As the earnings season progresses, a select cohort of S&P 500 companies is poised to report robust quarterly results, fueled by notable earnings momentum. Among these, off-price retail giants Ross Stores and TJX Companies are particularly in focus as they prepare to release their latest figures this week.
Despite a relatively sparse reporting schedule, with only 14 S&P 500 firms slated to announce earnings, the coming week holds significant importance. While the retail sector is making a strong showing, all eyes are undoubtedly on artificial intelligence frontrunner Nvidia, anticipated to dominate the week's headlines.
CNBC Pro conducted a comprehensive screen of FactSet data to pinpoint S&P 500 companies reporting this week that have recently experienced accelerated earnings momentum. The stringent criteria for inclusion demanded that stocks have seen their earnings estimates revised upwards by at least 10% over both the preceding three and six months, and also boast an average analyst price target implying a minimum of 10% upside.
Off-price retailers TJX Companies and Ross Stores perfectly encapsulate this trend of improved earnings estimates. TJX Companies is scheduled to unveil its quarterly results on Wednesday, with Ross Stores following on Thursday. Year-to-date, TJX Companies shares have experienced a 4% decline (as of 2026), a stark contrast to Ross Stores' impressive 18% surge.
Ahead of these anticipated earnings reports, Deutsche Bank recently reaffirmed its 'buy' rating for both retailers. Analyst Krisztina Katai lauded Ross Stores, noting that its "same-store sales momentum continues to defy expectations, with strong post-holiday trends seemingly continuing through April despite noise from the Easter shift." Katai attributed this sustained growth to positive consumer feedback on Ross Stores' merchandising and advertising enhancements. Her price target of $253 for the stock suggests an upside potential of approximately 19%.
For TJX, Katai commented on its favorable setup heading into earnings, particularly in light of its recent underperformance compared to its peers (TJX -2.2% YTD versus Ross Stores +20.8% and Burlington flat). She underscored TJX's "resilient 'treasure hunt' business model" coupled with a "more aggressive marketing cadence this year" as key strengths positioned to sustain market share gains across diverse income demographics. Katai further suggested that a 'status-quo' update from management could trigger a relief rally across the entire sector. Her $182 price target for TJX implies shares could ascend by 23% from current levels.
Other companies also featuring on this exclusive list of stocks with compelling earnings momentum include Keysight Technologies and Nordson Corporation.
