TJX dividend: payment, coverage and yield
TJX's base dividend starts at $1.92 per share, the stated FY27 amount. FY26 free cash flow was $4,917 million, while dividends took $1,842 million and buybacks took $2,522 million.
How much does TJX pay per share?
The base dividend starts at $1.92 per share, the stated FY27 amount, then grows 10% annually to $2.32. The bear freezes it at $1.92 after the first year, while the bull applies 13% annual growth and reaches $2.45. The base is below the recent dividend trend because capital spending and temporary benefits create less room for distribution. FY26 free cash flow of $4,917 million nevertheless supports continued increases.
| October 2027 | October 2028 | October 2029 | |
|---|---|---|---|
| Earnings | 5,851 (5,702 / 5,899) | 6,413 (5,798 / 6,542) | 6,903 (5,899 / 7,247) |
| Shares (millions) | 1,086 (1,086 / 1,086) | 1,073 (1,076 / 1,072) | 1,060 (1,068 / 1,059) |
| Dividends per share | 1.92 (1.92 / 1.92) | 2.11 (1.92 / 2.17) | 2.32 (1.92 / 2.45) |
| Price to earnings | 26.00 (24.00 / 27.00) | 25.50 (22.50 / 27.50) | 25.00 (21.00 / 28.00) |
Is TJX's dividend covered by its cash?
TJX used its cash in three broad ways: reinvestment, debt repayment and shareholder distributions. Across the five years ending January 2026, it generated $18,089 million of free cash flow and paid $19,515 million through dividends and buybacks. Payouts exceeded free cash flow in the earlier years, but coverage improved as operations recovered from pandemic disruption.
In FY2026, dividends took $1,842 million and buybacks took $2,522 million. TJX also received $311 million from issuing shares, principally through employee arrangements. Buybacks reduced outstanding shares from approximately 1,181 million to 1,107 million, though their value still depends on the price paid.
Free cash flow means cash from operations after capital spending. Operating cash reached $6,874 million in FY26. Capital spending was $1,957 million, leaving $4,917 million of analytical free cash flow. That was about 90% of net income, which supports the quality of the reported profit.
| Jan 2026 | Feb 2025 | Feb 2024 | Jan 2023 | Jan 2022 | |
|---|---|---|---|---|---|
| Free cash flow | 4,917 | 4,198 | 4,335 | 2,627 | 2,012 |
| − Dividends paid | 1,842 | 1,648 | 1,484 | 1,339 | 1,252 |
| − Share buybacks | 2,522 | 2,513 | 2,484 | 2,255 | 2,176 |
| = Free cash flow not paid out | 553 | 37 | 367 | ||
| Paid to shareholders | 4,364 | 4,161 | 3,968 | 3,594 | 3,428 |
What this means. In January 2023 and January 2022, the company paid shareholders more cash than it generated, making up the difference from its savings and other cash sources.
What could change TJX's dividend?
The view would move toward the bear case if FY27–FY28 Marmaxx transactions remain weak and comps fall below the 3%–4% plan. Higher buying costs, markdowns, or freight pressure in FY28–FY29 would reinforce that shift. By October 2029, slower earnings growth could drive the P/E toward 21x and restrict buybacks.
What is TJX's dividend yield today?
| Today (Oct 13, 2026) | |
|---|---|
| Share price | 141.14 |
| Market value (calculated) | 155,250.34 |
| P/E, last 12 months (calculated) | 26.09x |
| Dividend yield (calculated) | 1.4% |
What this means. The next 12 months price-to-earnings number uses analysts' expected profit, so it is an estimate rather than a fact about the company's earnings.