to the question that interests you the most.

Earnings and Dividends

1. What are TJX earnings?

TJX trailing 12-month earnings per share (EPS) is $0.58.

Analyst Predictions

2. What is TJX stock forecast (i.e., prediction)?

Based on TJX analyst price targets, TJX stock forecast is $63.00 (for a year from now). That means the average analyst price target for TJX stock is $63.00. The prediction is based on 27 analyst estimates.

The low price target for TJX is $54.00, while the high price target is $70.00.

TJX analyst rating is Buy.

Analysis

3. TJX buy or sell? What is TJX Finny Score?

#{finnyScore:40}Our quantitative analysis shows 4 reasons to buy and 6 reasons to sell TJX, resulting in Finny Score of 40.

4. What are the reasons to buy TJX? Why should I buy TJX stock?

Here are the reasons to buy TJX stock:

  • With its off-price retailing model and last-minute inventory purchasing, TJX can perform better in a climate of economic uncertainty or low demand than many other apparel retailers.
  • TJX has managed to profitably penetrate international markets, a feat achieved by few peers. This gives the firm significant growth opportunities in new and existing markets and a leader advantage.
  • Scale allows TJX to have more flexibility in inventory management, resulting in better localization of merchandise and mix and fewer markdowns.
  • During the first quarter of fiscal 2019, TJX Companies’ consolidated comps grew 3% year over year, fueled by greater customer traffic at all major segments. Customer traffic for TJX Companies grew for the 15th straight quarter. Management remains particularly impressed with the performance of Marmaxx and the superb show put up by its home and apparel categories.
  • TJX Companies has been witnessing year-over-year growth in both top and bottom lines for over a year now. The top-line growth can be largely attributable to solid customer traffic, which is backed by the company’s impressive merchandise mix, along with the other sales-driving efforts. Thanks to these efforts, TJX Companies reported solid first-quarter fiscal 2019 results, wherein both earnings and revenues improved year over year.
  • TJX Companies has an aggressive store-opening strategy. The company regularly opens stores and expands fast across the U.S., Europe and Canada. While many retailers are resorting to store closures, TJX Companies added around 71 stores in the first quarter.
  • The company has been returning value to its shareholders through dividends and share buybacks. During the first quarter of fiscal 2019, the company returned approximately $597 million to shareholders. As part of this, TJX Companies repurchased 4.9 million shares for $400 million and paid dividends worth $197 million.
  • TJX profitability is improving. The YoY profit margin change was 0.35 percentage points. See TJX profitability chart.
  • TJX average analyst rating is Buy. See TJX analyst rating chart.
  • TJX average analyst price target ($63.00) is above its current price ($56.02). See TJX price target chart.
  • TJX cash to debt ratio is 0.42, higher than the average industry (0.16) and sector (0.13) cash to debt ratio. See TJX cash to debt chart.

5. What are the reasons to sell TJX? Why should I sell TJX stock?

Let's look at the reasons to sell TJX stock (i.e., the bear case):

  • TJX may eventually have difficulty sourcing merchandise if the economy improves and suppliers have better sell-through or if more competitors enter the space, such as Macy's. However, this hasn't happened as of yet.
  • TJX may become over-stored, especially in the U.S., as it expands its brick-and-mortar base at roughly 6% on an annual basis.
  • If consumer confidence stabilizes, wages increase, and spending improves, consumers may trade back up to full-price department stores and specialty retailers.
  • TJX Companies had announced wage increase for all full and part-time hourly U.S. store associates during the fourth-quarter fiscal 2016 conference call. This has been hurting the company’s profits to a certain extent. During the first quarter of fiscal 2018, wage rise dented earnings growth by approximately 2%.
  • TJX Companies provides goods at discounted prices. For example, TJX has been selling coveted apparel brands such as Tommy Hilfiger and Marc Jacobs at prices 20%-60% prices than those offered by others. Despite rising product costs, TJX, being an off-price retailer, cannot increase the price of its products, which may lead to lower margins.
  • TJX Companies does not have any presence in the developing markets which deprives it of the benefits of high growth opportunities of the developing nations like China, Brazil, India, Mexico, Russia and Southeast Asia. Since the developed markets of Europe, America and Canada are already saturated, most of the U.S. companies are looking toward the emerging ones, which offer great growth opportunity owing to the growing population and affluent middle class. TJX Companies, however, does not have any plans to open stores in any of these markets.
  • TJX quarterly revenue growth was -31.80%, lower than the industry and sector average revenue growth (0.23% and 0.78%, respectively). See TJX revenue growth chart.
  • TJX forward P/E ratio is 21.85, which is high compared to its industry peers’ P/E ratios. See TJX forward P/E ratio chart.
  • TJX Price/Book ratio is 14.22, which is high compared to its industry peers’ P/B ratios. See TJX forward Price/Book ratio chart.
  • TJX PEG ratio (P/E adjusted for growth) is 173.94, which is high compared to its industry peers’ PEG ratios. See TJX PEG chart.
  • TJX short interest (days to cover the shorts) ratio is 2.2. The stock garners more short interest than the average industry, sector or S&P 500 stock. See TJX short interest ratio chart.
  • TJX Enterprise Value/Revenue multiple is 2.21, which is high compared to its industry peers’ Enterprise Value/Revenue multiples. See TJX Enterprise Value/Revenue chart.

Key Stats

6. What are TJX key stats : revenue, market cap, revenue growth, profit margin, P/E ratio, P/B ratio industry, sector, and number of employees?

Let's look at the key statistics for TJX:

Metrics TJX
Price $53.18
Average Price Target / Upside $63.00 / 18.47%
Average Analyst Rating Buy
Forward Dividend Yield 0.00%
Industry Apparel Stores
Sector Consumer Cyclical
Number of Employees 249,000
Market Cap $66.27B
Forward P/E Ratio 21.85
Price/Book Ratio 1.96
Revenue (TTM) $33.73B
YoY Quarterly Revenue Growth -31.80%
Profit Margin 2.11%

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