5 Best Clothing Stocks To Buy Now

3. The TJX Companies, Inc. (NYSE:TJX)

Number of Hedge Fund Holders: 49

The TJX Companies, Inc. (NYSE:TJX) is a Framingham, Massachusetts-based apparel off-price retailer with a network of over 4,700 stores and five e-commerce platforms.

The TJX Companies, Inc. (NYSE:TJX) is in the business of buying inventory at extremely low cost and selling it at deep discounts to customers. The company constantly changes its merchandise and provides a treasure hunt experience at its stores and on the e-commerce platform. This help keeps the customers engaged and encourages them to come back for the new variety. The TJX Companies, Inc. (NYSE:TJX) has nearly 1,200 associates in its buying department and roughly 21,000 vendors.

In an investor note issued on August 18, John Kernan at Cowen increased the price target on The TJX Companies, Inc. (NYSE:TJX) from $72 to $77 and maintained an Outperform rating. The analyst noted that the stance of the company’s management was bullish related to the buying environment and thought that the outlook provided by The TJX Companies, Inc. (NYSE:TJX) could be modest coming into the holiday season.

Here’s what ClearBridge Investments said about The TJX Companies, Inc. (NYSE:TJX) in its Q4 2021 investor letter:

“The pandemic created opportunities for us to be more aggressive in a variety of areas of the market. We were opportunistic throughout the year, for example, in positioning the portfolio to benefit from a flush consumer eager to return to spending and traveling. New positions included TJX, an off-brand retailer with a large presence in the U.S. and Europe that should continue to benefit from the contraction of many traditional retailers, particularly as consumer spending resumes.”