The stock market closed higher on Monday to kick off the final week of September. The 10-year treasury yield likewise soared to 4.542%, its highest level since 2007.
Investors now await the latest Personal Consumption Expenditures (PCE) inflation, which will be out on Friday.
Overall, S&P 500 grew 0.4% to 4,337, while NASDAQ was up 0.5% to 13,271.
Tweet of the Day
$BILL update – partnership with Intuit $INTU details and Bank of America $BAC pic.twitter.com/wtkyX3tp7H
— Kourosh (@kouroshshafi) August 18, 2023
Chart of the Day
Here is the one-year chart of TJX Companies (TJX) as of September 6, 2023, when the stock was at $91.
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), and 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 names and designer merchandise that is 20% to 60% below full-price retailers.
TJX delivered solid results last quarter as clothes and accessories sales were “very strong”. Leading the way was the company’s largest division, Marmaxx, which includes TJ Maxx and Marshalls. Its sales rose 9% during the quarter. Overall, the company delivered 23% profit growth on 8% revenue growth last quarter, including 6% same-store sales growth. Higher store traffic was the reason for the 6% boost in same store sales. Six percent is a very good number for same store sales. Same store sales rose just 3% two quarters ago.
TJX is part of the Conservative Growth Portfolio. With a P/E of 24, the stock seems fairly valued here and David Sharek, Founder of School of Hard Stocks, thinks it is a 10% to 12% grower long-term.
