Stock Analysis on Net
Stock Analysis on Net
Microsoft Excel LibreOffice Calc

TJX Cos. Inc. (NYSE:TJX)

Analysis of Profitability Ratios

Beginner level

Profitability Ratios (Summary)

TJX Cos. Inc., profitability ratios

Microsoft Excel LibreOffice Calc
Feb 1, 2020 Feb 2, 2019 Feb 3, 2018 Jan 28, 2017 Jan 30, 2016 Jan 31, 2015
Return on Sales
Gross profit margin 28.46% 28.59% 28.89% 28.98% 28.79% 28.55%
Operating profit margin 10.59% 10.82% 10.84% 11.60% 11.97% 12.40%
Net profit margin 7.84% 7.85% 7.27% 6.93% 7.36% 7.62%
Return on Investment
Return on equity (ROE) 55.01% 60.61% 50.66% 50.95% 52.88% 51.95%
Return on assets (ROA) 13.55% 21.36% 18.55% 17.84% 19.81% 19.91%

Based on: 10-K (filing date: 2020-03-27), 10-K (filing date: 2019-04-03), 10-K (filing date: 2018-04-04), 10-K (filing date: 2017-03-28), 10-K (filing date: 2016-03-29), 10-K (filing date: 2015-03-31).

Profitability ratio Description The company
Gross profit margin Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. TJX Cos. Inc.’s gross profit margin ratio deteriorated from 2018 to 2019 and from 2019 to 2020.
Operating profit margin A profitability ratio calculated as operating income divided by revenue. TJX Cos. Inc.’s operating profit margin ratio deteriorated from 2018 to 2019 and from 2019 to 2020.
Net profit margin An indicator of profitability, calculated as net income divided by revenue. TJX Cos. Inc.’s net profit margin ratio improved from 2018 to 2019 but then slightly deteriorated from 2019 to 2020.

Profitability ratio Description The company
ROE A profitability ratio calculated as net income divided by shareholders’ equity. TJX Cos. Inc.’s ROE improved from 2018 to 2019 but then slightly deteriorated from 2019 to 2020 not reaching 2018 level.
ROA A profitability ratio calculated as net income divided by total assets. TJX Cos. Inc.’s ROA improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020.

Gross Profit Margin

TJX Cos. Inc., gross profit margin calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Feb 1, 2020 Feb 2, 2019 Feb 3, 2018 Jan 28, 2017 Jan 30, 2016 Jan 31, 2015
Selected Financial Data (US$ in thousands)
Gross earnings 11,871,197  11,141,757  10,362,497  9,617,990  8,910,415  8,301,885 
Net sales 41,716,977  38,972,934  35,864,664  33,183,744  30,944,938  29,078,407 
Profitability Ratio
Gross profit margin1 28.46% 28.59% 28.89% 28.98% 28.79% 28.55%
Benchmarks
Gross Profit Margin, Competitors2
Amazon.com Inc. 39.57% 40.99% 40.25% 37.07% 35.09%
Costco Wholesale Corp. 11.20% 11.02% 11.04% 11.33% 11.35% 11.09%
Dollar General Corp. 30.59% 30.45% 30.77% 30.85% 30.96% 30.69%
Home Depot Inc. 34.09% 34.34% 34.05% 34.16% 34.19% 34.81%
Lowe’s Cos. Inc. 31.80% 32.12% 34.11% 34.55% 34.82% 34.79%
Target Corp. 28.87% 28.39% 28.87% 29.68% 29.53% 29.39%
Walmart Inc. 24.10% 24.50% 24.68% 24.94% 24.58% 24.29%

Based on: 10-K (filing date: 2020-03-27), 10-K (filing date: 2019-04-03), 10-K (filing date: 2018-04-04), 10-K (filing date: 2017-03-28), 10-K (filing date: 2016-03-29), 10-K (filing date: 2015-03-31).

1 2020 Calculation
Gross profit margin = 100 × Gross earnings ÷ Net sales
= 100 × 11,871,197 ÷ 41,716,977 = 28.46%

2 Click competitor name to see calculations.

Profitability ratio Description The company
Gross profit margin Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. TJX Cos. Inc.’s gross profit margin ratio deteriorated from 2018 to 2019 and from 2019 to 2020.

Operating Profit Margin

TJX Cos. Inc., operating profit margin calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Feb 1, 2020 Feb 2, 2019 Feb 3, 2018 Jan 28, 2017 Jan 30, 2016 Jan 31, 2015
Selected Financial Data (US$ in thousands)
Operating income 4,416,209  4,218,193  3,888,176  3,849,523  3,704,700  3,606,501 
Net sales 41,716,977  38,972,934  35,864,664  33,183,744  30,944,938  29,078,407 
Profitability Ratio
Operating profit margin1 10.59% 10.82% 10.84% 11.60% 11.97% 12.40%
Benchmarks
Operating Profit Margin, Competitors2
Amazon.com Inc. 5.93% 5.18% 5.33% 2.31% 3.08%
Costco Wholesale Corp. 3.33% 3.17% 3.24% 3.26% 3.16% 3.19%
Dollar General Corp. 8.30% 8.26% 8.55% 9.39% 9.53% 9.36%
Home Depot Inc. 14.37% 14.35% 14.55% 14.19% 13.30% 12.59%
Lowe’s Cos. Inc. 8.75% 5.63% 9.60% 8.99% 8.41% 8.52%
Target Corp. 6.04% 5.52% 6.00% 7.15% 7.49% 6.25%
Walmart Inc. 3.96% 4.30% 4.12% 4.73% 5.04% 5.63%
Operating Profit Margin, Sector
General Retailers 5.66% 5.89% 5.72% 5.97%
Operating Profit Margin, Industry
Consumer Services 7.83% 8.04% 8.34% 8.43%

Based on: 10-K (filing date: 2020-03-27), 10-K (filing date: 2019-04-03), 10-K (filing date: 2018-04-04), 10-K (filing date: 2017-03-28), 10-K (filing date: 2016-03-29), 10-K (filing date: 2015-03-31).

1 2020 Calculation
Operating profit margin = 100 × Operating income ÷ Net sales
= 100 × 4,416,209 ÷ 41,716,977 = 10.59%

2 Click competitor name to see calculations.

Profitability ratio Description The company
Operating profit margin A profitability ratio calculated as operating income divided by revenue. TJX Cos. Inc.’s operating profit margin ratio deteriorated from 2018 to 2019 and from 2019 to 2020.

Net Profit Margin

TJX Cos. Inc., net profit margin calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Feb 1, 2020 Feb 2, 2019 Feb 3, 2018 Jan 28, 2017 Jan 30, 2016 Jan 31, 2015
Selected Financial Data (US$ in thousands)
Net income 3,272,193  3,059,798  2,607,948  2,298,234  2,277,658  2,215,128 
Net sales 41,716,977  38,972,934  35,864,664  33,183,744  30,944,938  29,078,407 
Profitability Ratio
Net profit margin1 7.84% 7.85% 7.27% 6.93% 7.36% 7.62%
Benchmarks
Net Profit Margin, Competitors2
Amazon.com Inc. 5.53% 4.13% 4.33% 1.71% 1.74%
Costco Wholesale Corp. 2.45% 2.45% 2.26% 2.12% 2.02% 2.09%
Dollar General Corp. 6.17% 6.20% 6.56% 5.69% 5.72% 5.63%
Home Depot Inc. 10.20% 10.28% 8.55% 8.41% 7.92% 7.63%
Lowe’s Cos. Inc. 5.93% 3.25% 5.02% 4.76% 4.31% 4.80%
Target Corp. 4.25% 3.95% 4.08% 3.94% 4.56% -2.25%
Walmart Inc. 2.86% 1.31% 1.99% 2.83% 3.07% 3.39%
Net Profit Margin, Sector
General Retailers 3.41% 3.62% 3.43% 3.57%
Net Profit Margin, Industry
Consumer Services 5.03% 5.07% 6.37% 5.14%

Based on: 10-K (filing date: 2020-03-27), 10-K (filing date: 2019-04-03), 10-K (filing date: 2018-04-04), 10-K (filing date: 2017-03-28), 10-K (filing date: 2016-03-29), 10-K (filing date: 2015-03-31).

1 2020 Calculation
Net profit margin = 100 × Net income ÷ Net sales
= 100 × 3,272,193 ÷ 41,716,977 = 7.84%

2 Click competitor name to see calculations.

Profitability ratio Description The company
Net profit margin An indicator of profitability, calculated as net income divided by revenue. TJX Cos. Inc.’s net profit margin ratio improved from 2018 to 2019 but then slightly deteriorated from 2019 to 2020.

Return on Equity (ROE)

TJX Cos. Inc., ROE calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Feb 1, 2020 Feb 2, 2019 Feb 3, 2018 Jan 28, 2017 Jan 30, 2016 Jan 31, 2015
Selected Financial Data (US$ in thousands)
Net income 3,272,193  3,059,798  2,607,948  2,298,234  2,277,658  2,215,128 
Shareholders’ equity 5,948,212  5,048,606  5,148,309  4,510,599  4,307,075  4,264,230 
Profitability Ratio
ROE1 55.01% 60.61% 50.66% 50.95% 52.88% 51.95%
Benchmarks
ROE, Competitors2
Amazon.com Inc. 22.84% 18.67% 23.13% 10.95% 12.29%
Costco Wholesale Corp. 21.89% 24.00% 24.49% 24.86% 19.46% 22.39%
Dollar General Corp. 25.55% 24.77% 25.12% 23.14% 21.66% 18.66%
Home Depot Inc. 593.54% 183.64% 110.97% 68.06%
Lowe’s Cos. Inc. 217.09% 63.50% 58.69% 48.07% 33.26% 27.07%
Target Corp. 27.73% 26.00% 25.06% 24.99% 25.96% -11.69%
Walmart Inc. 19.93% 9.20% 12.66% 17.54% 18.24% 20.10%
ROE, Sector
General Retailers 24.63% 25.67% 24.80% 24.09%
ROE, Industry
Consumer Services 20.83% 21.33% 27.27% 21.40%

Based on: 10-K (filing date: 2020-03-27), 10-K (filing date: 2019-04-03), 10-K (filing date: 2018-04-04), 10-K (filing date: 2017-03-28), 10-K (filing date: 2016-03-29), 10-K (filing date: 2015-03-31).

1 2020 Calculation
ROE = 100 × Net income ÷ Shareholders’ equity
= 100 × 3,272,193 ÷ 5,948,212 = 55.01%

2 Click competitor name to see calculations.

Profitability ratio Description The company
ROE A profitability ratio calculated as net income divided by shareholders’ equity. TJX Cos. Inc.’s ROE improved from 2018 to 2019 but then slightly deteriorated from 2019 to 2020 not reaching 2018 level.

Return on Assets (ROA)

TJX Cos. Inc., ROA calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Feb 1, 2020 Feb 2, 2019 Feb 3, 2018 Jan 28, 2017 Jan 30, 2016 Jan 31, 2015
Selected Financial Data (US$ in thousands)
Net income 3,272,193  3,059,798  2,607,948  2,298,234  2,277,658  2,215,128 
Total assets 24,145,003  14,326,029  14,058,015  12,883,808  11,499,482  11,128,381 
Profitability Ratio
ROA1 13.55% 21.36% 18.55% 17.84% 19.81% 19.91%
Benchmarks
ROA, Competitors2
Amazon.com Inc. 6.64% 5.14% 6.19% 2.31% 2.84%
Costco Wholesale Corp. 7.20% 8.06% 7.68% 7.37% 7.09% 7.11%
Dollar General Corp. 7.50% 12.04% 12.30% 10.72% 10.35% 9.49%
Home Depot Inc. 21.94% 25.27% 19.38% 18.52% 16.47% 15.88%
Lowe’s Cos. Inc. 10.85% 6.71% 9.77% 8.99% 8.14% 8.48%
Target Corp. 7.67% 7.11% 7.52% 7.31% 8.35% -3.95%
Walmart Inc. 6.29% 3.04% 4.82% 6.86% 7.36% 8.03%
ROA, Sector
General Retailers 6.74% 7.63% 7.25% 7.90%
ROA, Industry
Consumer Services 5.78% 6.13% 8.54% 6.92%

Based on: 10-K (filing date: 2020-03-27), 10-K (filing date: 2019-04-03), 10-K (filing date: 2018-04-04), 10-K (filing date: 2017-03-28), 10-K (filing date: 2016-03-29), 10-K (filing date: 2015-03-31).

1 2020 Calculation
ROA = 100 × Net income ÷ Total assets
= 100 × 3,272,193 ÷ 24,145,003 = 13.55%

2 Click competitor name to see calculations.

Profitability ratio Description The company
ROA A profitability ratio calculated as net income divided by total assets. TJX Cos. Inc.’s ROA improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020.