TJX COMPANIES INC (TJX.DE) Stock Fundamental Analysis
Europe - FRA:TJX - US8725401090 - Common Stock
123.34 EUR
+1.58 (+1.3%)
Overall TJX gets a fundamental rating of 6 out of 10. We evaluated TJX against 55 industry peers in the Specialty Retail industry. TJX gets an excellent profitability rating and is at the same time showing great financial health properties. TJX is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year TJX was profitable.
TJX had a positive operating cash flow in the past year.
TJX had positive earnings in each of the past 5 years.
TJX had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 15.13%, TJX belongs to the best of the industry, outperforming 96.36% of the companies in the same industry.
The Return On Equity of TJX (56.10%) is better than 98.18% of its industry peers.
The Return On Invested Capital of TJX (22.51%) is better than 94.55% of its industry peers.
The Average Return On Invested Capital over the past 3 years for TJX is significantly above the industry average of 9.03%.
The 3 year average ROIC (21.84%) for TJX is below the current ROIC(22.51%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.13% | ||
| ROE | 56.1% | ||
| ROIC | 22.51% |
ROA(3y)14.23%
ROA(5y)10.91%
ROE(3y)58.06%
ROE(5y)46.09%
ROIC(3y)21.84%
ROIC(5y)17.51%
1.3 Margins
TJX has a Profit Margin of 8.59%. This is amongst the best in the industry. TJX outperforms 89.09% of its industry peers.
TJX's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 11.18%, TJX belongs to the best of the industry, outperforming 89.09% of the companies in the same industry.
In the last couple of years the Operating Margin of TJX has remained more or less at the same level.
TJX has a Gross Margin (30.57%) which is in line with its industry peers.
TJX's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.18% | ||
| PM (TTM) | 8.59% | ||
| GM | 30.57% |
OM growth 3Y4.52%
OM growth 5Y1.05%
PM growth 3Y8.47%
PM growth 5Y1.93%
GM growth 3Y-4.63%
GM growth 5Y-2.98%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so TJX is creating value.
The number of shares outstanding for TJX has been reduced compared to 1 year ago.
The number of shares outstanding for TJX has been reduced compared to 5 years ago.
Compared to 1 year ago, TJX has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 6.82 indicates that TJX is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 6.82, TJX belongs to the best of the industry, outperforming 98.18% of the companies in the same industry.
TJX has a debt to FCF ratio of 0.71. This is a very positive value and a sign of high solvency as it would only need 0.71 years to pay back of all of its debts.
TJX has a better Debt to FCF ratio (0.71) than 98.18% of its industry peers.
A Debt/Equity ratio of 0.32 indicates that TJX is not too dependend on debt financing.
The Debt to Equity ratio of TJX (0.32) is better than 76.36% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 0.71 | ||
| Altman-Z | 6.82 |
ROIC/WACC2.39
WACC9.42%
2.3 Liquidity
A Current Ratio of 1.17 indicates that TJX should not have too much problems paying its short term obligations.
TJX has a Current ratio of 1.17. This is comparable to the rest of the industry: TJX outperforms 41.82% of its industry peers.
TJX has a Quick Ratio of 1.17. This is a bad value and indicates that TJX is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.52, TJX is in line with its industry, outperforming 43.64% of the companies in the same industry.
TJX does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.17 | ||
| Quick Ratio | 0.52 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 6.04% over the past year.
Measured over the past years, TJX shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.71% on average per year.
Looking at the last year, TJX shows a small growth in Revenue. The Revenue has grown by 4.14% in the last year.
TJX shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.20% yearly.
EPS 1Y (TTM)6.04%
EPS 3Y14.34%
EPS 5Y9.71%
EPS Q2Q%14.58%
Revenue 1Y (TTM)4.14%
Revenue growth 3Y5.1%
Revenue growth 5Y6.2%
Sales Q2Q%6.93%
3.2 Future
Based on estimates for the next years, TJX will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.66% on average per year.
TJX is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.75% yearly.
EPS Next Y8.92%
EPS Next 2Y9.52%
EPS Next 3Y9.47%
EPS Next 5Y9.66%
Revenue Next Year6.09%
Revenue Next 2Y5.93%
Revenue Next 3Y5.93%
Revenue Next 5Y5.75%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 32.63, TJX can be considered very expensive at the moment.
TJX's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 27.31, TJX is valued at the same level.
The Price/Forward Earnings ratio is 28.05, which means the current valuation is very expensive for TJX.
The rest of the industry has a similar Price/Forward Earnings ratio as TJX.
TJX's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 22.85.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.63 | ||
| Fwd PE | 28.05 |
4.2 Price Multiples
60.00% of the companies in the same industry are cheaper than TJX, based on the Enterprise Value to EBITDA ratio.
The rest of the industry has a similar Price/Free Cash Flow ratio as TJX.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 39.48 | ||
| EV/EBITDA | 20.61 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of TJX may justify a higher PE ratio.
PEG (NY)3.66
PEG (5Y)3.36
EPS Next 2Y9.52%
EPS Next 3Y9.47%
5. Dividend
5.1 Amount
TJX has a Yearly Dividend Yield of 1.23%.
TJX's Dividend Yield is a higher than the industry average which is at 3.41.
With a Dividend Yield of 1.23, TJX pays less dividend than the S&P500 average, which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.23% |
5.2 History
On average, the dividend of TJX grows each year by 10.48%, which is quite nice.
Dividend Growth(5Y)10.48%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
35.04% of the earnings are spent on dividend by TJX. This is a low number and sustainable payout ratio.
TJX's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP35.04%
EPS Next 2Y9.52%
EPS Next 3Y9.47%
FRA:TJX (10/14/2025, 7:00:00 PM)
123.34
+1.58 (+1.3%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners93.12%
Inst Owner ChangeN/A
Ins Owners0.09%
Ins Owner ChangeN/A
Market Cap137.27B
Analysts84
Price Target130.11 (5.49%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.23% |
Yearly Dividend1.26
Dividend Growth(5Y)10.48%
DP35.04%
Div Incr Years3
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.04%
Min EPS beat(2)0.61%
Max EPS beat(2)7.47%
EPS beat(4)4
Avg EPS beat(4)4.03%
Min EPS beat(4)0.61%
Max EPS beat(4)7.47%
EPS beat(8)8
Avg EPS beat(8)4.5%
EPS beat(12)11
Avg EPS beat(12)4.74%
EPS beat(16)14
Avg EPS beat(16)3.74%
Revenue beat(2)1
Avg Revenue beat(2)0.34%
Min Revenue beat(2)-0.25%
Max Revenue beat(2)0.94%
Revenue beat(4)1
Avg Revenue beat(4)0.11%
Min Revenue beat(4)-0.25%
Max Revenue beat(4)0.94%
Revenue beat(8)4
Avg Revenue beat(8)0.03%
Revenue beat(12)6
Avg Revenue beat(12)0.05%
Revenue beat(16)7
Avg Revenue beat(16)-0.44%
PT rev (1m)-0.61%
PT rev (3m)3.27%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.69%
EPS NY rev (1m)0.64%
EPS NY rev (3m)2.14%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.79%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.52%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.63 | ||
| Fwd PE | 28.05 | ||
| P/S | 2.75 | ||
| P/FCF | 39.48 | ||
| P/OCF | 26.88 | ||
| P/B | 17.99 | ||
| P/tB | 18.19 | ||
| EV/EBITDA | 20.61 |
EPS(TTM)3.78
EY3.06%
EPS(NY)4.4
Fwd EY3.56%
FCF(TTM)3.12
FCFY2.53%
OCF(TTM)4.59
OCFY3.72%
SpS44.78
BVpS6.85
TBVpS6.78
PEG (NY)3.66
PEG (5Y)3.36
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.13% | ||
| ROE | 56.1% | ||
| ROCE | 30.01% | ||
| ROIC | 22.51% | ||
| ROICexc | 28.68% | ||
| ROICexgc | 28.84% | ||
| OM | 11.18% | ||
| PM (TTM) | 8.59% | ||
| GM | 30.57% | ||
| FCFM | 6.98% |
ROA(3y)14.23%
ROA(5y)10.91%
ROE(3y)58.06%
ROE(5y)46.09%
ROIC(3y)21.84%
ROIC(5y)17.51%
ROICexc(3y)30.48%
ROICexc(5y)25.26%
ROICexgc(3y)30.69%
ROICexgc(5y)25.45%
ROCE(3y)29.12%
ROCE(5y)23.34%
ROICexcg growth 3Y0.34%
ROICexcg growth 5Y4.93%
ROICexc growth 3Y0.41%
ROICexc growth 5Y4.95%
OM growth 3Y4.52%
OM growth 5Y1.05%
PM growth 3Y8.47%
PM growth 5Y1.93%
GM growth 3Y-4.63%
GM growth 5Y-2.98%
F-Score6
Asset Turnover1.76
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 0.71 | ||
| Debt/EBITDA | 0.37 | ||
| Cap/Depr | 160.65% | ||
| Cap/Sales | 3.27% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 77.53% | ||
| Profit Quality | 81.24% | ||
| Current Ratio | 1.17 | ||
| Quick Ratio | 0.52 | ||
| Altman-Z | 6.82 |
F-Score6
WACC9.42%
ROIC/WACC2.39
Cap/Depr(3y)172.21%
Cap/Depr(5y)140.45%
Cap/Sales(3y)3.17%
Cap/Sales(5y)2.68%
Profit Quality(3y)86.1%
Profit Quality(5y)946.84%
High Growth Momentum
Growth
EPS 1Y (TTM)6.04%
EPS 3Y14.34%
EPS 5Y9.71%
EPS Q2Q%14.58%
EPS Next Y8.92%
EPS Next 2Y9.52%
EPS Next 3Y9.47%
EPS Next 5Y9.66%
Revenue 1Y (TTM)4.14%
Revenue growth 3Y5.1%
Revenue growth 5Y6.2%
Sales Q2Q%6.93%
Revenue Next Year6.09%
Revenue Next 2Y5.93%
Revenue Next 3Y5.93%
Revenue Next 5Y5.75%
EBIT growth 1Y6.18%
EBIT growth 3Y9.84%
EBIT growth 5Y7.32%
EBIT Next Year28.17%
EBIT Next 3Y14.8%
EBIT Next 5Y10.86%
FCF growth 1Y-11.77%
FCF growth 3Y27.77%
FCF growth 5Y8.1%
OCF growth 1Y-3.71%
OCF growth 3Y26%
OCF growth 5Y8.5%