TJX (TJX) ended the recent trading session at $128.46, demonstrating a -0.37% swing from the preceding day's closing price. This move was narrower than the S&P 500's daily loss of 0.77%. Elsewhere, the Dow saw a downswing of 0.95%, while the tech-heavy Nasdaq depreciated by 0.87%.
The parent of T.J. Maxx, Marshalls and other stores's shares have seen an increase of 8.23% over the last month, not keeping up with the Retail-Wholesale sector's gain of 9.54% and the S&P 500's gain of 11.54%.
The investment community will be paying close attention to the earnings performance of TJX in its upcoming release. The company is forecasted to report an EPS of $0.90, showcasing a 3.23% downward movement from the corresponding quarter of the prior year. In the meantime, our current consensus estimate forecasts the revenue to be $12.97 billion, indicating a 3.94% growth compared to the corresponding quarter of the prior year.
TJX's full-year Zacks Consensus Estimates are calling for earnings of $4.43 per share and revenue of $58.75 billion. These results would represent year-over-year changes of +3.99% and +4.24%, respectively.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for TJX. These revisions typically reflect the latest short-term business trends, which can change frequently. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. As of now, TJX holds a Zacks Rank of #3 (Hold).
From a valuation perspective, TJX is currently exchanging hands at a Forward P/E ratio of 29.1. This represents a premium compared to its industry's average Forward P/E of 22.08.
We can additionally observe that TJX currently boasts a PEG ratio of 3.21. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Retail - Discount Stores was holding an average PEG ratio of 2.7 at yesterday's closing price.
The Retail - Discount Stores industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 160, finds itself in the bottom 36% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming 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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