Here’s What Jim Cramer is Saying About These 10 Stocks

6. The TJX Companies Inc. (NYSE:TJX)

Number of Hedge Fund Investors: 56

Jim Cramer highlighted that The TJX Companies Inc. (NYSE:TJX)’s growth in same-store sales was driven by increased traffic rather than price changes, which is typical for the largest off-price retailer in the country. Although he does not personally know Herrman, Cramer believes in his expertise, noting that The TJX Companies Inc. (NYSE:TJX)’s stock rose 6% to an all-time high.

“TJX’s same-store sales growth came from traffic, not price, which is what you’d expect from the biggest off-price retailer in the country. I may not know Herrman personally, but I know he’s great at his job—just look at TJX stock, which jumped 6% to an all-time high today. I’m so glad we own it for the travel trust.”

The TJX Companies Inc. (NYSE:TJX) is a strong investment due to its effective off-price retail model, which consistently draws value-seeking consumers by offering high-quality, branded goods at significant discounts. This approach remains successful even in uncertain economic times, making The TJX Companies Inc. (NYSE:TJX) a popular choice for affordable merchandise. The TJX Companies Inc. (NYSE:TJX)’s solid financial performance is demonstrated by its 5% same-store sales growth in fiscal Q1 2024, driven by strong demand in its HomeGoods and Marmaxx segments.

The TJX Companies Inc. (NYSE:TJX) is also expanding globally, especially in Europe and North America, with a strategy of opening new stores to boost growth. Its efficient inventory management allows it to buy excess stock at lower prices and provide fresh merchandise, giving it a competitive advantage. With an attractive valuation compared to other retailers and a history of returning capital to shareholders through dividends and share buybacks, The TJX Companies Inc. (NYSE:TJX) offers a compelling investment opportunity with significant growth potential.

Madison Investors Fund stated the following regarding The TJX Companies, Inc. (NYSE:TJX) in its Q2 2024 investor letter:

“The TJX Companies, Inc. (NYSE:TJX), an off-price retailer, continues to do well. Its value-based retail stores are resonating with consumers given the backdrop of higher inflation, which led to strong revenue and profit growth in the most recent quarter.”