Tractor Supply Stock Fair Value – Tractor Supply Receives Moderate Buy Rating from Brokerages
January 7, 2024
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Tractor Supply ($NASDAQ:TSCO) Company is a publicly traded retail chain of stores that specializes in selling products for home improvement, agriculture, lawn and garden maintenance, and livestock, equine and pet care. Recently, the company’s stock has received a consensus rating of “Moderate Buy” from brokerages. The recommendation is based on the stock’s potential for capital appreciation in the medium to long term due to its strong fundamentals and growth prospects. The company’s sales have increased steadily over the last few years, and it has opened a number of new stores which has helped extend its reach to more customers.
In addition, its strong balance sheet and solid cash flow generation have enabled it to pay dividends and repurchase shares, making it a highly attractive investment option. Furthermore, Tractor Supply has actively sought to expand its product selection, making use of digital platforms to increase its online presence. This has enabled the company to remain competitive in the market and capture a larger share of the available market. Overall, brokerages have assigned a consensus rating of “Moderate Buy” to Tractor Supply due to its strong fundamentals and growth prospects. Investors looking for capital appreciation in the medium to long term should consider investing in the company’s stock.
Stock Price
On Tuesday, TRACTOR SUPPLY Co. received a moderate buy rating from several brokerages. The stock opened at $213.3 and closed at $216.6, representing an increase of 0.7% from the previous closing price of 215.0. This is the first time TRACTOR SUPPLY has been given a buy rating by brokerages, which may signal a positive outlook for the company. The moderate buy rating is a sign that investors and traders are confident in the stock’s performance in the short to medium term. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Tractor Supply. More…
| Total Revenues | Net Income | Net Margin |
| 14.9k | 1.13k | 7.6% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Tractor Supply. More…
| Operations | Investing | Financing |
| 1.67k | -1.1k | -360.77 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Tractor Supply. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 9.21k | 7.09k | 19.4 |
Key Ratios Snapshot
Some of the financial key ratios for Tractor Supply are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 14.5% | 14.5% | 10.1% |
| FCF Margin | ROE | ROA |
| 5.5% | 44.8% | 10.2% |
Analysis – Tractor Supply Stock Fair Value
At GoodWhale, we have conducted a thorough analysis of TRACTOR SUPPLY‘s financials. Our proprietary Valuation Line indicates that the intrinsic value of TRACTOR SUPPLY share is around $235.4. Currently, the stock is trading at a price of $216.6, which is fair but undervalued by 8.0%. This makes it an attractive investment option for those who are looking to invest in the company. More…
Peers
Tractor Supply Co. is an American retail chain of stores that offers products for home improvement, agriculture, lawn and garden maintenance, and livestock, equine, and pet care. It is one of the largest retailers in the United States. The company competes with Murphy USA Inc, Michael Anthony Jewelers, Casey’s General Stores Inc.
– Murphy USA Inc ($NYSE:MUSA)
Murphy USA Inc is a publicly traded company that operates in the petroleum retail industry. The company has a market capitalization of $7.2 billion as of 2022 and a return on equity of 78.1%. Murphy USA Inc is headquartered in El Dorado, Arkansas, and was founded in 1996. The company operates over 1,400 retail locations in the United States, selling gasoline, diesel fuel, and convenience store products.
– Michael Anthony Jewelers ($OTCPK:MAJJ)
Casey’s General Stores Inc is a publicly traded company that operates convenience stores in the Midwestern United States. As of 2022, the company had a market capitalization of 8.59 billion dollars and a return on equity of 14.75%. Casey’s General Stores Inc is headquartered in Ankeny, Iowa.
Summary
Recently, several brokerages have weighed in on the stock and given it a consensus rating of “Moderate Buy”. Analysts have cited the company’s strong brand name, well-managed balance sheet, and stable growth prospects as the reasons for the optimistic outlook. The company’s third-quarter performance was also impressive with earnings and revenue coming in better than expected.
Going forward, investors can expect more of a focus on cost control, higher e-commerce sales, and further expansion of its store network. With its strong fundamentals and favorable rating from brokerages, Tractor Supply looks set to benefit from any uptick in the economy.
