TJX raises dividend by 25%, to buy back up to $3B in shares

BY Grant Welker

Grant Welker
Grant Welker
TJX, whose headquarters here are in Framingham, has increased its dividend and said it will buy back up to $3 billion in stock.

TJX Cos., the owner of Marshalls, T.J.Maxx and HomeGoods, is raising its dividend to shareholders by 25 percent, it announced Wednesday.
The company, which has headquarters in Framingham and Marlborough, will also buy back $2.5 billion to $3 billion in shares in fiscal 2019.
"TJX continues to generate tremendous amounts of cash and excellent financial returns," President and CEO Ernie Herrman said in a statement. "Further, we are expecting a substantial cash benefit as a result of the recent changes in U.S. federal tax law, which is reflected in our plan to significantly increase our dividend and share buyback programs."
The announcement makes this the 22nd straight year of dividend increases for the company, TJX said. The next quarterly dividend will be 39 cents per share, to be paid on June 7.
TJX's stock price rose slightly on the news, closing Wednesday at $83.96.
The retailer said in February its fourth-quarter sales rose by 16 percent to $11 billion, while full-year sales rose by 8 percent to $35.9 billion.