Stock Analysis on Net

TJX Cos. Inc. (NYSE:TJX)

This company has been moved to the archive! The financial data has not been updated since May 27, 2022.

Capital Asset Pricing Model (CAPM) 

Microsoft Excel

Rates of Return

TJX Cos. Inc., monthly rates of return

Microsoft Excel
TJX Cos. Inc. (TJX) Standard & Poor’s 500 (S&P 500)
t Date PriceTJX,t1 DividendTJX,t1 RTJX,t2 PriceS&P 500,t RS&P 500,t3
Feb 29, 2016 $37.05 1,932.23
1. Mar 31, 2016 $39.18 5.75% 2,059.74 6.60%
2. Apr 30, 2016 $37.91 -3.24% 2,065.30 0.27%
3. May 31, 2016 $38.06 $0.13 0.74% 2,096.95 1.53%
. . . . . . .
. . . . . . .
. . . . . . .
70. Dec 31, 2021 $75.92 9.39% 4,766.18 4.36%
71. Jan 31, 2022 $71.97 -5.20% 4,515.55 -5.26%
Average (R): 1.24% 1.29%
Standard deviation: 6.31% 4.25%
TJX Cos. Inc. (TJX) Standard & Poor’s 500 (S&P 500)
t Date PriceTJX,t1 DividendTJX,t1 RTJX,t2 PriceS&P 500,t RS&P 500,t3
Feb 29, 2016 $37.05 1,932.23
1. Mar 31, 2016 $39.18 5.75% 2,059.74 6.60%
2. Apr 30, 2016 $37.91 -3.24% 2,065.30 0.27%
3. May 31, 2016 $38.06 $0.13 0.74% 2,096.95 1.53%
4. Jun 30, 2016 $38.62 1.47% 2,098.86 0.09%
5. Jul 31, 2016 $40.86 5.80% 2,173.60 3.56%
6. Aug 31, 2016 $38.72 $0.13 -4.92% 2,170.95 -0.12%
7. Sep 30, 2016 $37.39 -3.43% 2,168.27 -0.12%
8. Oct 31, 2016 $36.88 -1.36% 2,126.15 -1.94%
9. Nov 30, 2016 $39.17 $0.13 6.56% 2,198.81 3.42%
10. Dec 31, 2016 $37.57 -4.08% 2,238.83 1.82%
11. Jan 31, 2017 $37.46 -0.29% 2,278.87 1.79%
12. Feb 28, 2017 $39.23 $0.13 5.07% 2,363.64 3.72%
13. Mar 31, 2017 $39.54 0.79% 2,362.72 -0.04%
14. Apr 30, 2017 $39.32 -0.56% 2,384.20 0.91%
15. May 31, 2017 $37.61 $0.15625 -3.95% 2,411.80 1.16%
16. Jun 30, 2017 $36.09 -4.04% 2,423.41 0.48%
17. Jul 31, 2017 $35.16 -2.58% 2,470.30 1.93%
18. Aug 31, 2017 $36.15 $0.15625 3.26% 2,471.65 0.05%
19. Sep 30, 2017 $36.87 1.99% 2,519.36 1.93%
20. Oct 31, 2017 $34.90 -5.34% 2,575.26 2.22%
21. Nov 30, 2017 $37.78 $0.15625 8.70% 2,647.58 2.81%
22. Dec 31, 2017 $38.23 1.19% 2,673.61 0.98%
23. Jan 31, 2018 $40.16 5.05% 2,823.81 5.62%
24. Feb 28, 2018 $41.34 $0.15625 3.33% 2,713.83 -3.89%
25. Mar 31, 2018 $40.78 -1.35% 2,640.87 -2.69%
26. Apr 30, 2018 $42.42 4.02% 2,648.05 0.27%
27. May 31, 2018 $45.16 $0.195 6.92% 2,705.27 2.16%
28. Jun 30, 2018 $47.59 5.38% 2,718.37 0.48%
29. Jul 31, 2018 $48.63 2.19% 2,816.29 3.60%
30. Aug 31, 2018 $54.99 $0.195 13.48% 2,901.52 3.03%
31. Sep 30, 2018 $56.01 1.85% 2,913.98 0.43%
32. Oct 31, 2018 $54.94 -1.91% 2,711.74 -6.94%
33. Nov 30, 2018 $48.85 $0.195 -10.73% 2,760.17 1.79%
34. Dec 31, 2018 $44.74 -8.41% 2,506.85 -9.18%
35. Jan 31, 2019 $49.73 11.15% 2,704.10 7.87%
36. Feb 28, 2019 $51.29 $0.195 3.53% 2,784.49 2.97%
37. Mar 31, 2019 $53.21 3.74% 2,834.40 1.79%
38. Apr 30, 2019 $54.88 3.14% 2,945.83 3.93%
39. May 31, 2019 $50.29 $0.23 -7.94% 2,752.06 -6.58%
40. Jun 30, 2019 $52.88 5.15% 2,941.76 6.89%
41. Jul 31, 2019 $54.56 3.18% 2,980.38 1.31%
42. Aug 31, 2019 $54.97 $0.23 1.17% 2,926.46 -1.81%
43. Sep 30, 2019 $55.74 1.40% 2,976.74 1.72%
44. Oct 31, 2019 $57.65 3.43% 3,037.56 2.04%
45. Nov 30, 2019 $61.13 $0.23 6.44% 3,140.98 3.40%
46. Dec 31, 2019 $61.06 -0.11% 3,230.78 2.86%
47. Jan 31, 2020 $59.04 -3.31% 3,225.52 -0.16%
48. Feb 29, 2020 $59.80 $0.23 1.68% 2,954.22 -8.41%
49. Mar 31, 2020 $47.81 -20.05% 2,584.59 -12.51%
50. Apr 30, 2020 $49.05 2.59% 2,912.43 12.68%
51. May 31, 2020 $52.76 7.56% 3,044.31 4.53%
52. Jun 30, 2020 $50.56 -4.17% 3,100.29 1.84%
53. Jul 31, 2020 $51.99 2.83% 3,271.12 5.51%
54. Aug 31, 2020 $54.79 5.39% 3,500.31 7.01%
55. Sep 30, 2020 $55.65 1.57% 3,363.00 -3.92%
56. Oct 31, 2020 $50.80 -8.72% 3,269.96 -2.77%
57. Nov 30, 2020 $63.51 25.02% 3,621.63 10.75%
58. Dec 31, 2020 $68.29 7.53% 3,756.07 3.71%
59. Jan 31, 2021 $64.04 -6.22% 3,714.24 -1.11%
60. Feb 28, 2021 $65.99 $0.26 3.45% 3,811.15 2.61%
61. Mar 31, 2021 $66.15 0.24% 3,972.89 4.24%
62. Apr 30, 2021 $71.00 7.33% 4,181.17 5.24%
63. May 31, 2021 $67.54 $0.26 -4.51% 4,204.11 0.55%
64. Jun 30, 2021 $67.42 -0.18% 4,297.50 2.22%
65. Jul 31, 2021 $68.81 2.06% 4,395.26 2.27%
66. Aug 31, 2021 $72.72 $0.26 6.06% 4,522.68 2.90%
67. Sep 30, 2021 $65.98 -9.27% 4,307.54 -4.76%
68. Oct 31, 2021 $65.49 -0.74% 4,605.38 6.91%
69. Nov 30, 2021 $69.40 $0.26 6.37% 4,567.00 -0.83%
70. Dec 31, 2021 $75.92 9.39% 4,766.18 4.36%
71. Jan 31, 2022 $71.97 -5.20% 4,515.55 -5.26%
Average (R): 1.24% 1.29%
Standard deviation: 6.31% 4.25%

Show all

1 Data in US$ per share of common stock, adjusted for splits and stock dividends.

2 Rate of return on common stock of TJX during period t

3 Rate of return on S&P 500 (the market portfolio proxy) during period t


Variance and Covariance

TJX Cos. Inc., calculation of variance and covariance of returns

Microsoft Excel
t Date RTJX,t RS&P 500,t (RTJX,tRTJX)2 (RS&P 500,tRS&P 500)2 (RTJX,tRTJX)×(RS&P 500,tRS&P 500)
1. Mar 31, 2016 5.75% 6.60% 20.30 28.16 23.91
2. Apr 30, 2016 -3.24% 0.27% 20.12 1.05 4.59
3. May 31, 2016 0.74% 1.53% 0.26 0.06 -0.12
. . . . . . .
. . . . . . .
. . . . . . .
70. Dec 31, 2021 9.39% 4.36% 66.44 9.42 25.02
71. Jan 31, 2022 -5.20% -5.26% 41.56 42.91 42.23
Total (Σ): 2,784.34 1,262.70 1,226.01
t Date RTJX,t RS&P 500,t (RTJX,tRTJX)2 (RS&P 500,tRS&P 500)2 (RTJX,tRTJX)×(RS&P 500,tRS&P 500)
1. Mar 31, 2016 5.75% 6.60% 20.30 28.16 23.91
2. Apr 30, 2016 -3.24% 0.27% 20.12 1.05 4.59
3. May 31, 2016 0.74% 1.53% 0.26 0.06 -0.12
4. Jun 30, 2016 1.47% 0.09% 0.05 1.44 -0.27
5. Jul 31, 2016 5.80% 3.56% 20.76 5.15 10.34
6. Aug 31, 2016 -4.92% -0.12% 37.98 2.00 8.72
7. Sep 30, 2016 -3.43% -0.12% 21.89 2.00 6.62
8. Oct 31, 2016 -1.36% -1.94% 6.80 10.46 8.44
9. Nov 30, 2016 6.56% 3.42% 28.28 4.52 11.30
10. Dec 31, 2016 -4.08% 1.82% 28.39 0.28 -2.81
11. Jan 31, 2017 -0.29% 1.79% 2.36 0.25 -0.76
12. Feb 28, 2017 5.07% 3.72% 14.66 5.89 9.29
13. Mar 31, 2017 0.79% -0.04% 0.21 1.77 0.60
14. Apr 30, 2017 -0.56% 0.91% 3.24 0.15 0.69
15. May 31, 2017 -3.95% 1.16% 26.99 0.02 0.70
16. Jun 30, 2017 -4.04% 0.48% 27.93 0.66 4.29
17. Jul 31, 2017 -2.58% 1.93% 14.60 0.41 -2.46
18. Aug 31, 2017 3.26% 0.05% 4.07 1.53 -2.50
19. Sep 30, 2017 1.99% 1.93% 0.56 0.41 0.48
20. Oct 31, 2017 -5.34% 2.22% 43.39 0.86 -6.10
21. Nov 30, 2017 8.70% 2.81% 55.59 2.30 11.30
22. Dec 31, 2017 1.19% 0.98% 0.00 0.10 0.02
23. Jan 31, 2018 5.05% 5.62% 14.48 18.71 16.46
24. Feb 28, 2018 3.33% -3.89% 4.34 26.90 -10.81
25. Mar 31, 2018 -1.35% -2.69% 6.75 15.85 10.34
26. Apr 30, 2018 4.02% 0.27% 7.72 1.04 -2.83
27. May 31, 2018 6.92% 2.16% 32.21 0.75 4.93
28. Jun 30, 2018 5.38% 0.48% 17.12 0.65 -3.34
29. Jul 31, 2018 2.19% 3.60% 0.89 5.34 2.18
30. Aug 31, 2018 13.48% 3.03% 149.71 3.01 21.22
31. Sep 30, 2018 1.85% 0.43% 0.37 0.74 -0.53
32. Oct 31, 2018 -1.91% -6.94% 9.95 67.78 25.97
33. Nov 30, 2018 -10.73% 1.79% 143.37 0.24 -5.91
34. Dec 31, 2018 -8.41% -9.18% 93.26 109.62 101.11
35. Jan 31, 2019 11.15% 7.87% 98.20 43.25 65.17
36. Feb 28, 2019 3.53% 2.97% 5.22 2.82 3.84
37. Mar 31, 2019 3.74% 1.79% 6.25 0.25 1.25
38. Apr 30, 2019 3.14% 3.93% 3.59 6.96 5.00
39. May 31, 2019 -7.94% -6.58% 84.43 61.94 72.31
40. Jun 30, 2019 5.15% 6.89% 15.26 31.37 21.88
41. Jul 31, 2019 3.18% 1.31% 3.74 0.00 0.04
42. Aug 31, 2019 1.17% -1.81% 0.00 9.62 0.22
43. Sep 30, 2019 1.40% 1.72% 0.02 0.18 0.07
44. Oct 31, 2019 3.43% 2.04% 4.77 0.56 1.64
45. Nov 30, 2019 6.44% 3.40% 26.95 4.46 10.97
46. Dec 31, 2019 -0.11% 2.86% 1.84 2.45 -2.13
47. Jan 31, 2020 -3.31% -0.16% 20.72 2.12 6.62
48. Feb 29, 2020 1.68% -8.41% 0.19 94.15 -4.20
49. Mar 31, 2020 -20.05% -12.51% 453.43 190.56 293.94
50. Apr 30, 2020 2.59% 12.68% 1.82 129.78 15.38
51. May 31, 2020 7.56% 4.53% 39.94 10.47 20.45
52. Jun 30, 2020 -4.17% 1.84% 29.31 0.30 -2.96
53. Jul 31, 2020 2.83% 5.51% 2.51 17.79 6.68
54. Aug 31, 2020 5.39% 7.01% 17.16 32.65 23.67
55. Sep 30, 2020 1.57% -3.92% 0.11 27.20 -1.70
56. Oct 31, 2020 -8.72% -2.77% 99.18 16.47 40.42
57. Nov 30, 2020 25.02% 10.75% 565.30 89.54 224.98
58. Dec 31, 2020 7.53% 3.71% 39.47 5.86 15.20
59. Jan 31, 2021 -6.22% -1.11% 55.76 5.79 17.97
60. Feb 28, 2021 3.45% 2.61% 4.87 1.73 2.91
61. Mar 31, 2021 0.24% 4.24% 1.00 8.71 -2.96
62. Apr 30, 2021 7.33% 5.24% 37.07 15.60 24.05
63. May 31, 2021 -4.51% 0.55% 33.07 0.55 4.28
64. Jun 30, 2021 -0.18% 2.22% 2.02 0.86 -1.32
65. Jul 31, 2021 2.06% 2.27% 0.67 0.97 0.80
66. Aug 31, 2021 6.06% 2.90% 23.20 2.58 7.74
67. Sep 30, 2021 -9.27% -4.76% 110.50 36.59 63.59
68. Oct 31, 2021 -0.74% 6.91% 3.95 31.61 -11.17
69. Nov 30, 2021 6.37% -0.83% 26.25 4.52 -10.89
70. Dec 31, 2021 9.39% 4.36% 66.44 9.42 25.02
71. Jan 31, 2022 -5.20% -5.26% 41.56 42.91 42.23
Total (Σ): 2,784.34 1,262.70 1,226.01

Show all

VarianceTJX = Σ(RTJX,tRTJX)2 ÷ (71 – 1)
= 2,784.34 ÷ (71 – 1)
= 39.78

VarianceS&P 500 = Σ(RS&P 500,tRS&P 500)2 ÷ (71 – 1)
= 1,262.70 ÷ (71 – 1)
= 18.04

CovarianceTJX, S&P 500 = Σ(RTJX,tRTJX)×(RS&P 500,tRS&P 500) ÷ (71 – 1)
= 1,226.01 ÷ (71 – 1)
= 17.51


Systematic Risk (β) Estimation

Microsoft Excel
VarianceTJX 39.78
VarianceS&P 500 18.04
CovarianceTJX, S&P 500 17.51
Correlation coefficientTJX, S&P 5001 0.65
βTJX2 0.97
αTJX3 -0.01%

Calculations

1 Correlation coefficientTJX, S&P 500
= CovarianceTJX, S&P 500 ÷ (Standard deviationTJX × Standard deviationS&P 500)
= 17.51 ÷ (6.31% × 4.25%)
= 0.65

2 βTJX
= CovarianceTJX, S&P 500 ÷ VarianceS&P 500
= 17.51 ÷ 18.04
= 0.97

3 αTJX
= AverageTJX – βTJX × AverageS&P 500
= 1.24%0.97 × 1.29%
= -0.01%


Expected Rate of Return

Microsoft Excel
Assumptions
Rate of return on LT Treasury Composite1 RF 3.27%
Expected rate of return on market portfolio2 E(RM) 12.25%
Systematic risk (β) of TJX Cos. Inc. common stock βTJX 0.97
 
Expected rate of return on TJX Cos. Inc. common stock3 E(RTJX) 11.99%

1 Unweighted average of bid yields on all outstanding fixed-coupon U.S. Treasury bonds neither due or callable in less than 10 years (risk-free rate of return proxy).

2 See details »

3 E(RTJX) = RF + βTJX [E(RM) – RF]
= 3.27% + 0.97 [12.25%3.27%]
= 11.99%