For most investors, how much a stock's price changes over time is important. Not only can it impact your investment portfolio, but it can also help you compare investment results across sectors and industries.

FOMO, or the fear of missing out, also plays a role in investing, particularly with tech giants and popular consumer-facing stocks.

What if you'd invested in Tractor Supply (TSCO) ten years ago? It may not have been easy to hold on to TSCO for all that time, but if you did, how much would your investment be worth today?

Tractor Supply's Business In-Depth

With that in mind, let's take a look at Tractor Supply's main business drivers.

Headquartered in Brentwood, TN, Tractor Supply Company is the largest retail farm and ranch store chain in the United States. The company focuses on recreational farmers and ranchers as well as tradesmen and small businesses. It offers a wide array of merchandise such as livestock, pet and animal products, maintenance products for agricultural and rural use, hardware and tools, lawn and garden power equipment, truck and towing products, and work apparel.

Stores of Tractor Supply are primarily located in rural areas and the suburbs of major cities, which have inside selling space of 15,000–20,000 square feet with a similar area of outside space, used to demonstrate agricultural fencing, livestock equipment and horse stalls. Petsense stores have roughly 5,500 square feet of inside selling space. For Tractor Supply retail locations, the company has a standard design for the new built-to-suit locations, including nearly 15,500 square  feet  of  inside  selling  space.

Tractor Supply’s broad assortment of products is tailored to meet the regional and geographic needs of its markets. Moreover, the retailer’s full line of product offerings is supported by a strong in-stock inventory position with an average of 16,000–19,500 unique products per store.
 
Apart from selling nationally recognized branded merchandise, the company also markets an increasing list of products under its “private-label programs.” The latter include Masterhand and Job Smart (tools and tool chests), Dumor and Producers Pride (livestock feed) and Retriever and Paws ‘n Claws (pet foods). Further, the company recently acquired 100% stake in Petsense, to fortify its presence in the pet specialty space.

Tractor Supply operates retail stores  under  the  names  Tractor Supply Company, Del’s Feed & Farm Supply, and Petsense as well as operate websites under the names TractorSupply.com and Petsense.com.  Its online selling websites are  expected  to  offer  expanded  assortment of products beyond in-store as well as boost store traffic through buy online, pickup in-store and ship to store programs.

As of Sep 28, 2024, the company operated 2,270 Tractor Supply stores in 49 states and 205 Petsense by Tractor Supply stores across 23 states.

Bottom Line

Anyone can invest, but building a successful investment portfolio takes a combination of a few things: research, patience, and a little bit of risk. So, if you had invested in Tractor Supply a decade ago, you're probably feeling pretty good about your investment today.

A $1000 investment made in January 2015 would be worth $3,634.20, or a 263.42% gain, as of January 27, 2025, according to our calculations. Investors should note that this return excludes dividends but includes price increases.

Compare this to the S&P 500's rally of 197.36% and gold's return of 105.51% over the same time frame.

Going forward, analysts are expecting more upside for TSCO.

Shares of Tractor Supply have outpaced the industry in the past year, courtesy of its sturdy demand and strong market share gains. In addition, the company's growth inititaives, and store openings bode well. The company is benefiting from its Life Out Here Strategy and the Neighbor’s Club membership program. Its ‘ONETractor’ strategy that is aimed at connecting store and online shopping also appears encouraging. Such strengths helped the company post earnings beat and higher sales year over year in the third quarter of 2024. For 2024, the company expects net sales of $14.85-$15 billion, with comps anticipated between flat and growth of 1%. However, sales missed the Zacks Consensus Estimate in the reported quarter. The company has been witnessing higher sellng, general and administrative expenses for a while now.

Shares have gained 6.20% over the past four weeks and there have been 5 higher earnings estimate revisions for fiscal 2024 compared to none lower. The consensus estimate has moved up as well.

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