Will TJX (TJX, $53.22) and Ross Stores (ROST, $97.14) be able to beat headwinds facing retail industry?
2018 was a strong year for major U.S retailers including off-price giants like TJX Companies and Ross Stores whose comparable-store sales grew 6% and 4% respectively during the year.
However, with the retail industry experiencing some strong headwinds over the last months owing to a volatile market and many retailers have already experienced sales slowdowns.
TJX and Ross Stores are scheduled to report their first-quarter results next week and the investors are worrying whether they too succumbed to the headwinds. However, there are good reasons to hope that it may not be the case and the companies have managed to carve out a decent quarter in terms of sales.
One of the primary reasons for the optimism about TJX and Ross’s quarterly results is their consistency. 2018 was the fourth consecutive year when Ross posted a 4% comp sales increase. TJX too averaged 4% comp-sales growth over the period gaining 6% in 2018, 2% in 2017, and 5% in 2016.
Another reason is that both the companies have a conservative approach towards forecasts and in most cases, they exceed those forecasts. So the investors can hope that they will meet their targets even when the market is volatile.
In keeping with this approach, Ross anticipates comp sales rise up to 2% in Q1, earnings per share would come in between $1.05 and $1.11 compared to $1.11 in 2018, and total sales to rise almost 6% to $3.79 billion with EPS of $1.12.
On the other hand, TJX expects a 2% to 3% comp sales gain but EPS may get hurt by 7% owing to higher freight costs, wage increases, and currency headwinds. Total sales are expected to rise 6% to $9.21 billion with an EPS of $0.55.
Furthermore, following the recent tariff raise on $200 billion Chinese imports which may further increase, the retail industry is in for some serious long term threats. But the exact nature of impact is still not clear and while TJX and Ross’s track records may inspire assurance, there’s still no guarantee in investing.
TJX in +1.77% Uptrend, rising for three consecutive days on September 04, 2025
Moving higher for three straight days is viewed as a bullish sign. Keep an eye on this stock for future growth. Considering data from situations where TJX advanced for three days, in of 329 cases, the price rose further within the following month. The odds of a continued upward trend are .
Technical Analysis (Indicators)
Bullish Trend Analysis
The Aroon Indicator entered an Uptrend today. In of 323 cases where TJX Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
Bearish Trend Analysis
The 10-day RSI Indicator for TJX moved out of overbought territory on September 09, 2025. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 36 similar instances where the indicator moved out of overbought territory. In of the 36 cases, the stock moved lower in the following days. This puts the odds of a move lower at .
The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 4 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
The Moving Average Convergence Divergence Histogram (MACD) for TJX turned negative on September 10, 2025. 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 47 similar instances when the indicator turned negative. In of the 47 cases the stock turned lower in the days that followed. This puts the odds of success at .
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 .
TJX broke above its upper Bollinger Band on August 20, 2025. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
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 79, 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 Price Growth Rating for this company is (best 1 - 100 worst), indicating outstanding price growth. TJX’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to consistent 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 Valuation Rating of (best 1 - 100 worst) indicates that the company is significantly overvalued 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: P/B Ratio (17.513) is normal, around the industry mean (7.497). P/E Ratio (31.772) is within average values for comparable stocks, (26.315). Projected Growth (PEG Ratio) (3.086) is also within normal values, averaging (2.226). Dividend Yield (0.012) settles around the average of (0.027) among similar stocks. P/S Ratio (2.731) is also within normal values, averaging (7.452).
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Fundamental Analysis Ratings
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General Information
a chain of retail apparels and home fashions stores
Industry ApparelFootwearRetail
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