TJX’s “treasure hunt” shopping experience is the most compelling reason for owning this retail chain, which is famously difficult to replicate online. By constantly rotating fresh, high-end branded merchandise at 20% to 60% discounts, the firm creates a sense of urgency that drives frequent foot traffic and high conversion rates. This model acts as a natural hedge: in good times, consumers spend freely, and in lean times, they “trade down” from department stores to this company’s banners.
The company also possesses a buying moat that’s virtually unparalleled in retail. With over 1,300 global buyers sourcing from more than 21,000 vendors, the company is the “first call” for designers and manufacturers looking to clear excess inventory without devaluing their brands. This scale allows the chain to maintain a superior merchandise margin even while offering steep discounts.
THE TJX COMPANIES (symbol TJX on New York) is a leading off-price retailer of clothing, accessories and home fashions. Off-price retailers purchase merchandise at below-wholesale prices and charge less than retail prices.
The stock continues to hit all-time highs for our subscribers.
In 2024, TJX expanded its global footprint through a joint venture in Mexico. Mexican retailer Grupo Axo owns 51% of the joint venture, and TJX owns 49%.
The collaboration aims to incorporate Axo’s existing off-price, brick-and-mortar retail operations in Mexico, encompassing more than 200 stores under its Promoda, Reduced, and Urban Store brands.
The new joint venture should be a good fit for TJX. It draws on TJX’s extensive experience as a global off-price retailer, plus Axo’s established network of off-price stores and the company’s three decades of operational expertise in Mexico.
Through their shares, investors tap a network of stores. In the U.S., TJX operates 1,346 T.J. Maxx locations, 1,248 Marshalls, 958 HomeGoods, 141 Sierra Trading Post outlets and 77 HomeSense locations. In Canada, it has 315 Winners outlets, 162 HomeSense locations and 111 Marshalls stores. TJX also operates in Europe, with 672 TK Maxx and 74 Homesense stores; and in Australia, with 87 TK Maxx outlets.
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Overall revenue in the quarter ended November 1, 2025, rose 7.5%, to $15.12 billion from $14.06 billion a year earlier. Comparable same-store sales increased 5.0%. TJX made $1.28 a share in the latest quarter, up 12.3% from $1.14. The company’s costs fell.
TJX’s team of buyers see lots of opportunities in today’s turmoil
To find attractive deals for its customers, TJX depends heavily on the skills of its merchandise buyers, many of whom have been with the company for decades. Its buyers aim to take advantage of what they see as the best opportunities and hottest trends in the marketplace.
TJX stores then quickly turn over limited quantities of products—all sold at bargain prices.
The result is an ongoing treasure hunt for shoppers, one that spurs regular store visits and encourages consumers to buy immediately rather than risk someone else snatching up a deal.
The retail giant raised its quarterly dividend by 13.3% with the June 2025 payment, to $0.425 from $0.375 a share. The shares now yield 1.1%. The increase was the company’s 28th over the last 29 years.
TJX appear well positioned to weather the Trump administration’s tariffs. In fact, as other retailers have taken in a lot of inventory to get ahead of tariffs, they likely won’t be able to sell everything—and that’s a big plus for TJX’s team of buyers.
Recommendation in Power Growth Investor: The TJX Companies is a buy.
