Discount department store TJX Companies (TJX) released earnings for its third quarter of Fiscal 2025. The company reported earnings per share of $1.14, beating Wall Street’s estimate of $1.09. This represents an 11% increase year-over-year from $1.03.
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Moving on to revenue, TJX brought in $14.06 billion for the quarter. That’s another win for investors as it surpassed the $13.95 billion analysts expected. Additionally, it shows growth of 6% from the $13.27 billion reported in fiscal Q3 2024.
How TJX Beat Estimates
TJX Companies can attribute its success to several factors. That includes a 3% rise in comparable store sales, which excludes its e-commerce business. Breaking that down, comparable store sales were up 2% at Marmaxx, 3% at HomeGoods, 2% at TJX Canada, and 7% at TJX International.
This led to year-over-year revenue growth at each division during Fiscal Q3 2025. Marmaxx revenue grew 4% to $8.44 billion, HomeGoods growth of 7% brought revenue to $2.36 billion, TJX Canada saw an increase of 5% to $1.38 billion, and TJX International reported growth of 16% to $1.89 billion.
TJX Updates Guidance Alongside Earnings Beat
TJX Companies has provided an updated EPS guidance of $1.12 to $1.14 for Fiscal Q4 2025. For the record, Wall Street analysts expect EPS to come in at $1.18 for the quarter.
In this earnings report, the company also provided an updated Fiscal 2025 EPS outlook of $4.15 to $4.17, which is lower than analysts’ estimates of $4.17 for the period.
In both of these cases, TJX doesn’t look like it will be able to meet Wall Street’s expectations. That could be a bad sign for the company’s shares, especially heading into the holiday shopping season.
Should Investors Buy TJX Stock?
Turning to Wall Street, the analysts’ consensus rating for TJX Companies is Strong Buy based on 16 Buy and two Hold ratings over the last three months. This comes with an average price target of $131.31, a high of $148, and a low of $107. That’s a potential 11.55% upside for TJX shares.
