TJX Companies (NYSE:TJX) Updates FY 2027 Earnings Guidance

Key Points

• TJX Companies updated its FY 2027 EPS guidance to $5.08-$5.15, slightly above the consensus estimate of $5.10. It also raised Q2 2027 EPS guidance to $1.15-$1.17.
• The company recently reported strong quarterly results, with EPS of $1.43 versus $1.38 expected and revenue of $17.74 billion versus $17.36 billion expected. Revenue rose 8.5% year over year.
• Shareholder returns remain a focus, as TJX increased its quarterly dividend to $0.48 from $0.43, bringing the annualized payout to $1.92 and a yield of about 1.3%.

TJX Companies (NYSE:TJX - Get Free Report) issued an update on its FY 2027 earnings guidance on Wednesday morning. The company provided earnings per share guidance of 5.080-5.150 for the period, compared to the consensus earnings per share estimate of 5.100. The company issued revenue guidance of -. TJX Companies also updated its Q2 2027 guidance to 1.150-1.170 EPS.

TJX Companies Stock Performance

TJX stock opened at $150.87 on Wednesday. The company has a quick ratio of 0.59, a current ratio of 1.14 and a debt-to-equity ratio of 0.18. The company has a market capitalization of $166.84 billion, a price-to-earnings ratio of 30.92, a P/E/G ratio of 3.45 and a beta of 0.64. TJX Companies has a 12 month low of $119.84 and a 12 month high of $165.82. The firm has a 50 day moving average of $156.69 and a two-hundred day moving average of $154.32.

TJX Companies (NYSE:TJX - Get Free Report) last posted its quarterly earnings data on Wednesday, February 25th. The apparel and home fashions retailer reported $1.43 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.38 by $0.05. The business had revenue of $17.74 billion during the quarter, compared to the consensus estimate of $17.36 billion. TJX Companies had a net margin of 9.10% and a return on equity of 57.70%. TJX Companies's quarterly revenue was up 8.5% compared to the same quarter last year. During the same period in the prior year, the firm earned $1.23 EPS. TJX Companies has set its FY 2027 guidance at 4.930-5.020 EPS and its Q1 2027 guidance at 0.970-0.990 EPS. As a group, equities analysts anticipate that TJX Companies will post 5.07 EPS for the current fiscal year.

TJX Companies Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, June 4th. Shareholders of record on Thursday, May 14th will be issued a $0.48 dividend. This is a boost from TJX Companies's previous quarterly dividend of $0.43. The ex-dividend date of this dividend is Thursday, May 14th. This represents a $1.92 dividend on an annualized basis and a yield of 1.3%. TJX Companies's payout ratio is currently 39.34%.

Wall Street Analyst Weigh In

A number of analysts have weighed in on TJX shares. Telsey Advisory Group increased their price objective on shares of TJX Companies from $170.00 to $175.00 and gave the company an "outperform" rating in a research note on Thursday, February 26th. Barclays increased their price objective on shares of TJX Companies from $172.00 to $183.00 and gave the company an "overweight" rating in a research note on Thursday, February 26th. Wall Street Zen raised TJX Companies from a "hold" rating to a "buy" rating in a report on Saturday, March 28th. Argus raised TJX Companies to a "strong-buy" rating in a report on Tuesday, March 3rd. Finally, UBS Group restated a "buy" rating on shares of TJX Companies in a research report on Wednesday, March 4th. Three investment analysts have rated the stock with a Strong Buy rating and twenty-two have given a Buy rating to the stock. According to data from MarketBeat.com, TJX Companies presently has a consensus rating of "Buy" and an average target price of $169.25.

Insiders Place Their Bets

In other news, CEO Ernie Herrman sold 30,000 shares of the firm's stock in a transaction dated Monday, March 2nd. The shares were sold at an average price of $160.95, for a total value of $4,828,500.00. Following the transaction, the chief executive officer owned 479,316 shares of the company's stock, valued at approximately $77,145,910.20. This trade represents a 5.89% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Insiders own 0.13% of the company's stock.

Key Stories Impacting TJX Companies

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

• Positive Sentiment: JPMorgan raised its price target on TJX Companies (TJX) to $174 from $173 and kept an overweight rating, signaling confidence in further upside ahead of earnings.
• Positive Sentiment: Truist initiated coverage with a buy rating and a $175 price target, citing strength in off-price leaders like TJX and Ross Stores.
• Positive Sentiment: Analysts and Zacks commentary suggest TJX has a strong history of earnings beats and may again outperform consensus when it reports Q1 results on May 20.
• Positive Sentiment: Unusual options activity showed a sharp jump in call buying, indicating traders are positioning for an upside move into earnings.
• Neutral Sentiment: TJX is expected to report about $1.00 in EPS on $14.01 billion in revenue, and investors are watching whether bargain-hunting demand remains resilient in a mixed consumer environment.
• Neutral Sentiment: TJX also announced a 13% increase in its stock dividend, which supports the investment case but is not likely the main driver of the near-term stock move.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the business. Wilkerson Advisory Group LLC bought a new position in TJX Companies during the 4th quarter worth approximately $26,000. Imprint Wealth LLC bought a new position in TJX Companies during the 3rd quarter worth approximately $27,000. Jessup Wealth Management Inc bought a new position in TJX Companies during the 4th quarter worth approximately $31,000. Mcguire Capital Advisors Inc. bought a new position in TJX Companies during the 4th quarter worth approximately $31,000. Finally, Measured Wealth Private Client Group LLC bought a new position in TJX Companies during the 3rd quarter worth approximately $30,000. Institutional investors own 91.09% of the company's stock.

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.

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