Equities research analysts at TD Cowen have raised their target price for TJX Companies (NYSE:TJX) from $162.00 to $167.00, indicating a potential upside of 10.26% from the stock’s current price. In a note issued on November 20, 2023, the brokerage maintained a “buy” rating on the apparel and home fashions retailer, reflecting confidence in the company’s growth prospects.
Other analysts have also expressed positive sentiments towards TJX Companies. Macquarie reaffirmed a “buy” rating on August 11, 2023, and Telsey Advisory Group increased its target price to $170.00, up from $155.00, in a report released on November 15, 2023. Morgan Stanley retained an “overweight” rating with a revised target price of $162.00, while UBS Group set a target of $172.00 on November 4, 2023. Overall, MarketBeat.com reports that TJX Companies has a consensus rating of “Buy” with an average target price of $158.90.
TJX Companies’ stock opened at $151.46 on November 20, 2023. Over the past year, the stock has fluctuated significantly, with a low of $112.10 and a high of $152.58. The company boasts a market capitalization of $168.57 billion, a price-to-earnings (PE) ratio of 34.50, and a debt-to-equity ratio of 0.32. The firm also reported a 50-day simple moving average of $143.04 and a 200-day simple moving average of $134.10.
In its most recent quarterly earnings report, released on November 19, 2023, TJX Companies reported earnings per share of $1.28, surpassing analysts’ expectations of $1.22 by $0.06. Revenue for the quarter reached $15.12 billion, exceeding the anticipated $14.80 billion. The company’s return on equity stood at 58.63%, with a net margin of 8.59%. This represents a 7.5% increase in revenue compared to the same quarter last year.
Insider Activity and Institutional Holdings
Recent insider transactions have also drawn attention. On November 20, 2023, CEO Ernie Herrman sold 30,000 shares at an average price of $148.81, totaling $4,464,300.00. Following this transaction, Herrman retains ownership of 535,143 shares, valued at approximately $79.6 million, marking a 5.31% decrease in his stake. Additionally, Director Amy B. Lane sold 500 shares on November 21, 2023, at an average price of $151.40, resulting in a total transaction value of $75,700.00.
Institutional investors hold a significant portion of TJX Companies’ stock, accounting for 91.09% of total shares. Recent activity among hedge funds indicates growing interest. Brighton Jones LLC increased its position by 113.7% in the fourth quarter, while Revolve Wealth Partners LLC and Bison Wealth LLC also boosted their holdings during the same period.
Company Overview and Future Prospects
The TJX Companies, Inc. operates as an off-price retailer of apparel and home fashions across the United States, Canada, Europe, and Australia. The company is structured into four segments: Marmaxx, HomeGoods, TJX Canada, and TJX International. Its diverse product range includes family apparel, home furnishings, jewelry, and gourmet food, catering to a wide consumer base.
Looking ahead, TJX Companies has provided guidance for the fourth quarter of fiscal year 2026, projecting earnings per share between $1.330 and $1.360. The company anticipates full fiscal year earnings per share to range from $4.630 to $4.660. Analysts estimate that TJX Companies will achieve earnings per share of $4.18 for the current fiscal year.
The outlook for TJX Companies remains positive, supported by strong quarterly results and a favorable rating from multiple analysts. As the company continues to expand its market presence, investors will be closely monitoring its performance in the coming months.
