Tractor Supply Company (TSCO)

Tractor Supply Co. stock has declined by 17.8% in the past six months, underperforming the broader Zacks Retail – Wholesale sector and the S&P 500 due to macroeconomic conditions and company-specific headwinds. A significant stock event was a 1-for-5 stock split on December 20, 2024, aimed to make shares more affordable after a period of significant stock value appreciation.

Demand for Tractor Supply Co.'s products and services exhibits seasonality, with spring and summer being critical periods for sales of outdoor equipment. Weather patterns can significantly impact demand for seasonal products. The company's product assortment is very seasonally driven, with planning for seasonal sets occurring nine to ten months in advance. Tractor Supply also sees record demand for chicks, influenced by higher-than-usual egg prices. The company focuses on providing needs-based, demand-driven product categories, including consumable, usable, and edible (C.U.E.) products.

Tractor Supply Company is the largest rural lifestyle retailer in the United States, founded in 1938 and publicly traded on the Nasdaq under the symbol TSCO. It serves recreational farmers, ranchers, homeowners, gardeners, pet enthusiasts, tradesmen, and small businesses, offering a wide array of products including livestock and pet supplies, hardware, tools, seasonal items, and clothing. Key product categories by sales in fiscal 2021 included livestock and pet (47%), hardware, tools, and truck (21%), and seasonal gift and toy (21%). The company also offers in-store services such as pet grooming, assembly, rental services, and propane tank refilling.

As of December 28, 2024, Tractor Supply Co. operated 2,502 retail stores across 49 U.S. states, including 2,296 Tractor Supply stores and 206 Petsense stores. The stores are primarily located in rural communities and towns outlying major metropolitan markets. The company also operates e-commerce websites, TractorSupply.com and Petsense.com, and offers an expanded assortment of products through the Tractor Supply mobile application.

Tractor Supply Co. has maintained a positive brand reputation, particularly in its commitment to its employees and community involvement. The company was named a Computerworld 2025 Best Place to Work in IT and has been recognized for its community focus, partnering with organizations like 4-H and FFA. The company's "Neighbor's Club" loyalty program, with over 38 million members, accounts for approximately 80% of its sales.

Tractor Supply Co. stock ownership is a mix of institutional, retail, and individual investors. Institutional investors hold approximately 96.80% of the company's stock, insiders hold about 1.38%, and retail investors hold approximately 1.82%. The largest individual shareholder is Vanguard Group Inc., owning 66.63 million shares representing 12.57% of the company.