Analysts Have Made A Financial Statement On The TJX Companies, Inc.'s (NYSE:TJX) Third-Quarter Report

The TJX Companies, Inc. (NYSE:TJX) came out with its quarterly results last week, and we wanted to see how the business is performing and what industry forecasters think of the company following this report. The result was positive overall - although revenues of US$14b were in line with what the analysts predicted, TJX Companies surprised by delivering a statutory profit of US$1.14 per share, modestly greater than expected. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

Check out our latest analysis for TJX Companies

Taking into account the latest results, the consensus forecast from TJX Companies' 22 analysts is for revenues of US$59.4b in 2026. This reflects a credible 5.3% improvement in revenue compared to the last 12 months. Per-share earnings are expected to accumulate 6.4% to US$4.59. Yet prior to the latest earnings, the analysts had been anticipated revenues of US$59.5b and earnings per share (EPS) of US$4.60 in 2026. So it's pretty clear that, although the analysts have updated their estimates, there's been no major change in expectations for the business following the latest results.

The analysts reconfirmed their price target of US$127, showing that the business is executing well and in line with expectations. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. There are some variant perceptions on TJX Companies, with the most bullish analyst valuing it at US$148 and the most bearish at US$81.00 per share. As you can see, analysts are not all in agreement on the stock's future, but the range of estimates is still reasonably narrow, which could suggest that the outcome is not totally unpredictable.

Of course, another way to look at these forecasts is to place them into context against the industry itself. It's pretty clear that there is an expectation that TJX Companies' revenue growth will slow down substantially, with revenues to the end of 2026 expected to display 4.2% growth on an annualised basis. This is compared to a historical growth rate of 9.7% over the past five years. Compare this to the 153 other companies in this industry with analyst coverage, which are forecast to grow their revenue at 4.7% per year. So it's pretty clear that, while TJX Companies' revenue growth is expected to slow, it's expected to grow roughly in line with the industry.

The Bottom Line

The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. They also reconfirmed their revenue estimates, with the company predicted to grow at about the same rate as the wider industry. The consensus price target held steady at US$127, with the latest estimates not enough to have an impact on their price targets.

Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. We have estimates - from multiple TJX Companies analysts - going out to 2027, and you can see them free on our platform here.

You should always think about risks though. Case in point, we've spotted 1 warning sign for TJX Companies you should be aware of.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.