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The TJX Companies, Inc. (TJX)

TJX Companies stock forecast: buy or sell

Close on Sep 29th, 2020
$54.16 -0.03%
3 months performance
0.07%
Published: September 29th, 2020 - 5.59pm EDT

TJX Companies stock outlook

  • TJX Companies stock collapsed -2.59% to close at $54.16 on the stock market today.
  • The TJX Companies, Inc., together with its subsidiaries, operates as an off-price apparel and home fashions retailer.

Important:
The viewpoints contained in this post are personal and should not be followed as recommendations for you to buy or sell shares. The author of this report does not have an understanding of the specific circumstances of the reader, his or her finances or his or her own best interests at any given time. All users should speak with their financial advisor before buying or selling any securities Comments are expressed for learning purposes only

TJX Companies stock charts

Should I buy TJX Companies stock?

Even if you are a experienced or a novel trader, best trading results come from using an investing strategy that never leaves to random or subjective opinions when is the best moment to buy or sell stocks. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best moment to buy them. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best

Is TJX stock a buy?

Currently, TJX Companies stock doesn't match any of these trading strategies, so our recommendation is not to buy now. This doesn't mean TJX will slide in coming sessions, or it will not rise higher. Simply, it doesn't match our recommended trading systems

Should I sell TJX Companies stock?

When you own a stock with some profit, it's really difficult to decide the best moment to sell and get your benefits. Like when we have to buy shares, deciding when is appropiate time to sell is not a haphazard decision, and we must adhere our own trading style. We like very simple strategies to guide us on when is the best moment to sell our shares. Be aware that these strategies are not intended for shorting TJX Companies stock

As a golden rule, you must never mantain an open trade that produces greater losses than those expected at the time of purchase. When to sell shares must always be determined by the stop-loss (automatic or manual)

Is it time to sell TJX Companies stock?

Currently, TJX Companies stock doesn't match any of our preferred sell setups, so if you own TJX Companies stock and your operation is in profit probably is not time to sell now

Analysts' recommendations to buy or sell TJX Companies stock

Brokerage firms and financial institutions post stock ratings based on their views of the market and the fundamental and technical situation of the analyzed stock. Unfortunately, the accuracy of these predictions is not very high, and certainly not a direct buy or sell signal

In the last 30 days, just one rating was published for TJX Companies

TJX Companies ratings

Brokerage firmRating
Sep 18th, 2020
JPMorgan Chase & Co. Buy

Technical analysis

SMAs overview

A favorite tool of many technical analysts are the moving averages, that easily show trend direction. A moving average is the average price of a stock over a set period of time. Usual time periods used for moving averages are 21 days, 50 days, 100 days and 200 days. Further about Moving Averages from sources like Wikipedia and Investopedia

TJX SMAs chart

Supports and resistances

Traders use support and resistance levels as a way to identify price points in the stock price action that tend to work as obstacles, containing the price of an asset to move in certain direction. Supports are levels where the price may find support as it falls. Price is more likely to "bounce off" this level rather than break through it. Nevertheless, if the price breaks down the support, it will probably continue declining until finding another support level. On the other hand, a resistance level is where the price may find a curb as it rises. Likewise, this means that the price is more liable to "bounce off" at this level, and if it finally crosses this level, the price will climb easily until it meets the next resistance

The current resistance levels are:

  • R1: $54.63 (0.87% above)
  • R2: $54.86 (1.29% above)
  • R3: $54.88 (1.33% above)
  • The current supports are:

  • S1: $53.94 (-0.41% below)
  • S2: $52.81 (-2.49% below)
  • S3: $52.67 (-2.75% below)
  • Bollinger bands

    The so-called Bollinger bands are a well-known studio that was created by John Bollinger. Essentially, the Bollinger Bands are lines that flow around a moving average and vary the distance from the bottom to the top depending on market volatility. They are usually plotted by an offset of two standard deviations, above and below, from a moving average line. Bollinger himself recommends the moving average period to be 20

    Since the price surpassed the upper band on September 16, the price has corrected downwards by 6.86%. Since the price broke down the lower band last Thursday, the price bounced off by 4.56%

    TJX RSI chart

    Relative strength index

    The relative strength index (RSI) is a technical indicator used in the analysis of stock markets. Its objective is to plot the current and historical strength or weakness of a stock or market based on the closing prices of a recent trading period. Like other oscillation indicators, the RSI moves between 0% and 100%. The relative strength indicator is one of the best known and most widely used indicators, invented by J. Welles Wilder in the late 1970s

    The RSI dropped below the overbought level of 70 in mid-August after just crossing to the overbough zone for just one day (weak signal). The RSI reading today was 48.21. TJX Companies stock collapsed a 8.84% since that level was lost

    TJX RSI chart

    Earnings and financials

    In mid-August, TJX Companies had the financial event and released the Q2 report. TJX Companies posted 2nd-quarter earnings of $-0.18 per share on sales of $4.4 billion. The Wall St estimate was $-0.10 per share on revenue of $5.5 billion.

    This compares to earnings of $0.62 per share a year ago, so reported EPS means a loss of -129.03%. Looking at turnover, figures sank a -52.49% compared to $9.3B year over year.

    TJX Companies is presenting quarterly earnings report next November. Wall Street analysts estimate a per-share earnings of %s of $0.38, that is a 311.11% more than previous quarter. Financial reporting day has a more than usual risk for stock investors as the results disclosed can jump up or down the stock price with lower volume and not respecting your buy or stop-loss orders. You can probably obtain more details about the earnings call and the earnings reports on the Investor Relations section of its website: http://www.tjx.com.

    TJX revenues and profits chart