Tractor Supply Shares Popped: What You Need to Know

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of farm equipment supplier Tractor Supply Co. (Nasdaq: TSCO  ) climbed as much as 10% Thursday after its fourth-quarter sales topped Wall Street expectations.

So what: Tractor Supply's better-than-expected top line -- revenue for the fourth quarter jumped 20% to $1.24 billion, versus the consensus of $1.2 billion -- prompted management to raise its full-year earnings outlook, as well. The stock is even flirting with its 52-week high on the news, suggesting that Mr. Market fully expects the sales momentum to continue.

Now what: Looking ahead, management sees full-year 2011 EPS of $2.97-$2.99, up nicely from its prior guidance of $2.85-$2.89. "We are very pleased that we have maintained the momentum in our business and are confident in our ability to deliver continued profitable growth," said Chairman and CEO Jim Wright. Of course, with Tractor Supply shares up a whopping 70% over the past year and sporting a forward P/E of 23, the stock might already have plenty of that optimism baked into it.  

Interested in more info on Tractor Supply? Add it to your watchlist.

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Try any of our Foolish newsletter services free for 30 days.

We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool's disclosure policy always gets a perfect score.


Read/Post Comments (0) | Recommend This Article (0)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 1757105, ~/Articles/ArticleHandler.aspx, 11/24/2014 3:37:36 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...


Advertisement