UPDATE: Bank of America Merrill Lynch Reiterates Buy Rating, Raises PT on TJX Companies
In a report published Wednesday, Bank of America Merrill Lynch reiterated its Buy rating on TJX Companies (NYSE: TJX), and raised its price target from $46.00 to $49.00.
BofA Merrill Lynch noted, “TJX reported 2Q EPS of $0.56, ahead of our $0.55 estimate on higher gross margins than we expected. The company stated that August is off to a strong start and expects comps to be up 5-6% for the month. Guidance for 3Q comps to be up 2-4% is in line with our 3.3% forecast, but we see potential for upside given TJX's strong momentum. Annual guidance was raised by a penny to $2.39-2.45 given the beat in 2Q. We are raising our F2013 (calendar 2012) EPS est. by a penny to $2.42 to reflect the 2Q beat. We are also increasing our Price Objective by $3 to $49 to reflect a higher target multiple given TJX's strong momentum. We maintain our Buy rating and expect continued comp and market share gains.”
TJX Companies closed on Tuesday at $45.03.
(c) 2013 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.