TJX earnings beat estimates but guidance disappoints
#TJX Companies #Earnings Beat #Disappointing Guidance #Off-price Retailer #Comparable Sales Growth #Dividend Increase #Stock Buyback #Fiscal 2027 Outlook
📌 Key Takeaways
- TJX reported Q4 EPS of $1.43, beating analyst estimates of $1.39
- Revenue reached $17.7 billion, up 9% YoY and above estimates
- Q1 and full fiscal year 2027 guidance disappointed investors
- Annual sales surpassed $60 billion for the first time
- Company announced 13% increase in quarterly dividend and stock buyback plans
📖 Full Retelling
TJX Companies Inc. (NYSE:TJX) reported fourth quarter earnings that exceeded Wall Street expectations on February 25, 2026, though shares edged lower as investors reacted to the off-price retailer's disappointing guidance for the coming fiscal year. The company posted adjusted earnings per share of $1.43 for the fourth quarter ended January 31, surpassing analyst consensus of $1.39, while revenue reached $17.7 billion, up 9% year-over-year and above the $17.36 billion estimate. Comparable sales increased 5%, significantly above the company's plan, driven by strong performance across all divisions including Marmaxx (5% growth), HomeGoods (6% increase), TJX Canada (7% rise), and TJX International (4% climb). However, the pretax profit margin expansion to 13.5% included a $0.15 per share benefit from a litigation settlement related to credit card interchange fees, with adjusted pretax profit margin at 12.2%, up 0.6 percentage points versus the prior year. For the first quarter of fiscal 2027, TJX guided diluted EPS to a range of $0.97 to $0.99, with a midpoint of $0.98 that falls below the consensus estimate of $1.02, while the full fiscal year 2027 outlook of $4.93 to $5.02 per share (midpoint $4.98) also trails expectations of $5.16. Despite the guidance concerns, the company achieved a significant milestone with annual sales surpassing $60 billion for the first time, and full year comparable sales growing 5%. CEO and President Ernie Herrman expressed satisfaction with the performance, stating 'I am extremely pleased with our excellent performance in 2025,' while the company announced plans to increase its quarterly dividend by 13% to $0.48 per share and repurchase $2.50 to $2.75 billion of stock during fiscal 2027.
🏷️ Themes
Earnings Results, Retail Performance, Market Expectations, Shareholder Returns
📚 Related People & Topics
TJX
American department store corporation
The TJX Companies, Inc. (abbreviated TJX) is an American multinational off-price department store corporation, headquartered in Framingham, Massachusetts. It was formed as a subsidiary of Zayre Corp.
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try{ var _=i o; . if(!_||_&&typeof _==="object"&&_.expiry Nvidia, Salesforce earnings loom large - what’s moving markets Gold prices rebound on tariff jitters; silver, platinum and copper rally Nvidia set to report strong results and guidance, analysts say U.S. stock futures drift higher; Nvidia earnings to drive direction (South Africa Philippines Nigeria) TJX earnings beat estimates but guidance disappoints By Sam Boughedda Author Sam Boughedda Earnings Published 02/25/2026, 07:45 AM Updated 02/25/2026, 07:55 AM TJX earnings beat estimates but guidance disappoints 0 TJX -0.02% Investing.com -- The TJX Companies Inc. (NYSE:TJX) reported fourth quarter results that exceeded Wall Street expectations, though shares edged lower as investors weighed the company’s outlook for the coming year. ... Add CTA text here ... The off-price retailer posted adjusted earnings per share of $1.43 for the fourth quarter ended January 31, beating the analyst consensus of $1.39. Revenue reached $17.7 billion, up 9% YoY and above the $17.36 billion estimate. Comparable sales increased 5%, well above the company’s plan. However, for the first quarter of fiscal 2027, TJX guided diluted EPS to a range of $0.97 to $0.99, with a midpoint of $0.98 that is below the consensus estimate of $1.02. For the full fiscal year 2027, the company expects EPS of $4.93 to $5.02, with a midpoint of $4.98, which is below the consensus expectation of $5.16. The company’s pretax profit margin expanded to 13.5% in the quarter, though this included a $0.15 per share benefit from a litigation settlement related to credit card interchange fees. Excluding this gain, adjusted pretax profit margin was 12.2%, up 0.6 percentage points versus the prior year. Annual sales surpassed $60 billion for the first time, with full year comparable sales growing 5%. "I am extremely pleased with our excellent performance in 2025," said Ernie Herrman, CEO and President. "Thanks to the collective efforts and sharp execution of our te...
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