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Will TJX Q3 Sales Momentum Continue as Marmaxx and HomeGoods Shine?

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Key Takeaways

  • TJX delivered 5% consolidated comps, led by 6% at Marmaxx and 5% at HomeGoods.
  • Growth was driven by higher transactions and larger baskets with strong value perception.
  • HomeGoods benefits from unique assortments and store expansion plans supporting traffic.

The TJX Companies, Inc. ((TJX - Free Report) ) delivered 5% consolidated comparable sales in the third quarter of fiscal 2026, but the most telling signal lies in the performance of its two core pillars: Marmaxx apparel and HomeGoods. Marmaxx (U.S) posted a standout 6% comparable sales growth, while HomeGoods (U.S) followed closely with a 5% gain. Both banners also strengthened on a sequential basis, improving from 2% and 3% comparable sales, respectively, in the prior-year quarter. Management emphasized that both apparel and home categories contributed to the lift.

Growth in comparable sales was driven by a combination of higher customer transactions and a higher average basket. Management noted that price increases were selective and market-following, and that value perception scores remain “extremely strong.” This suggests consumers are accepting modest price adjustments.

HomeGoods adds stability to the overall performance. Shoppers continue to respond well to its unique, globally sourced merchandise, with frequent new arrivals helping bring customers back into stores. The company also sees significant runway to open more HomeGoods and HomeSense locations, which could help it reach more U.S. shoppers. Meanwhile, Marmaxx's performance remains balanced across apparel and non-apparel.

Taken together, TJX’s apparel and home comparable sales are being supported by traffic growth, higher basket size, disciplined pricing and broad-based category performance, pointing to operating momentum rather than a short-lived promotional boost.

How TJX Stacks Up Against WMT and BURL

Walmart Inc. ((WMT - Free Report) ) delivered a solid 4.5% comparable sales increase in Walmart U.S. during the third quarter of fiscal 2026, supported by growth in both transactions and units sold. E-commerce was a major driver, surging 28% as faster delivery speeds boosted customer adoption. Momentum remained steady throughout the quarter, with consistent share gains across grocery and general merchandise.

Burlington Stores, Inc. ((BURL - Free Report) ) posted a more tempered comparable store sales increase of 1% in the third quarter of fiscal 2025, though total sales still rose 7%. Store traffic dropped sharply after the back-to-school season, largely due to unusually warm weather across key markets. However, once temperatures cooled in mid-October, comparable sales trends rebounded to the mid-single-digit range.

TJX’s Price Performance, Valuation and Estimates

Shares of The TJX Companies have gained 7.1% in the past month compared with the industry’s growth of 1.8%.

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From a valuation standpoint, TJX trades at a forward price-to-earnings ratio of 29.77X, down from the industry’s average of 30.06X.

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The Zacks Consensus Estimate for TJX’s fiscal 2026 and 2027 earnings implies year-over-year growth of 9.6% and 9.4%, respectively.

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TJX currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.


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