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(This is The Best Stocks in the Market , brought to you by Josh Brown and Sean Russo of Ritholtz Wealth Management.) Josh — We have a lot of consumer discretionary stocks on our Best Stocks in the Market list these days — from eBay and Flutter Entertainment to Carvana and Royal Caribbean . But we don’t have a lot of retailers. Today, we’re taking a look at one of the best technical set-ups on the list and a company that has fundamentally outperformed its competitors across every important metric. TJX owns and operates the T.J. Maxx brand as well as HomeGoods, Marshalls and the fast-growing outdoor and recreation retailer Sierra. CEO Ernie Herrman has been with the company since 1989 and has been running it as the chief exec since 2016. He’s become known as the master of the “treasure hunt” retail model with which he surprises and delights shoppers with unexpected finds each time they visit the store. The results of all this treasure hunting speak for themselves, as you’ll see in Sean’s write-up and chart below. TJX is trending higher as Herrman reminds investors that trade disruptions and tariffs are not setbacks, they’re opportunities to outcompete the field. Best Stock Spotlight: TJX Companies Inc (TJX) On the list since: 8/04/2025. Sean — There are signs that consumers are beginning to look for value in their shopping habits. This was a Wall Street Journal headline from last Sunday: “American Consumers Are Getting Thrifty Again.” If consumers are looking for value, they can find it at TJX. The average discount range at TJX or Marshalls (owned by TJX) is 20% to 60% off comparable items at full-price department or specialty stores. TJX delivers value through its off-price retail model, which allows it to offer significant discounts compared to traditional retailers. The company purchases surplus inventory, overstock, canceled orders, and end-of-season merchandise directly from brand manufacturers and department stores. By avoiding the costs associated with in-house design, seasonal planning, and large-scale marketing, TJX is able to pass the savings on to consumers. And in an environment where people still want a new outfit for vacation, or for the new school year, consumers are happy to purchase these goods at a discount. This was Dollar General’s CEO in June: “We saw the highest percent of trade-in customers we’ve had in the last four years,” related to middle and high-income shoppers looking for more value in the goods they purchase. TJX is trending beautifully. Below is a visual of TJX over the past 3 years, using weekly data. Buyers have been rewarded when accumulating the stock at or near its 50 week moving average. The 200 week moving average is in a distinct pattern as well, up and to the right: From 2019 through today, TJX has grown net income by an 8% compounded annual growth rate. That’s inclusive of a pandemic, spending boom (and spending slowdown), supply chain issues, and now the beginnings (or endings) of a trade war. TJX is gearing up to report earnings later this month, but during their last earnings call they laid out some tariff mitigation strategies. This was the CEO in May: “We are convinced that we will have an opportunity to gain market share if more consumers seek out value in the current environment. We are confident that our commitment to our shoppers, great value on every item every day will continue to resonate with consumers and drive more shoppers to our stores. Next, our team of over 1,300 buyers source goods from an ever-changing universe of over 21,000 vendors from more than 100 countries around the world. We have a global buying infrastructure and supply chain that has been in place for multiple decades.” Later in the call, they maintained full-year guidance for comparable sales, profit margins, and EPS for 2025. Simply put, the company is well-run and well-positioned for this current environment. Risk management Josh — This is as clean an uptrend as you’re going to find. Short-term traders can use the simple 200-day moving average, but I would wait for a weekly closing price below before abandoning the name. That’s looking at the $120-$122 area. A decisive break above the March highs around $136 takes us into a brand new area, you’ll want to roll-up your stops, stay long and let the treasure hunt continue with the house’s money. DISCLOSURES: (None) All opinions expressed by the CNBC Pro contributors are solely their opinions and do not reflect the opinions of CNBC, NBC UNIVERSAL, their parent company or affiliates, and may have been previously disseminated by them on television, radio, internet or another medium. THE ABOVE CONTENT IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY . THIS CONTENT IS PROVIDED FOR INFORMATIONAL PURPOSES ONLY AND DOES NOT CONSITUTE FINANCIAL, INVESTMENT, TAX OR LEGAL ADVICE OR A RECOMMENDATION TO BUY ANY SECURITY OR OTHER FINANCIAL ASSET. THE CONTENT IS GENERAL IN NATURE AND DOES NOT REFLECT ANY INDIVIDUAL’S UNIQUE PERSONAL CIRCUMSTANCES. THE ABOVE CONTENT MIGHT NOT BE SUITABLE FOR YOUR PARTICULAR CIRCUMSTANCES. BEFORE MAKING ANY FINANCIAL DECISIONS, YOU SHOULD STRONGLY CONSIDER SEEKING ADVICE FROM YOUR OWN FINANCIAL OR INVESTMENT ADVISOR. INVESTING INVOLVES RISK. EXAMPLES OF ANALYSIS CONTAINED IN THIS ARTICLE ARE ONLY EXAMPLES. THE VIEWS AND OPINIONS EXPRESSED ARE THOSE OF THE CONTRIBUTORS AND DO NOT NECESSARILY REFLECT THE OFFICIAL POLICY OR POSITION OF RITHOLTZ WEALTH MANAGEMENT, LLC. JOSH BROWN IS THE CEO OF RITHOLTZ WEALTH MANAGEMENT AND MAY MAINTAIN A SECURITY POSITION IN THE SECURITIES DISCUSSED. ASSUMPTIONS MADE WITHIN THE ANALYSIS ARE NOT REFLECTIVE OF THE POSITION OF RITHOLTZ WEALTH MANAGEMENT, LLC” TO THE END OF OR OUR DISCLOSURE. Click here for the full disclaimer.
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