TJX Companies (NYSE:TJX) Issues Earnings Results, Beats Estimates By $0.17 EPS

TJX Companies (NYSE:TJX) announced its quarterly earnings results on Wednesday. The apparel and home fashions retailer reported $1.19 EPS for the quarter, beating analysts’ consensus estimates of $1.02 by $0.17, Briefing.com reports. TJX Companies had a return on equity of 57.92% and a net margin of 9.40%.The company had revenue of $14.32 billion during the quarter, compared to analyst estimates of $14.02 billion. During the same period in the prior year, the company earned $0.92 earnings per share. The firm’s revenue was up 9.2% on a year-over-year basis. 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 Price Performance

NYSE:TJX opened at $157.59 on Friday. The firm has a market capitalization of $174.26 billion, a price-to-earnings ratio of 30.60, a PEG ratio of 3.61 and a beta of 0.64. TJX Companies has a 1 year low of $119.84 and a 1 year high of $165.82. The business has a 50 day simple moving average of $156.67 and a 200-day simple moving average of $154.57. 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 Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, June 4th. Stockholders of record on Thursday, May 14th will be paid a $0.48 dividend. This represents a $1.92 annualized dividend and a dividend yield of 1.2%. The ex-dividend date of this dividend is Thursday, May 14th. This is a positive change from TJX Companies’s previous quarterly dividend of $0.43. TJX Companies’s dividend payout ratio is 37.28%.

Insider Activity

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

Institutional Investors Weigh In On TJX Companies

Several hedge funds and other institutional investors have recently modified their holdings of the business. Mcguire Capital Advisors Inc. purchased a new stake in shares of TJX Companies in the fourth quarter worth approximately $31,000. Compound Planning Inc. raised its holdings in shares of TJX Companies by 70.1% in the fourth quarter. Compound Planning Inc. now owns 25,988 shares of the apparel and home fashions retailer’s stock worth $3,992,000 after buying an additional 10,706 shares during the period. Axxcess Wealth Management LLC purchased a new stake in shares of TJX Companies in the fourth quarter worth approximately $2,990,000. Birchwood Financial Partners Inc. purchased a new stake in shares of TJX Companies in the fourth quarter worth approximately $38,000. Finally, Alberta Investment Management Corp purchased a new stake in shares of TJX Companies in the fourth quarter worth approximately $906,000. 91.09% of the stock is currently owned by hedge funds and other institutional investors.

Trending Headlines about TJX Companies

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, while revenue rose 9% year over year to $14.3 billion and comparable sales increased 6%, signaling broad-based demand across Marshalls, T.J. Maxx and HomeGoods.
• Positive Sentiment: The company raised its full-year fiscal 2027 outlook, including EPS guidance of $5.08 to $5.15 and comp-sales growth of 3% to 4%, which investors viewed as evidence that momentum is continuing into the next quarter.
• Positive Sentiment: TJX also boosted its share repurchase plan to $2.75 billion to $3.0 billion and returned $1.1 billion to shareholders in the quarter, adding support for the stock.
• Positive Sentiment: Several analysts turned more constructive after the report, with BTIG, Telsey Advisory Group and Robert W. Baird all raising price targets, while commentary emphasized that there are still “no signs of consumer weakness” in TJX’s business.
• Neutral Sentiment: Some coverage noted that the company’s second-quarter EPS guidance of $1.15 to $1.17 was slightly below consensus, but this was outweighed by the stronger full-year outlook and better-than-expected Q1 results.
• Neutral Sentiment: Broader retail commentary suggested consumers are still spending but remain selective, which supports off-price chains like TJX even as the macro backdrop stays cautious.

Analysts Set New Price Targets

TJX has been the subject of a number of research reports. Truist Financial set a $190.00 price target on TJX Companies and gave the company a “buy” rating in a research note on Thursday. Evercore reissued an “outperform” rating and set a $175.00 price target on shares of TJX Companies in a research note on Thursday. Wall Street Zen raised TJX Companies from a “hold” rating to a “buy” rating in a research note on Saturday, March 28th. Sanford C. Bernstein reissued an “outperform” rating on shares of TJX Companies in a research note on Thursday. Finally, JPMorgan Chase & Co. increased their price target on TJX Companies from $173.00 to $174.00 and gave the company an “overweight” rating in a research note on Monday. Three research analysts have rated the stock with a Strong Buy rating, nineteen have issued a Buy rating and one has given a Hold rating to the stock. According to MarketBeat, the stock has a consensus rating of “Buy” and a consensus price target of $174.58.

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.