Shares of the off-price apparel chain
The TJX Company
) reached 52-week high of $48.20 on Tuesday, Apr 9, following the
company's announcement of raising its quarterly dividend by 26%
from Jun 6 and in anticipation of a strong comparative sales in
Mar 2013 scheduled to be reported on Apr 11. They surpassed the
previous 52-week high of $47.38 on Apr 2.
The closing price of the textile retailer on Apr 8 was $47.66,
representing a solid 1-year return of about 23.3% and
year-to-date return of about 10.4%. Average volume of shares
traded over the last three months stands at approximately
TJX reported positive comp sales growth of 1% for February.
During fourth quarter fiscal 2013, TJX's consolidated comparable
store sales, excluding the extra week, increased 4.0% on the back
of strong performance in all the stores in the U.S., Canada and
Apart from strong comp sales, TJX announced that its board of
directors has approved a 26% hike in its regular quarterly
dividend. This is the 17th consecutive year in which the company
has hiked its quarterly dividend.
TJX will now pay 14.5 cents dividend per share to its
shareholders compared to 11.5 cents paid earlier. The increased
dividend will be paid on Jun 6, 2013, to shareholders of record
as of May 16, 2013. The increased dividend reflects the company's
sound financial position.
TJX reported a 32% rise in adjusted earnings to 82 cents per
share in the fourth quarter of fiscal 2013. It was ahead of the
Zacks Consensus Estimate by a penny. For fiscal 2013, adjusted
earnings went up 28% to $2.55 per share.
The earnings upside was fueled by higher consumer traffic on
the back of fresh stocks in the stores and solid comparable-store
sales growth over several consecutive months.
TJX Companies Inc. is an off-price global retailer of apparel
and home fashions. The company operates 2,906 stores in the U.S.,
Canada and Europe.
TJXcurrently carries a Zacks Rank #3 (Hold). Other favorable
stocks in the retail and wholesale sector that are worth
) hold a Zacks Rank #1 (Strong Buy).
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