5 Best Counter Cyclical Stocks to Buy Now

4. The TJX Companies, Inc. (NYSE:TJX)

Number of Hedge Fund Holders: 49   

The TJX Companies, Inc. (NYSE:TJX) operates as an off-price apparel and home fashions retailer. It is one of the top counter cyclical stocks to invest in. On October 17, JPMorgan analyst Matthew Boss maintained an Overweight rating on The TJX Companies, Inc. (NYSE:TJX) stock with an $80 price target, noting that the company historically ranks within the top 10 percentile of consumer discretionary equity performance during an economic slowdown or contraction.   

At the end of the second quarter of 2022, 49 hedge funds in the database of Insider Monkey held stakes worth $1.55 billion in The TJX Companies, Inc. (NYSE:TJX), compared to 55 in the preceding quarter worth $1.9 billion. 

In its Q4 2021 investor letter, ClearBridge Investments, an asset management firm, highlighted a few stocks and The TJX Companies, Inc. (NYSE:TJX) was one of them. Here is what the fund said:

“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.”