M vs TJX vs ROST vs KSS

For growth investors, Ross Stores, Inc.

(ROST) is the stronger pick with 7. 7% revenue growth year-over-year, versus -4. 3% for Kohl's Corporation (KSS). Kohl's Corporation (KSS) offers the better valuation at 6. 1x trailing P/E (10. 3x forward), making it the more compelling value choice. Analysts rate The TJX Companies, Inc. (TJX) a "Buy" — based on 53 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Kohl's Corporation (KSS) is the cheapest at 6.

1x versus Ross Stores, Inc. at 34. 0x. On forward P/E, Macy's, Inc. is actually cheaper at 8. 8x — notably different from the trailing picture, reflecting expected earnings growth. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: The TJX Companies, Inc. wins at 0. 25x versus Ross Stores, Inc. 's 0. 37x — a PEG below 1. 0 traditionally signals the market is underpricing earnings growth.

Over the past 5 years, The TJX Companies, Inc.

(TJX) delivered a total return of +118. 5%, compared to -64. 8% for Kohl's Corporation (KSS). Over 10 years, the gap is even starker: TJX returned +322. 5% versus KSS's -25. 3%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), The TJX Companies, Inc.

(TJX) is the lower-risk stock at 0. 39β versus Kohl's Corporation's 2. 32β — meaning KSS is approximately 488% more volatile than TJX relative to the S&P 500. On balance sheet safety, Kohl's Corporation (KSS) carries a lower debt/equity ratio of 61% versus 2% for The TJX Companies, Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Ross Stores, Inc.

(ROST) is pulling ahead at 7. 7% versus -4. 3% for Kohl's Corporation (KSS). On earnings-per-share growth, the picture is similar: Kohl's Corporation grew EPS 144. 3% year-over-year, compared to 4. 6% for Ross Stores, Inc.. Over a 3-year CAGR, ROST leads at 6. 8% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Ross Stores, Inc.

(ROST) is the more profitable company, earning 9. 4% net margin versus 1. 8% for Kohl's Corporation — meaning it keeps 9. 4% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: ROST leads at 11. 9% versus 3. 3% for KSS. At the gross margin level — before operating expenses — M leads at 36. 5%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, The TJX Companies, Inc. (TJX) is the more undervalued stock at a PEG of 0. 25x versus Ross Stores, Inc. 's 0. 37x. A PEG below 1. 0 is traditionally considered the threshold for growth-adjusted undervaluation. On forward earnings alone, Macy's, Inc. (M) trades at 8. 8x forward P/E versus 34. 4x for Ross Stores, Inc. — 25. 6x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for KSS: 25. 4% to $18. 00.

All stocks in this comparison pay dividends.

Macy's, Inc. (M) offers the highest yield at 3. 7%, versus 0. 7% for Ross Stores, Inc. (ROST).

For long-horizon retirement investors, The TJX Companies, Inc.

(TJX) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 39), 1. 1% yield, +322. 5% 10Y return). Kohl's Corporation (KSS) carries a higher beta of 2. 32 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (TJX: +322. 5%, KSS: -25. 3%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Consumer Cyclical sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

In terms of investment character: M is a small-cap deep-value stock; TJX is a mid-cap quality compounder stock; ROST is a mid-cap quality compounder stock; KSS is a small-cap deep-value stock. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.