Tractor Supply (NASDAQ:TSCO) Posts Earnings Results, Misses Expectations By $0.04 EPS

Tractor Supply (NASDAQ:TSCO) announced its quarterly earnings data on Tuesday. The specialty retailer reported $0.31 EPS for the quarter, missing analysts’ consensus estimates of $0.35 by ($0.04), FiscalAI reports. The business had revenue of $3.59 billion during the quarter, compared to the consensus estimate of $3.64 billion. Tractor Supply had a return on equity of 44.36% and a net margin of 7.06%.The business’s revenue for the quarter was up 3.6% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.34 EPS. Tractor Supply updated its FY 2026 guidance to 2.130-2.230 EPS.

Here are the key takeaways from Tractor Supply’s conference call:

• Q1 results — Net sales rose 3.6% to $3.59 billion, diluted EPS was $0.31, and the company opened a record 40 new stores with new-store productivity in the 65%–70% range, driven by both new openings and stable existing-customer demand.
• Companion animal weakness — Pet was a ~100 basis-point drag on comps due to declining large-dog ownership and under-indexing in cat and fresh/premium formats; Tractor Supply expects continued near-term pressure while accelerating assortment, fresh/frozen expansion (≈250 stores by May; path to 700 by year-end), and pet services/Rx to regain momentum.
• Digital and fulfillment momentum — Digital sales grew strong double-digits with subscription growth in the triple digits, and the Final Mile program (double-digit delivery volume growth, hub expansion) is scaling to improve customer convenience and lower cost-to-serve.
• Margin and expense dynamics — Gross margin held at 36.2% but remains pressured by tariffs, freight and mix (higher digital/delivery); SG&A rose 6.1% to $1.07 billion (29.7% of sales) with first-half deleverage expected and ~$10 million incremental DC expense in FY26.
• Strategic execution and guidance reaffirmed — Management reaffirmed full-year 2026 guidance, highlighted progress on localization (200+ stores localized), exclusive-brand expansion (Field & Stream on track >$100M), and confidence in sequential comp improvement into Q2 and beyond.

Tractor Supply Stock Performance

NASDAQ TSCO opened at $39.57 on Wednesday. The company has a current ratio of 1.34, a quick ratio of 0.16 and a debt-to-equity ratio of 0.70. The firm’s fifty day moving average price is $48.23 and its two-hundred day moving average price is $51.52. Tractor Supply has a 1 year low of $38.92 and a 1 year high of $63.99. The firm has a market capitalization of $20.81 billion, a P/E ratio of 19.12, a price-to-earnings-growth ratio of 2.39 and a beta of 0.75.

Tractor Supply Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Tuesday, March 10th. Shareholders of record on Tuesday, February 24th were given a dividend of $0.24 per share. This represents a $0.96 annualized dividend and a yield of 2.4%. This is an increase from Tractor Supply’s previous quarterly dividend of $0.23. The ex-dividend date of this dividend was Tuesday, February 24th. Tractor Supply’s payout ratio is currently 46.38%.

Analyst Ratings Changes

TSCO has been the topic of a number of research reports. Piper Sandler cut their price objective on shares of Tractor Supply from $67.00 to $59.00 and set an “overweight” rating on the stock in a research report on Friday, January 30th. UBS Group set a $55.00 price target on shares of Tractor Supply in a research report on Friday, January 30th. Weiss Ratings reaffirmed a “hold (c+)” rating on shares of Tractor Supply in a research report on Monday, December 29th. Stephens set a $53.00 price target on shares of Tractor Supply and gave the stock an “equal weight” rating in a research report on Thursday, January 22nd. Finally, Wolfe Research reaffirmed an “outperform” rating and set a $57.00 price target on shares of Tractor Supply in a research report on Friday, January 30th. Fourteen investment analysts have rated the stock with a Buy rating and eleven have assigned a Hold rating to the stock. According to MarketBeat, Tractor Supply has an average rating of “Moderate Buy” and an average target price of $56.43.

Key Tractor Supply News

Here are the key news stories impacting Tractor Supply this week:

• Positive Sentiment: Company reaffirmed full‑year fiscal 2026 guidance (EPS $2.13–2.23; revenue $16.1–16.5B), which reduces downside risk that a guide‑down would have created. Tractor Supply Company Reports First Quarter 2026 Financial Results; Reaffirms Fiscal Year 2026 Outlook
• Positive Sentiment: Gross margin held up (around mid‑30s), and digital/ subscription channels showed strong growth — signs the business has durable profit levers if traffic recovers. Tractor Supply Q1 analysis
• Positive Sentiment: Management is executing strategic initiatives (store expansion, Project Fusion, pet-category reset including expanded premium/frozen pet food rollout) that could drive recovery in under‑performing categories. Strategic initiatives and category fixes
• Neutral Sentiment: Comparable‑store sales were modestly positive (+0.5%) with higher ticket but fewer transactions — this mix is survivable but implies consumer trip consolidation that could limit near‑term volume recovery. Q1 comps and metrics
• Neutral Sentiment: Wall Street still has higher price targets (median around the mid‑$50s to high‑$50s), suggesting analysts see longer‑term upside even as near‑term results disappoint. Analyst targets and institutional activity
• Negative Sentiment: Q1 EPS missed estimates ($0.31 vs. consensus ~$0.35) and revenue missed (~$3.59B vs. ~$3.64B), the core reason the stock sold off as earnings power came in weaker than modeled. Earnings and revenue miss
• Negative Sentiment: Operating income and margins compressed (operating income down mid‑single digits) as SG&A rose faster than sales and delivery/tariff costs weighed — investors worry about near‑term profit deterioration. Margin pressure and cost headwinds
• Negative Sentiment: Market reacted sharply (heavy volume, price down to fresh lows) and the CEO signaled need for “decisive action,” indicating management sees material work to restore momentum — increases execution risk near term. CEO comments and market reaction

Insider Activity

In other Tractor Supply news, EVP Jonathan S. Estep sold 59,745 shares of the company’s stock in a transaction on Wednesday, February 11th. The shares were sold at an average price of $54.03, for a total value of $3,228,022.35. Following the transaction, the executive vice president directly owned 80,931 shares in the company, valued at $4,372,701.93. The trade was a 42.47% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, CFO Kurt D. Barton sold 1,884 shares of the company’s stock in a transaction on Tuesday, February 10th. The shares were sold at an average price of $53.81, for a total transaction of $101,378.04. Following the completion of the transaction, the chief financial officer owned 52,562 shares in the company, valued at approximately $2,828,361.22. This represents a 3.46% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders sold 222,348 shares of company stock valued at $11,959,621. 0.64% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Tractor Supply

Several institutional investors and hedge funds have recently modified their holdings of TSCO. Bison Wealth LLC increased its holdings in shares of Tractor Supply by 356.1% in the fourth quarter. Bison Wealth LLC now owns 6,426 shares of the specialty retailer’s stock valued at $341,000 after purchasing an additional 5,017 shares during the last quarter. Woodline Partners LP increased its holdings in shares of Tractor Supply by 40.7% in the first quarter. Woodline Partners LP now owns 45,132 shares of the specialty retailer’s stock valued at $2,487,000 after purchasing an additional 13,051 shares during the last quarter. Intech Investment Management LLC increased its holdings in shares of Tractor Supply by 26.9% in the first quarter. Intech Investment Management LLC now owns 26,162 shares of the specialty retailer’s stock valued at $1,442,000 after purchasing an additional 5,542 shares during the last quarter. Sei Investments Co. increased its holdings in shares of Tractor Supply by 1.2% in the second quarter. Sei Investments Co. now owns 316,009 shares of the specialty retailer’s stock valued at $16,676,000 after purchasing an additional 3,631 shares during the last quarter. Finally, Glenview Trust co increased its holdings in shares of Tractor Supply by 36.0% in the second quarter. Glenview Trust co now owns 19,627 shares of the specialty retailer’s stock valued at $1,036,000 after purchasing an additional 5,194 shares during the last quarter. 98.72% of the stock is currently owned by institutional investors and hedge funds.

Tractor Supply Company Profile

Tractor Supply Company (NASDAQ: TSCO) is a specialty retailer focused on products for the home, farm, ranch and outdoors. The company operates a network of physical retail locations complemented by an e-commerce platform, offering a one-stop source of supplies and equipment for customers with rural and suburban lifestyles. Its merchandise assortment targets a range of needs, from animal and livestock care to maintenance, outdoor power equipment, and seasonal products.

Product categories include animal feed and supplies, pet products, fencing and fencing supplies, equine equipment, lawn and garden tools, work clothing and footwear, and small agricultural and outdoor power equipment.