Buy these two niche retailers for future gains

Article Excerpt

Many traditional bricks-and-mortar retailers continue to struggle against the pandemic-spurred onslaught of online shopping and the impact of inflation on consumer spending. Still, we believe the unique markets of both TJX and North West offer you the possibility of strong gains ahead. THE TJX COMPANIES, $110.26, (New York symbol TJX; TSINetwork Rating: Above Average) (tjx.com; Shares o/s: 1.1 billion; Market cap: $124.6 billion; Yield: 1.4%), is a leading off-price retailer of clothing, accessories and home fashions. Off-price retailers purchase merchandise at below-wholesale prices and charge less than retail prices. Through their shares, investors tap a network of stores. In the U.S., TJX operates 1,322 T.J. Maxx locations, 1,201 Marshalls, 922 HomeGoods, 97 Sierra Trading Post outlets and 59 HomeSense locations. In Canada, it has 303 Winners outlets, 158 HomeSense locations and 106 Marshalls stores. TJX also operates in Europe, with 644 TK Maxx and 78 Homesense stores; and in Australia, with 82 TK Maxx outlets. Overall revenue in the quarter ended May 4, 2024, rose…