Tractor Supply Shares Drop 6% in 2025, Yet Remain a Top Pick for 2026
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 2h ago
0mins
Source: NASDAQ.COM
- Stock Volatility: Despite a 6% drop in Tractor Supply's stock price in 2025, the improving business fundamentals indicate the company's potential in the market, especially when compared to the S&P 500, suggesting it is undervalued.
- Dividend Growth: With an annualized dividend of $0.92 per share and a yield of 1.8%, Tractor Supply's 44% payout ratio indicates the company's ability to sustain dividend growth, even though recent increases have slowed.
- Sales Growth: In Q3 2023, net sales grew by 7.2% year-over-year, and comparable-store sales rose by 3.9%, showcasing the company's recovery post-COVID-19 and contrasting sharply with the 0.2% decline from the previous year.
- Long-Term Targets: Management forecasts annualized sales growth of 6% to 8% from 2025 to 2030, with expected earnings per share compounding at 8% to 11%, reflecting strong confidence in future growth prospects.
Analyst Views on TSCO
Wall Street analysts forecast TSCO stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for TSCO is 64.76 USD with a low forecast of 52.00 USD and a high forecast of 70.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
20 Analyst Rating
14 Buy
6 Hold
0 Sell
Moderate Buy
Current: 50.360
Low
52.00
Averages
64.76
High
70.00
Current: 50.360
Low
52.00
Averages
64.76
High
70.00
About TSCO
Tractor Supply Company is a rural lifestyle retailer in the United States. The Company is focused on supplying the needs of recreational farmers and ranchers. It operates retail stores under the names Tractor Supply Company and Petsense by Tractor Supply. Its stores are located in towns outlying various metropolitan markets and in rural communities. It also offers an expanded assortment of products through the Tractor Supply mobile application and online at TractorSupply.com and Petsense.com. The Company's selection of merchandise consists of various product categories, including livestock, equine and agriculture; companion animal; seasonal and recreation; truck, tool, and hardware, and clothing, gift, and decor. Its brands consist of 4health, American Farmworks, Bit & Bridle, Blue Mountain, C.E. Schmidt, Country Lane, Countyline, Country Tuff, Dumor, Farm Table, Groundwork, Huskee, and JobSmart.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
