The stock market closed lower, while bond yields rose on Tuesday.
The yield on the benchmark 10-year U.S. Treasury note moved to about 3.56%. Meanwhile, rate on the 2-year U.S. Treasury note climbed back above 4%.
Overall, S&P 500 fell 0.2% to 3,971, while NASDAQ dropped 0.5% to 11,716.
Tweet of the Day
The IBD 50 index which is our benchmark is down 50% from its highs. In that sand box Arkk and Cathie Wood was down 80%. This is growth stock investing. We are bottoming or have one more whoosh and the bear market is over. In my view, worst case you have limited downside and… pic.twitter.com/q7KBhaLb1P
— Roy Mattox (@RoyLMattox) March 28, 2023
Chart of the Day
Here is the ten-year chart of TJX Companies (TJX) as of March 14, 2023, when the stock was at $75.
TJX is the largest major international off-price retailer in the world, which operates in the U.S. since 1976, in Canada since 1990 (Winners), in the U.K. and Ireland since 1994 (where its stores are named as T.K. Maxx). The company offers a rapidly changing assortment of quality brand name and designer merchandise that is 20% to 60% below full-price retailers.
TJX Companies (TJX) saw solid growth from its TJ Maxx and Marshalls stores last qtr. These two brands fall under the Marmaxx division, which led the company with 8% sales growth last quarter, driven by sales of apparel and accessories. Overall, the company delivered 14% profit growth on 5% revenue growth.
Qtrly profit growth has been erratic the past few years as the company had many stores closed during COVID-19 outbreaks. Profit growth should be more stable after next quarter. The Estimated Long-Term Growth Rate of 12% is where David Sharek thinks it should be.
TJX is part of the Conservative Growth Portfolio.