TJX Companies (NYSE:TJX) Issues Earnings Results

TJX Companies (NYSE:TJX) issued its quarterly earnings data on Wednesday. The apparel and home fashions retailer reported $1.19 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.02 by $0.17, Briefing.com reports. The business had revenue of $14.32 billion for the quarter, compared to the consensus estimate of $14.02 billion. TJX Companies had a net margin of 9.10% and a return on equity of 57.70%. The company’s quarterly revenue was up 9.2% compared to the same quarter last year. During the same period in the previous year, the firm earned $0.92 EPS. TJX Companies updated its FY 2027 guidance to 5.080-5.150 EPS and its Q2 2027 guidance to 1.150-1.170 EPS.

Here are the key takeaways from TJX Companies’ conference call:

• TJX delivered a very strong first quarter, with comp sales up 6%, diluted EPS of $1.19 (+29%), and pre-tax margin expanding 170 basis points to 12%, all well above expectations.
• All divisions posted solid growth, led by HomeGoods comp sales up 9%, TJX Canada up 7%, Marmaxx up 6%, and TJX International up 4%, with customer transactions rising across the board.
• Management raised full-year guidance for sales, margin, and EPS, now expecting comp sales of 3%-4% and diluted EPS of $5.08-$5.15, citing continued strong demand and favorable execution.
• The company said it is seeing excellent merchandise availability and is investing in marketing, store refreshes, and staffing to drive traffic, while also highlighting room for long-term store expansion in existing and new markets.
• Near-term cost pressure remains a watch item: TJX is assuming current diesel prices stay elevated for the rest of the year, which is weighing on the back-half outlook, though the company noted any decline in fuel prices would help profitability.

TJX Companies Stock Up 5.6%

NYSE:TJX opened at $159.13 on Thursday. The firm’s 50-day moving average price is $156.71 and its 200-day moving average price is $154.44. The company has a market capitalization of $175.97 billion, a PE ratio of 32.61, a P/E/G ratio of 3.45 and a beta of 0.64. The company has a debt-to-equity ratio of 0.18, a current ratio of 1.14 and a quick ratio of 0.59. TJX Companies has a 1-year low of $119.84 and a 1-year high of $165.82.

TJX Companies Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, June 4th. Stockholders of record on Thursday, May 14th will be given a $0.48 dividend. The ex-dividend date of this dividend is Thursday, May 14th. This represents a $1.92 dividend on an annualized basis and a dividend yield of 1.2%. This is a boost from TJX Companies’s previous quarterly dividend of $0.43. TJX Companies’s payout ratio is currently 39.34%.

Wall Street Analyst Weigh In

A number of brokerages have issued reports on TJX. Truist Financial began coverage on shares of TJX Companies in a research report on Monday. They set a “buy” rating and a $175.00 price objective on the stock. Barclays reissued an “overweight” rating on shares of TJX Companies in a research report on Thursday. UBS Group reissued a “buy” rating on shares of TJX Companies in a research report on Wednesday, March 4th. BTIG Research reissued a “buy” rating and set a $185.00 price objective (up from $165.00) on shares of TJX Companies in a research report on Thursday, February 26th. Finally, JPMorgan Chase & Co. boosted their price objective on shares of TJX Companies from $173.00 to $174.00 and gave the company an “overweight” rating in a research report on Monday. Three analysts have rated the stock with a Strong Buy rating and twenty-one have issued a Buy rating to the company’s stock. According to MarketBeat.com, the company currently has a consensus rating of “Buy” and an average price target of $169.25.

More TJX Companies News

Here are the key news stories impacting TJX Companies this week:

• Positive Sentiment: TJX beat Q1 estimates with EPS of $1.19 versus about $1.02 expected and revenue of $14.32 billion versus roughly $14.0 billion estimated, showing resilient demand at its off-price banners. TJX Reports Q1 FY27 Results
• Positive Sentiment: Comparable sales rose 6%, pretax margin improved to 12.0%, and management said traffic remained strong across its retail banners, suggesting the company is taking share from more cautious shoppers. Reuters TJX raises annual sales, profit forecasts
• Positive Sentiment: TJX raised its FY27 outlook for comparable sales, pretax margin, EPS, and buybacks, increasing its share repurchase target to $2.75 billion-$3.0 billion, which supports the stock’s bullish reaction. TJX Stock Is Rising. Why Investors Are Shrugging Off Cautious Guidance.
• Neutral Sentiment: The company’s second-quarter EPS outlook of $1.15-$1.17 is slightly below the consensus estimate, but investors appear to be focusing more on the strong quarter and upbeat full-year commentary than on the near-term caution.

Insider Buying and Selling at TJX Companies

In other news, CEO Ernie Herrman sold 30,000 shares of the company’s stock in a transaction dated Monday, March 2nd. The shares were sold at an average price of $160.95, for a total value of $4,828,500.00. Following the sale, the chief executive officer directly owned 479,316 shares of the company’s stock, valued at $77,145,910.20. This represents a 5.89% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. 0.13% of the stock is owned by corporate insiders.

Institutional Trading of TJX Companies

Several institutional investors have recently bought and sold shares of TJX. Wilkerson Advisory Group LLC purchased a new stake in TJX Companies during the 4th quarter valued at about $26,000. Imprint Wealth LLC purchased a new stake in TJX Companies during the 3rd quarter valued at about $27,000. Measured Wealth Private Client Group LLC purchased a new stake in TJX Companies during the 3rd quarter valued at about $30,000. Mcguire Capital Advisors Inc. purchased a new stake in TJX Companies during the 4th quarter valued at about $31,000. Finally, Jessup Wealth Management Inc purchased a new stake in TJX Companies during the 4th quarter valued at about $31,000. 91.09% of the stock is owned by hedge funds and other institutional investors.

About TJX Companies

TJX Companies, Inc is a leading off-price retailer of apparel, footwear, home fashions and other consumer goods. The company operates multiple retail concepts that offer discounted brand-name and designer merchandise, including well-known banners such as T.J. Maxx and Marshalls in the United States, HomeGoods for home furnishings, TK Maxx in parts of Europe, and Winners and Homesense in Canada. Merchandise categories span women’s, men’s and children’s apparel, accessories, beauty, home décor, kitchenware and small furniture, with frequent changes in assortment that create a “treasure-hunt” shopping experience for consumers.

The company’s business model centers on opportunistic buying, purchasing excess, irregular or out-of-season inventory from manufacturers, department stores and other suppliers, and passing savings to customers through lower prices.