Retail giant TJX Cos. saw a welcome improvement to its Relative Strength (RS) Rating on Monday, rising from 68 to 75. Its stock hit a record high in August then consolidated. The highly rated stock is trading close to that high again. The question now is: Can it top its prior record to reach a fresh all-time high?
TJX Key Ratings Shine
On Aug. 20 it shot to a record high 145.58. From there it briefly dropped into the 130s. Then it turned upward again in September. On Oct. 1 it approached a new high but shied away. It's risen the past two days in a row.
Decades of market research reveals that the stocks that go on to make the biggest gains often have an 80 or better RS Rating in the early stages of their moves. See if TJX can continue to climb and hit that benchmark.
Can You Really Time The Stock Market?
Among its other key ratings TJX has a strong 86 Earnings Per Share Rating. And it boasts a 90 Composite Rating. The Composite score combines five separate proprietary ratings into one. The best growth stocks have a Composite Rating of 90 or better.
Notably, TJX has a B+ Accumulation/Distribution Rating indicating that ETFs, mutual funds and other institutional investors are fairly avid buyers of its stock.
Currently Working On A Flat Base
TJX is working on a flat base with a 145.58 buy point. See if the stock can break out in heavy volume.
Top and bottom line growth moved higher last quarter. Earnings were up 15% to $1.10 per share, compared to -1% in the prior quarter's report. Revenue grew 7% to $14.4 billion, up from 5% growth the quarter before.
TJX holds the No. 2 rank among its peers in the Retail-Apparel/Shoes/Accessories industry group. Urban Outfitters is the No. 1-ranked stock within the group.
The unique IBD Relative Strength Rating tracks technical performance by using a 1 (worst) to 99 (best) score that indicates how a stock's price performance over the last 52 weeks compares to other publicly traded companies.
This article was created automatically with Stats Perform's Wordsmith software using data and article templates supplied by Investor's Business Daily. An IBD journalist may have edited the article.
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