TJX Cos Inc. is likely to see a strong growth in annual sales as inflation pushes bargain-hungry but brand-conscious customers to off-price retailers offering cheaper deals and promotions.
The expected surge in demand for companies such as TJX, Ross Stores, and Burlington Stores Inc follows a dull 2022 in which pandemic-weary consumers refreshed their wardrobes by splurging in U.S. department stores and retailers.
But their spending spree took a blow from soaring prices, forcing a large section of customers to curb their purchase of discretionary items such as high-end apparel.
“Off-prices are a great place to get branded merchandise at much cheaper prices than you would get at the department store or other full price retailers,” Edward Jones analyst Brian Yarbrough said….