TJX (TJX – Free Report) closed the most recent trading day at $55.64, moving +0.18% from the previous trading session. The stock outpaced the S&P 500’s daily loss of 0.92%. At the same time, the Dow lost 0.77%, and the tech-heavy Nasdaq lost 1.65%.
Prior to today’s trading, shares of the parent of T.J. Maxx, Marshalls and other stores had gained 3.08% over the past month. This has outpaced the Retail-Wholesale sector’s loss of 0.61% and the S&P 500’s loss of 2.56% in that time.
TJX will be looking to display strength as it nears its next earnings release, which is expected to be November 20, 2018. On that day, TJX is projected to report earnings of $0.61 per share, which would represent year-over-year growth of 22%. Meanwhile, our latest consensus estimate is calling for revenue of $9.48 billion, up 8.23% from the prior-year quarter.
TJX’s full-year Zacks Consensus Estimates are calling for earnings of $2.47 per share and revenue of $38.45 billion. These results would represent year-over-year changes of +22.28% and +7.22%, respectively.
Any recent changes to analyst estimates for TJX should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company’s business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable 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. Over the past month, the Zacks Consensus EPS estimate has moved 0.31% higher. TJX is currently sporting a Zacks Rank of #3 (Hold).
Digging into valuation, TJX currently has a Forward P/E ratio of 22.52. This valuation marks a no noticeable deviation compared to its industry’s average Forward P/E of 22.52.
Also, we should mention that TJX has a PEG ratio of 2.07. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company’s expected earnings growth rate. The Retail – Discount Stores industry currently had an average PEG ratio of 1.74 as of yesterday’s close.
The Retail – Discount Stores industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 70, putting it in the top 27% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow TJX in the coming trading sessions, be sure to utilize Zacks.com.