11 Best Counter Cyclical Stocks to Buy According to Analysts

8. The TJX Companies, Inc. (NYSE:TJX)

Average Upside Potential: 11.07%

Number of Hedge Fund Holders: 74

​The TJX Companies, Inc. (NYSE:TJX) is a leading off-price retailer of apparel and home fashions in the United States and globally. Its store brands include T.J. Maxx, Marshalls, HomeGoods, HomeSense, Sierra, and international banners such as T.K. Maxx and Winners. TJX offers a wide range of products, including apparel, footwear, accessories, home basics, accent furniture, and decorative accessories, typically priced 20% to 60% below full-price retailers’ regular prices. TJX often sees acceleration in sales growth during economic slowdowns as consumers seek value-oriented shopping options, leading to increased customer traffic in its stores.​

The TJX Companies, Inc. (NYSE:TJX) closed its Q4 on a high note, reporting a 5% increase in comparable store sales, with all divisions showing consistent growth of at least 4%. For the full fiscal year 2025, the company exceeded $56 billion in sales and celebrated a major milestone by opening its 5,000th store. Strong profitability marked the year, including a 4% rise in annual comparable sales, a notable improvement in margins, and a double-digit increase in earnings per share – all of which outpaced prior forecasts. TJX credits its continued success to a few core strengths: its unmatched value proposition, broad customer appeal, and highly adaptable operating model.

Looking ahead, The TJX Companies, Inc. (NYSE:TJX) is positioning itself for further expansion. The company now sees potential for up to 7,000 stores, adding over 1,900 more in current and planned markets. Backed by solid financials, including $6.1 billion in operating cash flow and $5.3 billion in cash reserves, the company is targeting 2% to 3% comparable sales growth and total revenues between $58.1 billion and $58.6 billion for the fiscal 2026. TJX plans to open about 130 net new stores, representing a 3% increase in its store count. Additionally, the Board is expected to approve a 13% dividend hike to $0.425 per share and authorize share repurchases totaling $2 billion to $2.5 billion. TJX has an average upside of 11.07% according to analysts, and is thus one of the best counter cyclical stocks to buy now.