In the latest close session, TJX (TJX) was up +1.15% at $143.09. The stock's performance was ahead of the S&P 500's daily gain of 0.59%. Meanwhile, the Dow experienced a rise of 0.65%, and the technology-dominated Nasdaq saw an increase of 0.44%.
Heading into today, shares of the parent of T.J. Maxx, Marshalls and other stores had gained 3.17% over the past month, outpacing the Retail-Wholesale sector's gain of 0.65% and the S&P 500's gain of 2.72%.
Analysts and investors alike will be keeping a close eye on the performance of TJX in its upcoming earnings disclosure. The company is forecasted to report an EPS of $1.21, showcasing a 6.14% upward movement from the corresponding quarter of the prior year. Meanwhile, our latest consensus estimate is calling for revenue of $14.75 billion, up 4.91% from the prior-year quarter.
TJX's full-year Zacks Consensus Estimates are calling for earnings of $4.58 per share and revenue of $59.39 billion. These results would represent year-over-year changes of +7.51% and +5.37%, respectively.
Investors should also pay attention to any latest changes in analyst estimates for TJX. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. TJX is holding a Zacks Rank of #2 (Buy) right now.
With respect to valuation, TJX is currently being traded at a Forward P/E ratio of 30.92. This valuation marks a premium compared to its industry average Forward P/E of 22.28.
It's also important to note that TJX currently trades at a PEG ratio of 3.18. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The average PEG ratio for the Retail - Discount Stores industry stood at 2.51 at the close of the market yesterday.
The Retail - Discount Stores industry is part of the Retail-Wholesale sector. Currently, this industry holds a Zacks Industry Rank of 69, positioning it in the top 28% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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The TJX Companies, Inc. (TJX): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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