TJX PE Ratio & Valuation,Is TJX Overvalued

TJX Relative Valuation

TJX's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, TJX is overvalued; if below, it's undervalued.

Historical Valuation

TJX Companies Inc (TJX) is now in the Overvalued zone, suggesting that its current forward PE ratio of 31.31 is considered Overvalued compared with the five-year average of 23.75. The fair price of TJX Companies Inc (TJX) is between 107.63 to 133.03 according to relative valuation methord. Compared to the current price of 156.66 USD , TJX Companies Inc is Overvalued By 17.76%.

Relative Value

Fair Zone

107.63-133.03

Current Price：156.66

17.76%

Overvalued

31.31

21.27

EV/EBITDA

TJX Companies Inc. (TJX) has a current EV/EBITDA of 21.27. The 5-year average EV/EBITDA is 16.22. The thresholds are as follows: Strongly Undervalued below 12.13, Undervalued between 12.13 and 14.18, Fairly Valued between 18.27 and 14.18, Overvalued between 18.27 and 20.31, and Strongly Overvalued above 20.31. The current Forward EV/EBITDA of 21.27 falls within the Strongly Overvalued range.

24.82

EV/EBIT

TJX Companies Inc. (TJX) has a current EV/EBIT of 24.82. The 5-year average EV/EBIT is 19.11. The thresholds are as follows: Strongly Undervalued below 14.40, Undervalued between 14.40 and 16.75, Fairly Valued between 21.46 and 16.75, Overvalued between 21.46 and 23.81, and Strongly Overvalued above 23.81. The current Forward EV/EBIT of 24.82 falls within the Strongly Overvalued range.

2.78

TJX Companies Inc. (TJX) has a current PS of 2.78. The 5-year average PS is 1.91. The thresholds are as follows: Strongly Undervalued below 1.21, Undervalued between 1.21 and 1.56, Fairly Valued between 2.26 and 1.56, Overvalued between 2.26 and 2.61, and Strongly Overvalued above 2.61. The current Forward PS of 2.78 falls within the Strongly Overvalued range.

25.85

P/OCF

TJX Companies Inc. (TJX) has a current P/OCF of 25.85. The 5-year average P/OCF is 20.34. The thresholds are as follows: Strongly Undervalued below -14.89, Undervalued between -14.89 and 2.73, Fairly Valued between 37.96 and 2.73, Overvalued between 37.96 and 55.57, and Strongly Overvalued above 55.57. The current Forward P/OCF of 25.85 falls within the Historic Trend Line -Fairly Valued range.

39.32

P/FCF

TJX Companies Inc. (TJX) has a current P/FCF of 39.32. The 5-year average P/FCF is 17.42. The thresholds are as follows: Strongly Undervalued below -87.34, Undervalued between -87.34 and -34.96, Fairly Valued between 69.80 and -34.96, Overvalued between 69.80 and 122.18, and Strongly Overvalued above 122.18. The current Forward P/FCF of 39.32 falls within the Historic Trend Line -Fairly Valued range.

TJX Companies Inc (TJX) has a current Price-to-Book (P/B) ratio of 18.52. Compared to its 3-year average P/B ratio of 15.99 , the current P/B ratio is approximately 15.78% higher. Relative to its 5-year average P/B ratio of 14.97, the current P/B ratio is about 23.68% higher. TJX Companies Inc (TJX) has a Forward Free Cash Flow (FCF) yield of approximately 2.55%. Compared to its 3-year average FCF yield of 3.38%, the current FCF yield is approximately -24.61% lower. Relative to its 5-year average FCF yield of 3.55% , the current FCF yield is about -28.31% lower.

18.52

P/B

Median3y

15.99

Median5y

14.97

2.55

FCF Yield

Median3y

3.38

Median5y

3.55

Competitors Valuation Multiple

The average P/S ratio for TJX's competitors is 1.97, providing a benchmark for relative valuation. TJX Companies Inc Corp (TJX) exhibits a P/S ratio of 2.78, which is 41.2% above the industry average. Given its robust revenue growth of 7.49%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

Revenue Growth

Market Cap

Performance Decomposition

Market capitalization of TJX increased by 29.24% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 29.11 to 34.44.

The secondary factor is the Revenue Growth, contributed 7.49%to the performance.

Overall, the performance of TJX in the past 1 year is driven by P/E Change. Which is more unsustainable.

7.49%

14.06B → 15.12B

Revenue Growth

3.47%

9.22 → 9.54

Margin Expansion

18.28%

29.11 → 34.44

P/E Change

29.24%

120.81 → 156.14

Mkt Cap Growth

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Frequently Asked Questions

Is TJX Companies Inc (TJX) currently overvalued or undervalued?

What is TJX Companies Inc (TJX) fair value?

TJX's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of TJX Companies Inc (TJX) is between 107.63 to 133.03 according to relative valuation methord.

How does TJX's valuation metrics compare to the industry average?

The average P/S ratio for TJX's competitors is 1.97, providing a benchmark for relative valuation. TJX Companies Inc Corp (TJX) exhibits a P/S ratio of 2.78, which is 41.20% above the industry average. Given its robust revenue growth of 7.49%, this premium appears unsustainable.

What is the current P/B ratio for TJX Companies Inc (TJX) as of Dec 15 2025?

As of Dec 15 2025, TJX Companies Inc (TJX) has a P/B ratio of 18.52. This indicates that the market values TJX at 18.52 times its book value.

What is the current FCF Yield for TJX Companies Inc (TJX) as of Dec 15 2025?

As of Dec 15 2025, TJX Companies Inc (TJX) has a FCF Yield of 2.55%. This means that for every dollar of TJX Companies Inc’s market capitalization, the company generates 2.55 cents in free cash flow.

What is the current Forward P/E ratio for TJX Companies Inc (TJX) as of Dec 15 2025?

As of Dec 15 2025, TJX Companies Inc (TJX) has a Forward P/E ratio of 31.31. This means the market is willing to pay $31.31 for every dollar of TJX Companies Inc’s expected earnings over the next 12 months.

What is the current Forward P/S ratio for TJX Companies Inc (TJX) as of Dec 15 2025?

As of Dec 15 2025, TJX Companies Inc (TJX) has a Forward P/S ratio of 2.78. This means the market is valuing TJX at $2.78 for every dollar of expected revenue over the next 12 months.

TJX Valuation