Analyst Report: TJX Companies, Inc.

Argus

•

Feb 28, 2025

Summary

TJX Companies Inc. sells name-brand merchandise at discounted prices. The company operates 5,085 stores, with 3,695 T.J. Maxx, Marshalls, HomeGoods, Homesense, and Sierra stores in the U.S., 576 stores in Canada, and 814 stores in Europe and Australia. In FY20, the company posted sales of $42 billion, which dropped to $32 billion in FY21 because of COVID and rebounded to $48.5 billion in FY22. FY23 sales were $49.9 billion, FY24 sales were $54 billion and FY25 sales were $56 billion. Clothing and footwear is the major product category, at approximately 48% of sales. Jewelry and accessories represent 17% and home products represent 35%. The company, based in Framingham, Massachusetts, has approximately 329,000 associates worldwide and more than 21,000 vendors sourcing products from over 100 countries. E-commerce represents less than 3% of sales. We will update these numbers after we review the annual report.

The HomeGoods division in the U.S. represents approximately 17% of company sales. 'Home fashions' represent approximately 35% of enterprise revenue (clothing represents 47% and jewelry and accessories 18%). Much of the 'home' merchandise consists of accessories, gift items, products for kids, and even packaged food. The HomeGoods and Homesense businesses have more 'big' items like lamps, furniture, and rugs than T.J. Maxx and Marshalls.

Based on the company's reported segments, the U.S. re

Chris Graja, CFA

Senior Analyst: Retail

Chris covers the Consumer sector for Argus. He was the #1 Stock Picker in the Household Durables sector, winning the 2019 StarMine U.S. Analyst award from Refinitiv. He was the #1 Stock Picker in Food and Staples Retailing, winning back-to-back U.S. Analyst Awards in 2015 and 2016. He received a prestigious Volunteer of the Year award from the New York Society of Security Analysts in 2000. Prior to Argus, Chris spent 16 years at Bloomberg Financial Markets. He was the Director of Training and a Senior Researcher for Bloomberg’s research division before joining the new Bloomberg magazine as Technical Studies Editor in 1993. He rose to Executive Markets Editor of the publishing group. Chris co-authored the book “Investing in Small-Cap Stocks,” which was published in three U.S. editions, an audio book, and two Chinese editions. Chris earned an MBA from Rutgers University. He is a CFA charterholder.