The Tjx 2026 Q3 Earnings Strong Performance as Net Income Surges 11.2%

The Tjx (TJX), ranking 82nd by market capitalization, reported its fiscal 2026 Q3 earnings on Dec 02nd, 2025. The results exceeded expectations, with EPS and revenue growth outpacing forecasts. The company also provided updated guidance for Q4 and full-year fiscal 2026, reflecting confidence in its strategic initiatives and market position.

Revenue

The Tjx’s total revenue rose 7.5% year-over-year to $15.12 billion in Q3 2026, driven by strong performance across its key segments. The Marmaxx division, encompassing TJ Maxx, Marshalls, and their online platforms, reported $9 billion in sales, a 7% increase from the prior year. HomeGoods, including Homesense, contributed $2.5 billion, marking an 8% growth. International segments also showed resilience, with TJX Canada and TJX International reporting $1.5 billion and $2 billion in revenue, respectively, both reflecting year-over-year gains.

Earnings/Net Income

Earnings per share (EPS) surged 13% to $1.28, with net income reaching $1.44 billion—a 11.2% increase from $1.30 billion in the prior year. The company’s profitability improved, supported by a 12.7% pre-tax profit margin and a 0.4 percentage point margin expansion compared to the previous year. The EPS growth indicates robust operational efficiency and effective cost management.

Price Action

Post-earnings, TJX’s stock experienced mixed short-term movements. While it dipped 1.10% in the latest trading day, it gained 0.78% over the past week and climbed 5.43% month-to-date.

Post-Earnings Price Action Review

A strategy of buying TJX on the day of an earnings beat and holding for 30 days yielded a 113.34% return, outperforming the benchmark’s 85.80% return by 27.54%. This highlights the stock’s strong momentum following positive earnings surprises. The strategy also demonstrated solid risk management, with a maximum drawdown of 0.00% and a Sharpe ratio of 0.69.

CEO Commentary

CEO Ernie Herrman emphasized TJX’s operational strengths and strategic investments in expanding its store base and enhancing e-commerce capabilities. He noted, “Our focus on customer-centric innovation and inventory optimization has driven consistent growth.” The tone was optimistic, with Herrman expressing confidence in maintaining momentum through fiscal 2026.

Guidance

TJX provided Q4 2026 EPS guidance of $1.33–$1.36 and full-year EPS guidance of $4.63–$4.66. The company expects continued comp sales growth and operational efficiency to underpin these targets.

Additional News

1. Institutional Investor Activity: Fisher Asset Management LLC and Vanguard Group Inc. significantly increased their stakes in TJX, with Fisher’s holdings rising by 4,187.6% to $59.2 million.

2. Dividend Announcement: TJX declared a quarterly dividend of $0.425 per share, yielding 1.1%, with a payout ratio of 37.53%.

3. Insider Sales: CEO Ernie Herrman and Director Amy B. Lane sold shares totaling $8.2 million, reflecting mixed signals on insider confidence.

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