TJX COMPANIES INC (TJX.DE) Stock Fundamental Analysis
Europe - FRA:TJX - US8725401090 - Common Stock
126.4 EUR
+0.64 (+0.51%)
TJX gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 49 industry peers in the Specialty Retail industry. TJX scores excellent points on both the profitability and health parts. This is a solid base for a good stock. 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.
In the past year TJX had a positive cash flow from operations.
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 95.92% of the companies in the same industry.
TJX's Return On Equity of 56.10% is amongst the best of the industry. TJX outperforms 95.92% of its industry peers.
TJX has a Return On Invested Capital of 22.51%. This is amongst the best in the industry. TJX outperforms 91.84% of its industry peers.
The Average Return On Invested Capital over the past 3 years for TJX is significantly above the industry average of 10.65%.
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 87.76% of its industry peers.
In the last couple of years the Profit Margin of TJX has grown nicely.
The Operating Margin of TJX (11.18%) is better than 85.71% of its industry peers.
TJX's Operating Margin has been stable in the last couple of years.
TJX has a Gross Margin of 30.57%. This is comparable to the rest of the industry: TJX outperforms 40.82% of its industry peers.
In the last couple of years the Gross Margin of TJX has declined.
| 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
TJX has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
TJX has less shares outstanding than it did 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
TJX has an Altman-Z score of 6.90. This indicates that TJX is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 6.90, TJX belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
The Debt to FCF ratio of TJX is 0.71, which is an excellent value as it means it would take TJX, only 0.71 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 0.71, TJX belongs to the top of the industry, outperforming 95.92% of the companies in the same industry.
A Debt/Equity ratio of 0.32 indicates that TJX is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.32, TJX is in the better half of the industry, outperforming 75.51% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 0.71 | ||
| Altman-Z | 6.9 |
ROIC/WACC2.43
WACC9.25%
2.3 Liquidity
TJX has a Current Ratio of 1.17. This is a normal value and indicates that TJX is financially healthy and should not expect problems in meeting its short term obligations.
TJX has a Current ratio (1.17) which is in line with its industry peers.
A Quick Ratio of 0.52 indicates that TJX may have some problems paying its short term obligations.
TJX has a Quick ratio of 0.52. This is comparable to the rest of the industry: TJX outperforms 42.86% of its industry peers.
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
TJX shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.04%.
The Earnings Per Share has been growing by 9.71% on average over the past years. This is quite good.
TJX shows a small growth in Revenue. In the last year, the Revenue has grown by 4.14%.
Measured over the past years, TJX shows a small growth in Revenue. The Revenue has been growing by 6.20% on average per year.
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 10.09% on average per year.
The Revenue is expected to grow by 5.48% on average over the next years.
EPS Next Y9.06%
EPS Next 2Y9.68%
EPS Next 3Y9.59%
EPS Next 5Y10.09%
Revenue Next Year6.09%
Revenue Next 2Y5.93%
Revenue Next 3Y5.97%
Revenue Next 5Y5.48%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
TJX is valuated quite expensively with a Price/Earnings ratio of 33.35.
Compared to the rest of the industry, the Price/Earnings ratio of TJX is on the same level as its industry peers.
The average S&P500 Price/Earnings ratio is at 26.34. TJX is valued slightly more expensive when compared to this.
The Price/Forward Earnings ratio is 28.55, which means the current valuation is very expensive for TJX.
TJX's Price/Forward Earnings is on the same level as the industry average.
TJX's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 34.43.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.35 | ||
| Fwd PE | 28.55 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, TJX is valued a bit more expensive than 67.35% of the companies in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as TJX.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 40.3 | ||
| EV/EBITDA | 21.04 |
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)3.68
PEG (5Y)3.43
EPS Next 2Y9.68%
EPS Next 3Y9.59%
5. Dividend
5.1 Amount
TJX has a Yearly Dividend Yield of 1.18%.
Compared to an average industry Dividend Yield of 3.44, TJX pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.36, TJX's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.18% |
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.
The dividend of TJX is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP35.04%
EPS Next 2Y9.68%
EPS Next 3Y9.59%
FRA:TJX (11/12/2025, 7:00:00 PM)
126.4
+0.64 (+0.51%)
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 Cap140.68B
Revenue(TTM)57.92B
Net Income(TTM)4.97B
Analysts84.62
Price Target131.89 (4.34%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.18% |
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)1.36%
PT rev (3m)6.83%
EPS NQ rev (1m)0.51%
EPS NQ rev (3m)-0.07%
EPS NY rev (1m)0.12%
EPS NY rev (3m)2.26%
Revenue NQ rev (1m)0.11%
Revenue NQ rev (3m)0.96%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)0.53%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.35 | ||
| Fwd PE | 28.55 | ||
| P/S | 2.81 | ||
| P/FCF | 40.3 | ||
| P/OCF | 27.44 | ||
| P/B | 18.37 | ||
| P/tB | 18.57 | ||
| EV/EBITDA | 21.04 |
EPS(TTM)3.79
EY3%
EPS(NY)4.43
Fwd EY3.5%
FCF(TTM)3.14
FCFY2.48%
OCF(TTM)4.61
OCFY3.64%
SpS44.96
BVpS6.88
TBVpS6.81
PEG (NY)3.68
PEG (5Y)3.43
Graham Number24.22
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%
ROICexgc growth 3Y0.34%
ROICexgc 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 | 6.9 |
F-Score6
WACC9.25%
ROIC/WACC2.43
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 Y9.06%
EPS Next 2Y9.68%
EPS Next 3Y9.59%
EPS Next 5Y10.09%
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 3Y5.97%
Revenue Next 5Y5.48%
EBIT growth 1Y6.18%
EBIT growth 3Y9.84%
EBIT growth 5Y7.32%
EBIT Next Year28.17%
EBIT Next 3Y14.87%
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%
TJX COMPANIES INC / TJX.DE FAQ
Can you provide the ChartMill fundamental rating for TJX COMPANIES INC?
ChartMill assigns a fundamental rating of 6 / 10 to TJX.DE.
Can you provide the valuation status for TJX COMPANIES INC?
ChartMill assigns a valuation rating of 2 / 10 to TJX COMPANIES INC (TJX.DE). This can be considered as Overvalued.
What is the profitability of TJX stock?
TJX COMPANIES INC (TJX.DE) has a profitability rating of 8 / 10.
What is the expected EPS growth for TJX COMPANIES INC (TJX.DE) stock?
The Earnings per Share (EPS) of TJX COMPANIES INC (TJX.DE) is expected to grow by 9.06% in the next year.
Can you provide the dividend sustainability for TJX stock?
The dividend rating of TJX COMPANIES INC (TJX.DE) is 4 / 10 and the dividend payout ratio is 35.04%.