The TJX Companies, Inc.

The TJX Companies, Inc. (TJX - Analyst Report) just declared a quarterly dividend of 12 cents per share, noting that it is payable September 3 to shareholders of record on August 13. The company remains an industry leader in terms of income, currently yielding 2%.

Company Description

The TJX Companies is a discount retailer, selling apparel and home fashions worldwide. The Company operates 882 T.J. Maxx, 809 Marshalls, 322 HomeGoods, and 140 A.J. Wright stores in the United States. In Canada, The TJX Companies operates 203 Winners, 75 HomeSense and 3 STYLESENSE stores, and in Europe, 238 T.K. Maxx and 8 HomeSense stores.

Rewarding Shareholders with Income

The company just declared a quarterly dividend of 12 cents per share, noting that it is payable September 3 to shareholders of record on August 13.

The TJX Companies remains an industry leader in terms of income, currently yielding 2%.

A Solid Quarter

The company posted first-quarter earnings of 49 cents, which came in ahead of the year-prior total and matched the consensus estimate. Net sales reached $4.35 billion, 1% ahead of the previous year’s result.

Management stated that first-quarter results were the strongest in its history despite the economic downturn, adding that customer traffic increased significantly across virtually all divisions.

The TJX Companies said it expects second-quarter earnings to range between 43 and 49 cents per share.

Analysts are in agreement, pegging earnings at 48 cents for the second quarter. Analysts were forecasting earnings of 41 cents last month.

Current full-year Street projections of $2.16 per share were increased from last month’s $1.90. For the following year, forecasts of $2.37 per share are above the previous month’s $2.06.

Strong Fundamentals

TJX’s return on equity (ROE) of 41% more than doubles the industry average of 16%. The company’s net profit margin of 5% tops the industry average of 3%.

Read the full analyst report on TJX