1:27:07 PM PDT - Sunday, October 25th, 2020

Macy’s Or TJX: Which Retail Stock Is The Street’s Better Pick?  

By Editor - Sun Oct 18, 3:37 pm

US retail and food service sales increased 1.9% in September from August and grew 5.4% year-on-year, according to the US Department of Commerce data. The temporary store closures during the coronavirus pandemic-induced lockdowns caused unprecedented damage to retailers, which were partially offset by a surge in e-commerce sales.With the reopening of stores, several retailers are experiencing gradual improvement though business continues to be mostly below pre-pandemic levels. According to the US Department of Commerce, sales from clothing and clothing accessories stores increased 11% in September month-on-month but were down 12.5% year-on-year. Department store sales, which rose 9.7% in September month-on-month, were down 7.3% year-on-year.Amid a challenging business environment, we will use the TipRanks Stock Comparison tool to place TJX Companies and Macy’s alongside each other and see which stock offers a better investment opportunity.TJX Companies (TJX)After 24 consecutive years of comparable sales growth, leading off-price retailer TJX might report lower comps in the current fiscal year due to the impact of pandemic-led store closures. Prior to the pandemic, TJX grew consistently due to its off-price business model, which helped the retailer offer merchandise at 20% to 60% discount compared to regular prices at which comparable items are sold by other department stores and retailers.During the lockdown period earlier this year, TJX not only closed its stores but also its four e-commerce sites. The move came even as several retailers experienced a huge spike in their e-commerce sales

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Macy’s Or TJX: Which Retail Stock Is The Street’s Better Pick?

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