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TJX Q3 Earnings Coming Up: Key Factors You Should Understand

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Key Takeaways

  • TJX is projected to post Q3 revenues of $14.88B, up 5.8% year over year.
  • Earnings per share are expected at $1.22, a 7% rise from the prior-year period.
  • Strong traffic and flexible buying offset wage pressures and margin headwinds.

The TJX Companies, Inc. ((TJX - Free Report) ) is likely to register top and bottom-line growth when it reports third-quarter fiscal 2026 earnings on Nov. 19. The Zacks Consensus Estimate for quarterly revenues is pegged at $14.88 billion, which indicates a 5.8% increase from the year-ago quarter’s reported figure.

The consensus estimate, which has increased 1 cent over the past 30 days to $1.22 per share, calls for a 7% rise compared with the same period last year. TJX delivered a trailing four-quarter earnings surprise of 5.4%, on average.

The TJX Companies, Inc. Price, Consensus and EPS Surprise

The TJX Companies, Inc. Price, Consensus and EPS Surprise

The TJX Companies, Inc. price-consensus-eps-surprise-chart | The TJX Companies, Inc. Quote

Things to Know Ahead of TJX’s Q3 Earnings

The TJX Companies has been benefiting from its strong off-price retail model, which continues to attract consumers seeking branded merchandise at compelling values. The company has been witnessing steady growth in customer traffic and transactions across all divisions, reflecting solid business fundamentals. TJX has been leveraging its flexible buying model and global vendor network to deliver fresh assortments. These strategic endeavors are likely to have played a key role in supporting TJX’s performance in the third quarter.

TJX has also been gaining from its strong inventory position and ability to capitalize on favorable buying opportunities in the marketplace. On its last earnings call, management noted that the third quarter started on a strong note. Focused marketing initiatives and expanded gifting and consumables assortments have been driving store traffic. These factors are likely to have supported TJX’s upcoming-quarter performance.

The TJX Companies expects consolidated comparable sales growth of 2-3% and consolidated sales of $14.7-$14.8 billion for the third quarter of fiscal 2026. Third-quarter earnings per share have been predicted in the range of $1.17-$1.19, up 3-4% year over year.

However, The TJX Companies has been dealing with the adverse impacts of higher expenses. The increase in store wages and payroll costs has raised concerns for the company. Additionally, the impact of tariffs has been concerning. On its last earnings call, management projected a pretax profit margin between 12% and 12.1% for the to-be-reported quarter, reflecting a decline of 20-30 basis points from 12.3% in the prior-year quarter.

Earnings Whispers for TJX Stock

Our proven model predicts an earnings beat for The TJX Companies this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chance of an earnings beat. This is exactly the case here.

The TJX Companies currently has an Earnings ESP of +2.87% and a Zacks Rank of 3. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.

Other Stocks With the Favorable Combination

Here are some other companies worth considering, as our model shows that these, too, have the right combination of elements to beat on earnings this reporting cycle.

Ulta Beauty, Inc. ((ULTA - Free Report) ) has an Earnings ESP of +0.24% and a Zacks Rank of 2 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

The consensus estimate for Ulta Beauty’s third-quarter fiscal 2025 earnings is pegged at $4.47 per share, implying a decline of 13% from the year-ago quarter. For Ulta Beauty’s quarterly revenues, the consensus mark is pegged at $2.7 billion, which indicates an increase of 7.1% from the year-ago quarter. ULTA delivered a trailing four-quarter earnings surprise of 16.3%, on average.

Five Below, Inc. ((FIVE - Free Report) ) currently has an Earnings ESP of +74.71% and a Zacks Rank of 2. FIVE is likely to register a top-line increase when it reports third-quarter fiscal 2025 results. The Zacks Consensus Estimate for its quarterly revenues is pegged at $969.9 million, indicating a 15% rise from the figure reported in the prior-year quarter.

The consensus estimate for Five Below’s earnings is pegged at 22 cents per share, implying a 47.6% decline from the year-ago quarter. FIVE delivered a trailing four-quarter earnings surprise of 50.5%, on average.

Dollar General Corporation ((DG - Free Report) ) currently has an Earnings ESP of +12.31% and a Zacks Rank #2. The Zacks Consensus Estimate for DG’s third-quarter fiscal 2025 earnings per share is pegged at 95 cents, implying 6.7% year-over-year growth.

The Zacks Consensus Estimate for quarterly revenues is pegged at $10.62 billion, which indicates an increase of 4.3% from the figure reported in the prior-year quarter. Dollar General delivered a trailing four-quarter earnings surprise of 11.3%, on average.

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