Jim Cramer raised concerns about The TJX Companies, Inc. (NYSE:TJX) during the September 10 episode of Mad Money, as he said:
We had our CNBC Investing Club meeting today… I review each of the Charitable Trust positions on the call. This time, it was pretty clinical until I got to TJX, the off-price retailer. Candidly, I lost it on TJX. I've owned the stock for the Trust for as long as I can remember, and I've never felt so worried about this franchise. They have a bunch of divisions, but the biggest one, Marmaxx, consisting of TJ Maxx and Marshalls, really blew it. Management told us that they had figured out what had gone wrong and they've already fixed it, but because of competitive reasons or whatever, they wouldn't tell us what went wrong and they wouldn't tell us how they fixed it. I found that infuriating…
I came close to saying, forget it, Jim, it's retail. Sometimes retail is seductive. I love my local TJ Maxx, and I think Home Goods is a fun place to shop. The company's almost always about the best in the industry, crushing Burlington and Ross Stores. But this time, shockingly, Ross Stores upside surprised. It crushed TJX, much better than expected... So why bother sticking your neck out for something in this group? Simple. Because some of the greatest stories of all time have come from retail. Costco's been an incredible long-term performer. Walmart's been terrific. And TJX, it's been a wonder, one of the best stocks ever.
Could they really suddenly have lost it? Did they go all LULU? I don't think so. What happens, though, is you have to be conscious that TJX is right now being buffeted by its group, which is trading down because of the decline in discretionary income from the tax that is higher gasoline. We can't tell how much of its underperformance comes from that alone or maybe the mistakes that management made and says they've corrected. In other words, these retail stocks are very hard to own, even as they seem so easy to grasp.
TJX Companies, Inc. (NYSE:TJX) reported second-quarter fiscal 2027 sales of $15.18 billion, up 5% year over year, while consolidated comparable sales increased 4%. Adjusted diluted EPS rose 11% to $1.22, and the company raised its full-year diluted EPS outlook to $5.31-$5.36, or $5.15-$5.20 excluding an expected $0.16 net benefit from tariff refunds. The weakness was concentrated in Marmaxx, which includes TJ Maxx, Marshalls and Sierra. Comparable sales increased just 1%, down from 6% in the first quarter, while HomeGoods, TJX Canada and TJX International each posted comparable-sales growth of 6% or more.
#year
We had our CNBC Investing Club meeting today… I review each of the Charitable Trust positions on the call. This time, it was pretty clinical until I got to TJX, the off-price retailer. Candidly, I lost it on TJX. I've owned the stock for the Trust for as long as I can remember, and I've never felt so worried about this franchise. They have a bunch of divisions, but the biggest one, Marmaxx, consisting of TJ Maxx and Marshalls, really blew it. Management told us that they had figured out what had gone wrong and they've already fixed it, but because of competitive reasons or whatever, they wouldn't tell us what went wrong and they wouldn't tell us how they fixed it. I found that infuriating…
I came close to saying, forget it, Jim, it's retail. Sometimes retail is seductive. I love my local TJ Maxx, and I think Home Goods is a fun place to shop. The company's almost always about the best in the industry, crushing Burlington and Ross Stores. But this time, shockingly, Ross Stores upside surprised. It crushed TJX, much better than expected... So why bother sticking your neck out for something in this group? Simple. Because some of the greatest stories of all time have come from retail. Costco's been an incredible long-term performer. Walmart's been terrific. And TJX, it's been a wonder, one of the best stocks ever.
Could they really suddenly have lost it? Did they go all LULU? I don't think so. What happens, though, is you have to be conscious that TJX is right now being buffeted by its group, which is trading down because of the decline in discretionary income from the tax that is higher gasoline. We can't tell how much of its underperformance comes from that alone or maybe the mistakes that management made and says they've corrected. In other words, these retail stocks are very hard to own, even as they seem so easy to grasp.
TJX Companies, Inc. (NYSE:TJX) reported second-quarter fiscal 2027 sales of $15.18 billion, up 5% year over year, while consolidated comparable sales increased 4%. Adjusted diluted EPS rose 11% to $1.22, and the company raised its full-year diluted EPS outlook to $5.31-$5.36, or $5.15-$5.20 excluding an expected $0.16 net benefit from tariff refunds. The weakness was concentrated in Marmaxx, which includes TJ Maxx, Marshalls and Sierra. Comparable sales increased just 1%, down from 6% in the first quarter, while HomeGoods, TJX Canada and TJX International each posted comparable-sales growth of 6% or more.
#year
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