Morningstar

Morningstar, Inc.

Equity Bottom-Up

Across its apparel and home fashion banners, we believe TJX's value proposition should continue to resonate even as the retail sector becomes increasingly competitive. Consequently, we expect TJX's competitive advantages will prove durable even as the landscape evolves, with bargain-hunting consumers continuing to drive returns. While digital retailers are a threat, we see the off-price channel as relatively well protected, as the low-frills shopping experience and significant discounts (around…

With first-quarter results largely as expected, we do not plan a large change for our $48 per share valuation for narrow-moat TJX. We still call for mid-single-digit sales growth against roughly 11% adjusted operating margins over the next decade. We have a favorable view of the firm and its prospects, but suggest investors await a more attractive entry point
TJX saw 7% sales growth (slightly better than our 6% target), spurred by 6% comparable store sales expansion at Marmaxx. Management…

United States

The TJX Companies, Inc. is an off-price apparel and home fashion retailer in the United States and worldwide.  The Company operates off-price retail concepts in the U.S., Canada and Europe that offer a wide range of brand name and designer merchandise.