TJX (TJX) Exceeds Market Returns: Some Facts to Consider
TJX (TJX) ended the recent trading session at $97.10, demonstrating a +0.47% swing from the preceding day's closing price. This change outpaced the S&P 500's 0.23% gain on the day. Meanwhile, the Dow gained 0.37%, and the Nasdaq, a tech-heavy index, added 0.07%.
The parent of T.J. Maxx, Marshalls and other stores's shares have seen an increase of 4.13% over the last month, not keeping up with the Retail-Wholesale sector's gain of 6.9% and the S&P 500's gain of 5.3%.
The upcoming earnings release of TJX will be of great interest to investors. The company's upcoming EPS is projected at $1.11, signifying a 24.72% increase compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $16.14 billion, showing a 11.15% escalation compared to the year-ago quarter.
Any recent changes to analyst estimates for TJX should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.18% increase. Currently, TJX is carrying a Zacks Rank of #3 (Hold).
Looking at its valuation, TJX is holding a Forward P/E ratio of 23.52. This signifies a premium in comparison to the average Forward P/E of 21.53 for its industry.
It is also worth noting that TJX currently has a PEG ratio of 2.09. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Retail - Discount Stores industry currently had an average PEG ratio of 2.09 as of yesterday's close.
The Retail - Discount Stores industry is part of the Retail-Wholesale sector. Currently, this industry holds a Zacks Industry Rank of 85, positioning it in the top 34% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow TJX in the coming trading sessions, be sure to utilize Zacks.com.
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The TJX Companies, Inc. (TJX) : Free Stock Analysis Report
