Analyst John Kernan of TD Cowen maintained a Buy rating on TJX Companies, boosting the price target to $151.00.
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John Kernan has given his Buy rating due to a combination of factors that highlight the strong performance and future potential of TJX Companies. The price target has been increased to $151, reflecting a valuation of 30 times the forecasted FY27 earnings per share, which is above the consensus estimate. Despite the current price-to-earnings ratio being higher than the five-year average, the premium is justified by the company’s robust results compared to its large-cap consumer discretionary peers.
Furthermore, TJX’s recent quarterly performance exceeded expectations, with sales and earnings per share surpassing forecasts across all divisions, including apparel and home goods. The company’s strategic positioning in the off-price retail sector is advantageous, as it offers a compelling value proposition against traditional retail. Management’s confidence is evident in the raised guidance for FY26, with expectations of continued growth and effective mitigation of tariff impacts. These factors contribute to a positive outlook for TJX, supporting the Buy rating.