The 10-second takeaway
For the quarter ended March 31 (Q1), Tractor Supply beat slightly on revenues and met expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded significantly and GAAP earnings per share increased significantly.
Gross margins shrank, operating margins improved, and net margins increased.
Tractor Supply logged revenue of $1.02 billion. The one analyst polled by S&P Capital IQ foresaw a top line of $1.00 billion on the same basis. GAAP reported sales were 22% higher than the prior-year quarter's $836.6 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.55. The 18 earnings estimates compiled by S&P Capital IQ forecast $0.55 per share. GAAP EPS of $0.55 for Q1 were 129% higher than the prior-year quarter's $0.24 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 32.6%, 10 basis points worse than the prior-year quarter. Operating margin was 6.3%, 290 basis points better than the prior-year quarter. Net margin was 4.0%, 180 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $1.30 billion. On the bottom line, the average EPS estimate is $1.37.
Next year's average estimate for revenue is $4.70 billion. The average EPS estimate is $3.64.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 344 members out of 378 rating the stock outperform, and 34 members rating it underperform. Among 124 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 119 give Tractor Supply a green thumbs-up, and five give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Tractor Supply is outperform, with an average price target of $90.85.
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