TJX Sees Positive Q2, Lifts FY27 View After Higher Q1; Raises Buyback Range; Stock Gains

(RTTNews) - Shares of TJX Companies, Inc. were gaining around 4 percent in the pre-market activity after the off-price apparel and home fashions retailer on Wednesday issued positive outlook for second quarter and raised fiscal 2027 view, after reporting strong first-quarter results.

Further, the firm raised its range for share repurchases to $2.75 billion to $3.0 billion of TJX stock during Fiscal 2027. The company previously expected to buy back approximately $2.50 billion to $2.75 billion of stock in fiscal 2027.

Ernie Herrman, Chief Executive Officer and President, stated, "All of our divisions delivered strong comparable sales growth and increases in customer transactions. With our above-plan first quarter results, we are raising our sales and profitability guidance for the full year. The second quarter is off to a good start...."

Looking ahead for the second quarter, the company projects earnings per share to be in the range of $1.15 to $1.17, with consolidated comparable sales to be up 2 percent to 3 percent.

For the full year 2027, the company now expects earnings per share in the range of $5.08 to $5.15, with consolidated comparable sales growth of 3 percent to 4 percent.

The previous outlook for annual earnings per share were in the range of $4.93 to $5.02, with consolidated comparable sales growth of 2 percent to 3 percent.

In fiscal 2026, earnings per share were $4.87, and adjusted earnings per share were $4.73, on consolidated comparable sales growth of 5 percent.

In the first quarter, TJX's bottom line came in at $1.332 billion or $1.19 per share, 29 percent higher than $1.036 billion or $0.92 per share last year.

Net sales for the period rose 9.2 percent to $14.323 billion from $13.111 billion a year ago. On a constant currency basis, net sales grew 8 percent.

Marmaxx (U.S.) sales grew 7 percent year-over-year to $8.65 billion, and the growth was 11 percent in HomeGoods (U.S.), 12 percent in TJX Canada and 13 percent in TJX International (Europe & Australia).

First-quarter consolidated comparable sales increased 6 percent, compared to a 3 percent increase last year, with growth in all divisions.

Comparable sales in Marmaxx (U.S.) grew 6 percent, HomeGoods (U.S.) increased 9 percent, TJX Canada increased 7 percent and the growth was 4 percent in TJX International (Europe & Australia).

In pre-market activity, the shares were gaining around 3.6 percent, trading at $156.05, after closing Tuesday's regular trading 0.3 percent higher.

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