Analysts Expect A Loss Of 72 Cents For 2Q Of The TJX Companies, Inc. (NYSE:TJX)

On August 19, 2014, The TJX Companies, Inc. (NYSE:TJX) will report the earnings results of its second quarter of the fiscal year 2015. By the end of the previous quarter, the company reported negative surprise earnings of 4.5 percent. Let us have a look as to how the second quarter will turn out.

There are a number of factors that should be considered before making any predictions. The TJX Companies, Inc. (NYSE:TJX) has been seeing quite unimpressive comps for the last few quarters as the customer spending is on a decline. Moreover, the company has also been witnessing very unfavorable conditions in the currency translation sector. Many of the market analysts are of the view that the company will not be successful in announcing positive figures for this quarter as well, for the retail market environment has remained tough in the second quarter.

Furthermore, the aggressive expansion plan of The TJX Companies, Inc. (NYSE:TJX) has been affected by the instability in the economic sector of Europe. Market researchers are predicting a decline in the sales of company’s European stores as the traffic was on a decline in that region of the world.

The company failed to witness an increase in its sales during the December 2013 and March 2014 quarters due to the bad weather conditions, which suggests that the top line of The TJX Companies, Inc. (NYSE:TJX) will affect. The company, due to its high inventory level, offered huge discounts to its clients in order to clear off the piles of inventory. Analysts expect that the discounts offered by the company will affect the margins of The TJX Companies, Inc. (NYSE:TJX).

According to Zacks estimates, it is difficult for the company to beat or even match the analysts’ estimates. Zacks further said that in order to surpass the earnings estimates, a company needs to have a positive earnings surprise together with a #1, #2 or #3 Zacks rank on the company’s stocks.

The TJX Companies, Inc. (NYSE:TJX) earnings surprise is running in a negative right now, with figures currently at -1.37 percent. The ESP is in a negative because consensus estimate is that the company will report a loss of 72 cents. Zacks, on the other hand, estimates the loss to reach to 73 cents.

Moreover, The TJX Companies, Inc. (NYSE:TJX) has a #4 Zacks rank on its stock; a #4 rank means that the company’s stocks have a rating of ‘sell’ on its stocks.

The TJX Companies, Inc. (NYSE:TJX) is an American company that supplies home goods to the market. The company operates in the retail sector of the market. It was founded in 1956 as Zayre.

Coming to the stock prices of The TJX Companies, Inc. (NYSE:TJX), the company, on the last trade day, August 18, 2014, opened its stocks at a price of $53.59 and closed at a price of $53.90. The company has a market capitalization of $37.21 billion with a price to earnings ratio of 18.19. As far as the dividend yield of the company’s stocks is concerned, the figures are reported to be around 1.30 percent.