Morningstar Rating

Stock Research and Analysis

by Bridget Weishaar

Bulls Say

With its off-price retailing model and last-minute inventory purchasing, TJX generally performs better in a climate of economic uncertainty than many other apparel retailers.
TJX has managed to profitably penetrate international markets, a feat achieved by few of its peers. This gives the firm a significant growth opportunity and a leader advantage.
Scale allows TJX to have more flexibility in inventory management, resulting in better localization of merchandise and fewer markdowns. Read more 

Bears Say

TJX may eventually have difficulty sourcing merchandise if the economy improves and suppliers have better sell-through or if more competitors enter the space, such as Macy's.
TJX may become overstored as it grows its brick-and-mortar base at roughly 5% annually.
If consumer confidence stabilizes and spending improves, consumers may trade back up to full-price department stores and specialty retailers. Read more 


The management team has extensive retail experience within and outside the company. Carol Meyrowitz has been CEO since 2007 and was president from 2005 to 2011. She has held various merchandising, consulting, and executive roles since joining TJX in   Read more 


TJX Companies is the nation's largest off-price retailer of brand-name and designer apparel and home fashions, selling its assortment at prices generally 20%-60% lower than   Read more 

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