TJX Companies (NYSE:TJX) Downgraded to "Hold" Rating by Wall Street Zen

Key Points

• Wall Street Zen downgraded TJX Companies from “Buy” to “Hold,” though broader analyst sentiment remains “Moderate Buy” with a consensus price target of $173.89.
• TJX exceeded quarterly expectations with $1.22 EPS and $15.18 billion in revenue, while revenue grew 5.4% year over year; management issued fiscal 2027 EPS guidance of $5.15–$5.20.
• Shares opened at $140.58, well below the $173.89 consensus target, but investors face near-term concerns including weak Marmaxx comparable sales, merchandising missteps and below-expectation third-quarter guidance.

TJX Companies (NYSE:TJX - Get Free Report) was downgraded by stock analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a research report issued on Saturday.

Several other analysts also recently commented on the stock. Telsey Advisory Group upped their price objective on shares of TJX Companies from $175.00 to $185.00 and gave the company an "outperform" rating in a report on Thursday, May 21st. Barclays set a $188.00 target price on shares of TJX Companies and gave the stock an "overweight" rating in a report on Thursday. 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. BTIG Research reaffirmed a "buy" rating and issued a $190.00 price target on shares of TJX Companies in a report on Thursday. Finally, Gordon Haskett reaffirmed an "accumulate" rating and set a $155.00 price target on shares of TJX Companies in a research report on Thursday. Two research analysts have rated the stock with a Strong Buy rating, seventeen have issued a Buy rating and three have given a Hold rating to the stock. According to data from MarketBeat, TJX Companies has an average rating of "Moderate Buy" and a consensus target price of $173.89.

TJX Companies Price Performance

Shares of NYSE TJX opened at $140.58 on Friday. The business's 50 day moving average price is $155.63 and its 200 day moving average price is $156.64. The firm has a market cap of $155.30 billion, a P/E ratio of 25.99, a P/E/G ratio of 3.02 and a beta of 0.62. TJX Companies has a 52 week low of $134.74 and a 52 week high of $170.00. The company has a quick ratio of 0.54, a current ratio of 1.15 and a debt-to-equity ratio of 0.18.

TJX Companies (NYSE:TJX - Get Free Report) last issued its quarterly earnings results on Wednesday, August 19th. The apparel and home fashions retailer reported $1.22 earnings per share for the quarter, topping the consensus estimate of $1.19 by $0.03. TJX Companies had a net margin of 9.73% and a return on equity of 56.56%. The company had revenue of $15.18 billion for the quarter, compared to the consensus estimate of $15.16 billion. During the same quarter in the prior year, the company earned $1.10 EPS. TJX Companies's quarterly revenue was up 5.4% on a year-over-year basis. 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. On average, sell-side analysts expect that TJX Companies will post 5.23 earnings per share for the current year.

Insider Activity

In related news, Director Jackwyn Nemerov sold 957 shares of the stock in a transaction on Thursday, June 11th. The shares were sold at an average price of $168.59, for a total transaction of $161,340.63. Following the sale, the director directly owned 802 shares of the company's stock, valued at approximately $135,209.18. This represents a 54.41% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this hyperlink. Also, CEO Ernie Herrman sold 29,549 shares of the stock in a transaction on Wednesday, June 3rd. The stock was sold at an average price of $157.46, for a total transaction of $4,652,785.54. Following the sale, the chief executive officer directly owned 552,850 shares in the company, valued at $87,051,761. This trade represents a 5.07% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 130,367 shares of company stock valued at $20,959,476 in the last quarter. Company insiders own 0.15% of the company's stock.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of TJX. Investors Towarzystwo Funduszy Inwestycyjnych Spolka Akcyjna increased its stake in shares of 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 valued at $25,000 after purchasing an additional 89 shares in the last quarter. Entrust Financial LLC purchased a new position in TJX Companies during the fourth quarter worth approximately $26,000. Wilkerson Advisory Group LLC purchased a new position in TJX Companies during the fourth quarter worth approximately $26,000. Joseph Group Capital Management acquired a new position in shares of TJX Companies during the 4th quarter worth approximately $27,000. Finally, IMG Wealth Management Inc. raised its stake in shares of TJX Companies by 65.7% during the 4th quarter. IMG Wealth Management Inc. now owns 174 shares of the apparel and home fashions retailer's stock worth $27,000 after buying an additional 69 shares during the period. Institutional investors and hedge funds own 91.09% of the company's stock.

TJX Companies News Roundup

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

• Positive Sentiment: TJX reported revenue of $15.18 billion and adjusted EPS of $1.22, surpassing consensus estimates of $15.16 billion and $1.19, respectively. Comparable-store sales increased 4%, while adjusted earnings rose 11% year over year. TJX beats Q2 expectations despite self-inflicted apparel slump
• Positive Sentiment: Management raised fiscal 2027 EPS guidance to $5.15–$5.20 and increased its long-term store target to 7,500 locations, supporting the company’s longer-term growth outlook. TJX outlines 7,500-store target while raising FY2027 EPS
• Positive Sentiment: Winners, Marshalls and HomeSense are reportedly gaining significant market share in Canada, while HomeGoods and international operations also provided important sources of strength. TJX says Canadian banners are gaining market share
• Neutral Sentiment: Some analysts view the post-earnings sell-off as a buying opportunity, with BTIG reaffirming a Buy rating and a $190 price target; UBS characterized the Marmaxx weakness as potentially isolated. A rare stumble at TJX has Wall Street spooked
• Negative Sentiment: Marmaxx, which includes TJ Maxx and Marshalls in the United States, delivered a disappointing comparable-sales performance. Management blamed merchandising and apparel-mix mistakes, but analysts also cited tougher off-price competition and consumer resistance to price increases. TJX blames merchandising missteps for rare US miss
• Negative Sentiment: Fiscal third-quarter guidance fell short of expectations, increasing concerns about near-term margin pressure and execution. Citi downgraded TJX to Neutral, while Wells Fargo cut its price target to $140 and assigned an Equal Weight rating. TJX Q2 beat but Marmaxx lags and Q3 guidance falls short

TJX Companies Company Profile

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.

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