Even as several retail companies struggle with weak performances, TJX reported quarterly sales and earnings that surpassed analysts' forecasts.
The off-price department store company's fiscal third-quarter earnings came in at 68 cents a share, beating the 66 cents a share expected by analysts polled by FactSet. The figure is also higher than 63 cents a share in the year-ago quarter.
Sales of $10.45 billion also exceeded analysts estimate of $10.32 billion. The year-ago sales were $9.8 billion.
Same-store sales grew +4% during the quarter.
Looking ahead, TJX forecasts fourth quarter fiscal 2020 earnings to range between 74 cents and 76 cents , compared to year-ago period’s earnings of 68 cents a share. The company expects same-store sales growth to be in the +2% to +3% range.
"We are convinced our holiday marketing campaigns will position us as a top shopping destination for exciting gifts at amazing prices," CEO Ernie Herrman noted.
TJX may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options. In of 38 cases where TJX's price broke its lower Bollinger Band, its price rose further in the following month. The odds of a continued upward trend are .
The Stochastic Oscillator demonstrated that the ticker has stayed in the oversold zone for 2 days, which means it's wise to expect a price bounce in the near future.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where TJX advanced for three days, in of 325 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 291 cases where TJX Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
The Momentum Indicator moved below the 0 level on May 23, 2023. You may want to consider selling the stock, shorting the stock, or exploring put options on TJX as a result. In of 82 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for TJX turned negative on May 23, 2023. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 48 similar instances when the indicator turned negative. In of the 48 cases the stock turned lower in the days that followed. This puts the odds of success at .
TJX moved below its 50-day moving average on May 24, 2023 date and that indicates a change from an upward trend to a downward trend.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where TJX declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 81, placing this stock better than average.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is fair valued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: TJX's P/B Ratio (13.774) is very high in comparison to the industry average of (3.471). P/E Ratio (23.753) is within average values for comparable stocks, (111.843). Projected Growth (PEG Ratio) (1.832) is also within normal values, averaging (4.392). Dividend Yield (0.016) settles around the average of (0.041) among similar stocks. P/S Ratio (1.794) is also within normal values, averaging (1.690).
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. TJX’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows