The TJX Companies, Inc. (NYSE:TJX) had a solid second quarter on the surface, but the outlook raised some concerns. Sales increased 5.4% to $15.18 billion, just ahead of the $15.16 billion ***** ysts were expecting. Adjusted earnings came in at $1.22 per share, up 11% from a year earlier and above the $1.19 consensus.
The bigger issue was the third-quarter forecast. TJX expects adjusted earnings of $1.30 to $1.32 per share, excluding a six-cent benefit from tariff refunds. That is below the $1.35 ***** ysts were looking for and suggests the company is starting to feel some pressure from a more cautious consumer.
The slowdown at Marmaxx is probably the part investors are watching most closely. The division, which includes TJ Maxx and Marshalls, posted just 1% comparable-sales growth in the second quarter, down from 6% in the previous quarter. Since Marmaxx is TJX's largest division, a slowdown there matters.
Still, the company did not cut its outlook. TJX kept its comparable-sales growth target at 3% to 4% and raised its fiscal 2027 adjusted EPS forecast to $5.31-$5.36, up from $5.08-$5.15.
Photo by Carl Raw on Unsplash
#quarter #sales #adjusted #earnings
The bigger issue was the third-quarter forecast. TJX expects adjusted earnings of $1.30 to $1.32 per share, excluding a six-cent benefit from tariff refunds. That is below the $1.35 ***** ysts were looking for and suggests the company is starting to feel some pressure from a more cautious consumer.
The slowdown at Marmaxx is probably the part investors are watching most closely. The division, which includes TJ Maxx and Marshalls, posted just 1% comparable-sales growth in the second quarter, down from 6% in the previous quarter. Since Marmaxx is TJX's largest division, a slowdown there matters.
Still, the company did not cut its outlook. TJX kept its comparable-sales growth target at 3% to 4% and raised its fiscal 2027 adjusted EPS forecast to $5.31-$5.36, up from $5.08-$5.15.
Photo by Carl Raw on Unsplash
#quarter #sales #adjusted #earnings
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