For 21 consecutive years, TJX Companies Inc. (TJX) has been providing a steady dividend income growth for its investors. Beyond this income, the current outlook of TJX shows the potential for price appreciation that is not yet reflected in its price. Although last year's performance did not meet investors' expectations, the stock still offers an opportunity to combine a stable dividend income with a high expected return based on many valuation metrics.
Source: TJX
Expansion and Inventory Are Key Drivers
TJX is considered the only international off-price apparel and home fashions retailer, and is aiming to increase its market share by focusing on store expansion, e-commerce developments, and wide merchandise variety. In recent years, its segments had a strong presence in the off-price market by developing loyalty programs with e-commerce and a remarkable expansion plan.
