TJX COMPANIES INC (TJX.DE) Stock Fundamental Analysis
Europe • Frankfurt Stock Exchange • FRA:TJX • US8725401090
123.1 EUR
-0.72 (-0.58%)
Last: Jan 29, 2026, 07:00 PM
Overall TJX gets a fundamental rating of 6 out of 10. We evaluated TJX against 56 industry peers in the Specialty Retail industry. While TJX has a great profitability rating, there are some minor concerns on its financial health. While showing a medium growth rate, TJX is valued expensive at the moment.
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.
- In the past 5 years TJX has always been profitable.
- TJX had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- The Return On Assets of TJX (14.55%) is better than 96.43% of its industry peers.
- Looking at the Return On Equity, with a value of 54.70%, TJX belongs to the top of the industry, outperforming 94.64% of the companies in the same industry.
- TJX's Return On Invested Capital of 23.62% is amongst the best of the industry. TJX outperforms 94.64% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for TJX is significantly above the industry average of 10.20%.
- The 3 year average ROIC (21.84%) for TJX is below the current ROIC(23.62%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 14.55% | ||
| ROE | 54.7% | ||
| ROIC | 23.62% |
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's Profit Margin of 8.68% is amongst the best of the industry. TJX outperforms 87.50% of its industry peers.
- In the last couple of years the Profit Margin of TJX has grown nicely.
- Looking at the Operating Margin, with a value of 11.31%, TJX belongs to the top of the industry, outperforming 85.71% 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 (30.85%) which is comparable to the rest of the industry.
- In the last couple of years the Gross Margin of TJX has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.31% | ||
| PM (TTM) | 8.68% | ||
| GM | 30.85% |
OM growth 3Y4.52%
OM growth 5Y1.05%
PM growth 3Y8.47%
PM growth 5Y1.93%
GM growth 3Y1.68%
GM growth 5Y0.82%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), TJX is creating value.
- Compared to 1 year ago, TJX has less shares outstanding
- TJX has less shares outstanding than it did 5 years ago.
- Compared to 1 year ago, TJX has an improved debt to assets ratio.
2.2 Solvency
- TJX has a debt to FCF ratio of 0.65. This is a very positive value and a sign of high solvency as it would only need 0.65 years to pay back of all of its debts.
- Looking at the Debt to FCF ratio, with a value of 0.65, TJX belongs to the top of the industry, outperforming 98.21% of the companies in the same industry.
- A Debt/Equity ratio of 0.20 indicates that TJX is not too dependend on debt financing.
- TJX has a better Debt to Equity ratio (0.20) than 87.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 0.65 | ||
| Altman-Z | N/A |
ROIC/WACC2.45
WACC9.64%
2.3 Liquidity
- A Current Ratio of 1.09 indicates that TJX should not have too much problems paying its short term obligations.
- TJX has a Current ratio (1.09) which is comparable to the rest of the industry.
- TJX has a Quick Ratio of 1.09. This is a bad value and indicates that TJX is not financially healthy enough and could expect problems in meeting its short term obligations.
- TJX's Quick ratio of 0.43 is on the low side compared to the rest of the industry. TJX is outperformed by 62.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.09 | ||
| Quick Ratio | 0.43 |
3. Growth
3.1 Past
- TJX shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.59%.
- The Earnings Per Share has been growing by 9.71% on average over the past years. This is quite good.
- Looking at the last year, TJX shows a small growth in Revenue. The Revenue has grown by 4.53% in the last year.
- 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)6.59%
EPS 3Y14.34%
EPS 5Y9.71%
EPS Q2Q%12.28%
Revenue 1Y (TTM)4.53%
Revenue growth 3Y5.1%
Revenue growth 5Y6.2%
Sales Q2Q%7.49%
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 10.34% on average per year.
- Based on estimates for the next years, TJX will show a small growth in Revenue. The Revenue will grow by 5.64% on average per year.
EPS Next Y10.89%
EPS Next 2Y10.71%
EPS Next 3Y10.95%
EPS Next 5Y10.34%
Revenue Next Year6.63%
Revenue Next 2Y6.09%
Revenue Next 3Y6.19%
Revenue Next 5Y5.64%
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
- Based on the Price/Earnings ratio of 32.48, the valuation of TJX can be described as expensive.
- Compared to the rest of the industry, the Price/Earnings ratio of TJX is on the same level as its industry peers.
- TJX is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 28.39, which is the current average of the S&P500 Index.
- The Price/Forward Earnings ratio is 28.22, which means the current valuation is very expensive for TJX.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of TJX is on the same level as its industry peers.
- When comparing the Price/Forward Earnings ratio of TJX to the average of the S&P500 Index (25.72), we can say TJX is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.48 | ||
| Fwd PE | 28.22 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of TJX indicates a slightly more expensive valuation: TJX is more expensive than 66.07% of the companies listed in the same industry.
- 62.50% of the companies in the same industry are cheaper than TJX, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 37.03 | ||
| EV/EBITDA | 20.48 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates TJX does not grow enough to justify the current Price/Earnings ratio.
- TJX has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)2.98
PEG (5Y)3.34
EPS Next 2Y10.71%
EPS Next 3Y10.95%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 1.11%, TJX has a reasonable but not impressive dividend return.
- TJX's Dividend Yield is a higher than the industry average which is at 1.47.
- Compared to the average S&P500 Dividend Yield of 1.82, TJX is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.11% |
5.2 History
- The dividend of TJX is nicely growing with an annual growth rate of 10.53%!
Dividend Growth(5Y)10.53%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
- TJX pays out 35.03% of its income as dividend. This is a sustainable payout ratio.
- The dividend of TJX is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP35.03%
EPS Next 2Y10.71%
EPS Next 3Y10.95%
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.
What is the valuation status of TJX COMPANIES INC (TJX.DE) stock?
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 9 / 10.
Can you provide the PE and PB ratios for TJX stock?
The Price/Earnings (PE) ratio for TJX COMPANIES INC (TJX.DE) is 32.48 and the Price/Book (PB) ratio is 17.48.
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 10.89% in the next year.