- EPS Beats Estimates: Earnings per share for 2Q 2024 were $3.93, beating estimates of $3.92 and last year’s $3.83.
- Net Sales: Reported net sales were $4.25 billion, a 1.5% increase year-over-year, but slightly below the estimate of $4.28 billion.
- Comparable Sales: Comparable sales dropped by 0.5%, whereas last year saw a gain of 2.5%. The estimate was for a 0.83% increase.
- Gross Margin: Recorded gross margin stood at 36.6%, up from last year’s 36.2%, but just shy of the 36.7% estimate.
- Average Transaction Value: The average transaction value was $63.46, a small decrease of 0.2% year-over-year, and below the $64.13 estimated.
- Retail Space: Current retail space amounts to 38.38 million square feet, a 1.5% increase year-over-year, but less than the estimate of 38.81 million square feet.
- Tractor Supply Store Count: There are 2,254 Tractor Supply stores, marking a 3.3% year-over-year increase, exceeding the estimate of 2,241 stores.
- Petsense Store Count: Petsense store count stands at 205, a 6.8% increase year-over-year, above the estimate of 203.96 stores.
- Leadership Commentary: CEO Hal Lawton emphasized the importance of Team Members and customer relationships in outpacing competition and expressed confidence in the company’s second-half operational initiatives.
- Analyst Ratings: The stock has 16 buy, 13 hold, and 3 sell ratings.
Tractor Supply Company on Smartkarma
Analysts on Smartkarma, such as Baptista Research, have been closely covering Tractor Supply Company and providing valuable insights into the company’s performance. In a research report titled “Tractor Supply Company: Continued Strength in Big Ticket Trends & Other Pivotal Factors Driving Its Performance In 2024 & Beyond! – Major Drivers,” Baptista Research highlighted the company’s first-quarter results for 2024, which met expectations and showcased strong fiscal health. With net sales growth of 2.9% and an increase in diluted earnings per share of 10.9%, Tractor Supply Company demonstrated resilience in challenging market conditions, particularly excelling in market share growth in pet food and livestock categories.
Furthermore, Baptista Research‘s analysis in another report titled “Tractor Supply Company: Strategic Focus On Exclusive Brands Expansion & Other Key Drivers” delved into the strategic focus and milestones of the company in fiscal year 2023. Despite facing challenges such as unfavorable weather and economic pressures, Tractor Supply Company managed to navigate through the difficulties. The company’s robust business model, emphasizing needs-based offerings, has been a key factor in its ability to adapt to changing market dynamics and maintain a competitive edge since its establishment in 1938.
A look at Tractor Supply Company Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 3 | |
| Growth | 4 | |
| Resilience | 2 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.0 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Tractor Supply Company, a retail farm store chain in the US, has a mixed outlook based on the Smartkarma Smart Scores. While the company shows strong growth potential and momentum, scoring 4 on both factors, its value and resilience scores are moderate at 2. With a dividend score of 3, Tractor Supply Company seems to offer average returns to investors in this aspect. The company caters to a diverse customer base, including farmers, ranchers, rural customers, contractors, and tradesmen, offering a range of farm maintenance, animal, and general products.
Considering the Smartkarma Smart Scores for Tractor Supply Company, investors may find the company appealing for its growth prospects and positive market momentum. However, the lower scores in value and resilience indicate potential risks that investors should be aware of. Overall, Tractor Supply Company‘s performance outlook suggests a carefully balanced investment decision that considers both its strengths, such as growth and momentum, and areas for improvement, like value and resilience.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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