FIVE vs TJX: How Five Below and TJX Companies Compare (2026)

Same yardstick, side by side (as of August 2026). Valuation lined up like this is most meaningful for two names in the same corner of the market, which these are. Figures are approximate; verify before investing.

Reading it: FIVE is the cheaper of the two on forward earnings, but cheaper is not the same as better. Pair the valuation with growth (how far the forward P/E sits below the trailing P/E) and risk (beta) before you decide.

The metrics above tell you which is the marginally better business. The bigger risk for most people is not picking the slightly worse stock, it is over-concentrating. FIVE and TJX share themes, so owning both, or adding either to what you already hold, can quietly push a large share of your portfolio into one bet.

This is the part a generic comparison page cannot answer, because it depends on what you own. Connect your brokerage and Walnut shows your real, combined FIVE and TJX exposure, flags overlap with your existing positions, and tells you if adding one would tip you past a concentration you are comfortable with, read-only by default, with your login staying at your broker. Walnut is not an investment adviser.

Five Below is a discount retailer focused on teens, tweens, and value-seeking parents. The differentiation is the original price-point promise: most products were historically priced at $5 or below, with an expanded $5 Beyond section reaching up to $25 for higher-ticket items (electronics, seasonal furniture, larger toys). The store mix spans candy, party supplies, beauty, tech accessories (phone cases, headphones, chargers), seasonal merchandise, toys, and apparel.

Full FIVE guide

TJX Companies operates the largest off-price retail business in the world. Brands include T.J. Maxx, Marshalls, HomeGoods, HomeSense, Sierra (off-price outdoor), and TK Maxx internationally. The model is opportunistic buying: TJX merchandise teams buy branded and designer apparel and home goods at deep discounts from manufacturers, brands, and other retailers (overstock, cancellations, end-of-season). These products are then sold at 20-60% below department store prices.

Full TJX guide

Both fit overlapping themes, but they are not interchangeable. The useful comparison is which set of drivers and risks you want exposure to.

• FIVE drivers: Store expansion runway; Five Beyond expansion.
• TJX drivers: Consumer trade-down driving traffic; International expansion.

A faster-growing, richer-valued name usually swings harder, so it suits a longer horizon and a higher tolerance for volatility; a steadier, more cash-generative business suits a more conservative or income-minded investor. The honest test is which set of risks you could hold through a drawdown: Margin pressure from sourcing costs (tariffs, freight) and from minimum wage increases in store labor markets. For TJX, if consumer pressure eases significantly, the off-price trade-down dynamic moderates.

Growth-minded investors who believe the theme has years to run tend to accept the richer multiple for more upside; value-minded investors lean toward the cheaper forward earnings and steadier profile. Pick FIVE if you believe its drivers more; TJX if you believe its. Many investors hold both, but since they share themes, that is a concentrated bet, not diversification. Decide deliberately and check overlap. For the full detail, see the FIVE and TJX guides.

FIVE. Five Below's valuation has compressed from peak levels as same-store sales growth has slowed and margins have come under pressure. The store-opening runway and unit economics remain attractive; the question is execution against the unit growth target.

TJX. TJX trades at a premium to traditional department stores and apparel retailers, reflecting the counter-cyclical model durability and consistent execution. The valuation is supported by sustained same-store sales growth even during periods of consumer pressure.

Headline figures (approximate, early 2026): FIVE shows revenue (ttm) ~$4.5 billion, operating margin ~8% (compressed from historical levels), net income (ttm) ~$300 million, eps (ttm) ~$5.50; TJX shows revenue (ttm) ~$58 billion, operating margin ~12%, net income (ttm) ~$5 billion, eps (ttm) ~$4.30.

FIVE and TJX are related but distinct: same themes, different businesses and risks. Neither wins in the abstract; the right pick is whichever thesis you actually believe, sized so you are not over-concentrated in one theme. Walnut can show your combined FIVE and TJX exposure against your real portfolio. It is not an investment adviser.