The TJX Companies, Inc. (TJX) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-33.2%

$94.11

vs $140.80 price

Levered DCF

$92.65

After debt service

Piotroski score

7 / 9

Strong

Altman Z-score

6.34

Safe zone

Rating

Overall 3 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2026	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
P/E	30.64×	28.95×	24.34×	27.29×	26.27×	854.27×	21.79×	20.05×
P/B	16.54×	16.77×	14.9×	15×	14.39×	13.18×	11.99×	12.23×
P/S	2.79×	2.5×	2.01×	1.91×	1.78×	2.39×	1.71×	1.58×
EV / EBITDA	20.57×	19.34×	16.51×	18.32×	17.2×	70.98×	14.92×	12.09×
Gross margin	31.0%	30.6%	30.0%	27.6%	28.5%	23.7%	28.5%	28.6%
Operating margin	11.9%	11.2%	10.7%	9.7%	9.8%	1.8%	10.6%	10.8%
Net margin	9.1%	8.6%	8.3%	7.0%	6.8%	0.3%	7.8%	7.9%
Current ratio	1.14×	1.18×	1.21×	1.21×	1.27×	1.46×	1.24×	1.53×
Debt / equity	1.32×	1.52×	1.72×	2×	2.08×	2.66×	1.93×	0.49×
Interest coverage	97×	82.92×	73.38×	57.86×	39.96×	3×	74.74×	65.06×
Dividend yield	1.1%	1.2%	1.4%	1.4%	1.4%	0.4%	1.5%	1.5%
Payout ratio	33.5%	33.9%	33.2%	38.3%	38.1%	308.9%	32.7%	30.2%

Key metrics by fiscal year

Metric	FY2026	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
Return on equity	53.9%	58.0%	61.3%	55.0%	54.7%	1.5%	55.0%	60.6%
Return on invested capital	21.5%	21.1%	20.8%	18.2%	18.1%	2.6%	17.8%	35.2%
Return on assets	15.4%	15.3%	15.0%	12.3%	11.5%	0.3%	13.6%	21.4%
Free cash flow yield	2.9%	3.0%	4.0%	2.8%	2.3%	5.2%	4.0%	4.8%
Earnings yield	3.3%	3.5%	4.1%	3.7%	3.8%	0.1%	4.6%	5.0%
Enterprise value	$175.8B	$148.2B	$115.7B	$102.7B	$92.6B	$81.9B	$79.6B	$61.2B
Net debt / EBITDA	0.85×	0.97×	0.99×	1.3×	1.17×	4.36×	1.55×	-0.11×
Cash conversion cycle (days)	28	24	24	25	20	-2	30	29