Positive

From CNBC: 2024-08-21 14:01:40

TJX Companies exceeded expectations with a 5.6% increase in sales to $13.47 billion and an adjusted EPS of 96 cents, surpassing estimates. Shares surged 6%, adding to the 21% gain for the year. The off-price retailer delivered top- and bottom-line beats for four consecutive quarters and expanded their full-year outlook.

TJX’s success is attributed to its ability to attract deal-seeking shoppers and expand margins. The company boasts a flourishing customer appeal with a 4% increase in comparable store sales driven by volume. TJX has a strong gross margin of 30.4% and plans to open 1,300 new locations under their current nameplates.

The management team at TJX has a history of exceeding guidance, having reported EPS above their forecast range eight times in the past 10 quarters. Despite a slightly lower fiscal third-quarter outlook, the company raised their full-year pretax profit margin forecast and EPS outlook. TJX continues to outperform expectations and deliver solid financial results.

TJX’s quarterly results showcased growth across all divisions, with Marmaxx sales up 5%, HomeGoods up 2%, TJX Canada up 2%, and TJX International up 1%. The company returned $982 million to shareholders in the quarter through stock buybacks and dividends. TJX’s ability to deliver consistent growth and returns to shareholders has positioned them as a strong player in the current retail environment.



Read more at CNBC:: We’re raising our price target on TJX after it delivered for bargain-hunters and investors