TJX Companies (NYSE:TJX) Sets New 12-Month Low - Should You Sell?

Key Points

• TJX shares hit a new 52-week low of $134.60 after falling roughly 10%–11% over the past month, despite the company reporting strong quarterly results and expanding margins.
• TJX beat expectations with adjusted EPS of $1.22 and revenue of $15.18 billion, while comparable sales rose 4% and management raised its full-year profit outlook.
• Investor concerns center on weakness at the core Marmaxx division and competitive pressure from Ross Stores. Jefferies downgraded the stock to Hold with a $145 target, though the broader analyst consensus remains Moderate Buy with a $172.84 price target.

Shares of The TJX Companies, Inc. (NYSE:TJX - Get Free Report) reached a new 52-week low on Thursday . The company traded as low as $134.60 and last traded at $135.11, with a volume of 442706 shares changing hands. The stock had previously closed at $136.83.

Key Headlines Impacting TJX Companies

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

• Positive Sentiment: TJX reported second-quarter adjusted earnings of $1.22 per share, exceeding the $1.19 consensus estimate, while revenue of $15.18 billion slightly topped expectations. Comparable sales increased 4%, adjusted EPS rose 11%, and management raised its full-year profit outlook. TJX Beats Expectations Even As Its Biggest Division Stumbles
• Positive Sentiment: J.P. Morgan maintained a Buy rating, while several analyst reports noted that rising earnings estimates, an oversold technical position and a potential support pattern could create room for a rebound. J.P. Morgan Remains a Buy on TJX Companies
• Neutral Sentiment: HomeGoods and TJX’s international businesses delivered stronger comparable-sales growth, helping offset weaker performance at the company’s largest U.S. division. Commentary from investment panels and market coverage reflects debate over whether the recent selloff is a buying opportunity. TJX Q2 2027 Earnings Call Transcript
• Negative Sentiment: Jefferies downgraded TJX to Hold from Buy and set a $145 price target, saying the slowdown at Marmaxx appears more serious than a temporary merchandising issue. The division’s underperformance, combined with Ross Stores’ stronger momentum, is the main reason investors have not rewarded TJX’s earnings beat and higher guidance. Jefferies Cuts TJX to Hold as Marmaxx Stumbles
• Negative Sentiment: Although TJX expanded margins and raised its outlook, the stock has fallen roughly 10%–11% over the past month. That divergence suggests concerns about future traffic, merchandising execution and competitive positioning are outweighing the company’s currently strong financial performance. TJX Just Dropped 11% in a Month

Analyst Upgrades and Downgrades

A number of research firms have issued reports on TJX. Barclays set a $188.00 price target on TJX Companies and gave the company an "overweight" rating in a research note on Thursday, August 20th. Erste Group Bank cut shares of TJX Companies from a "buy" rating to a "hold" rating in a research note on Wednesday, July 15th. Jefferies Financial Group downgraded shares of TJX Companies from a "buy" rating to a "hold" rating and dropped their price objective for the stock from $180.00 to $145.00 in a report on Wednesday. JPMorgan Chase & Co. boosted their target price on shares of TJX Companies from $173.00 to $174.00 and gave the company an "overweight" rating in a research report on Monday, May 18th. Finally, Citigroup cut shares of TJX Companies from a "buy" rating to a "neutral" rating and reduced their target price for the company from $182.00 to $154.00 in a report on Thursday, August 20th. Two investment analysts have rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating and four have given a Hold rating to the company. Based on data from MarketBeat.com, TJX Companies currently has a consensus rating of "Moderate Buy" and a consensus price target of $172.84.

TJX Companies Stock Performance

The business has a 50-day simple moving average of $154.02 and a 200 day simple moving average of $156.37. The company has a debt-to-equity ratio of 0.18, a current ratio of 1.15 and a quick ratio of 0.56. The firm has a market cap of $149.37 billion, a PE ratio of 25.02, a PEG ratio of 2.69 and a beta of 0.62.

TJX Companies (NYSE:TJX - Get Free Report) last posted its quarterly earnings data on Wednesday, August 19th. The apparel and home fashions retailer reported $1.22 earnings per share for the quarter, beating analysts' consensus estimates of $1.19 by $0.03. The firm had revenue of $15.18 billion for the quarter, compared to analysts' expectations of $15.16 billion. TJX Companies had a return on equity of 56.56% and a net margin of 9.73%.The business's quarterly revenue was up 5.4% on a year-over-year basis. During the same period in the previous year, the firm earned $1.10 EPS. TJX Companies has set its FY 2027 guidance at 5.150-5.200 EPS and its Q3 2027 guidance at 1.360-1.380 EPS. Equities research analysts forecast that The TJX Companies, Inc. will post 5.22 EPS for the current year.

TJX Companies Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, September 3rd. Shareholders of record on Thursday, August 13th will be given a $0.48 dividend. This represents a $1.92 dividend on an annualized basis and a dividend yield of 1.4%. The ex-dividend date is Thursday, August 13th. TJX Companies's dividend payout ratio is presently 35.49%.

Insider Activity

In other news, CFO John Klinger sold 6,235 shares of the firm's stock in a transaction on Friday, June 5th. The shares were sold at an average price of $160.77, for a total transaction of $1,002,400.95. Following the sale, the chief financial officer directly owned 64,257 shares in the company, valued at $10,330,597.89. This trade represents a 8.84% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO Ernie Herrman sold 10,002 shares of TJX Companies stock in a transaction on Friday, June 5th. The shares were sold at an average price of $160.68, for a total transaction of $1,607,121.36. Following the transaction, the chief executive officer owned 514,848 shares in the company, valued at approximately $82,725,776.64. This trade represents a 1.91% decrease in their position. The SEC filing for this sale provides additional information. In the last ninety days, insiders sold 130,367 shares of company stock valued at $20,959,476. 0.15% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On TJX Companies

Several large investors have recently made changes to their positions in the business. Investors Towarzystwo Funduszy Inwestycyjnych Spolka Akcyjna lifted its holdings in TJX Companies by 120.3% in the 4th quarter. Investors Towarzystwo Funduszy Inwestycyjnych Spolka Akcyjna now owns 163 shares of the apparel and home fashions retailer's stock worth $25,000 after purchasing an additional 89 shares in the last quarter. Entrust Financial LLC purchased a new stake in TJX Companies during the 4th quarter valued at approximately $26,000. Wilkerson Advisory Group LLC purchased a new stake in TJX Companies during the 4th quarter valued at approximately $26,000. Joseph Group Capital Management bought a new stake in shares of TJX Companies during the fourth quarter valued at approximately $27,000. Finally, IMG Wealth Management Inc. raised its position in shares of TJX Companies by 65.7% during the fourth quarter. IMG Wealth Management Inc. now owns 174 shares of the apparel and home fashions retailer's stock valued at $27,000 after buying an additional 69 shares during the last quarter. 91.09% of the stock is currently 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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source