Fintel reports that on July 25, 2023, B of A Securities downgraded their outlook for Tractor Supply (NASDAQ:TSCO) from Buy to Neutral.

Analyst Price Forecast Suggests 21.97% Upside

As of July 6, 2023, the average one-year price target for Tractor Supply is 259.45. The forecasts range from a low of 226.24 to a high of $294.00. The average price target represents an increase of 21.97% from its latest reported closing price of 212.72.

See our leaderboard of companies with the largest price target upside.

The projected annual revenue for Tractor Supply is 15,389MM, an increase of 6.28%. The projected annual non-GAAP EPS is 10.69.

Tractor Supply Declares $1.03 Dividend

On May 11, 2023 the company declared a regular quarterly dividend of $1.03 per share ($4.12 annualized). Shareholders of record as of May 30, 2023 received the payment on June 13, 2023. Previously, the company paid $1.03 per share.

At the current share price of $212.72 / share, the stock’s dividend yield is 1.94%.

Looking back five years and taking a sample every week, the average dividend yield has been 1.39%, the lowest has been 0.87%, and the highest has been 2.08%. The standard deviation of yields is 0.31 (n=235).

The current dividend yield is 1.76 standard deviations above the historical average.

Additionally, the company’s dividend payout ratio is 0.42. The payout ratio tells us how much of a company’s income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company’s income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend – not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.

The company’s 3-Year dividend growth rate is 1.94%, demonstrating that it has increased its dividend over time.

What is the Fund Sentiment?

There are 1867 funds or institutions reporting positions in Tractor Supply. This is an increase of 30 owner(s) or 1.63% in the last quarter. Average portfolio weight of all funds dedicated to TSCO is 0.32%, a decrease of 6.73%. Total shares owned by institutions increased in the last three months by 1.23% to 106,850K shares. The put/call ratio of TSCO is 1.60, indicating a bearish outlook.

What are Other Shareholders Doing?

VTSMX – Vanguard Total Stock Market Index Fund Investor Shares holds 3,405K shares representing 3.11% ownership of the company. In it’s prior filing, the firm reported owning 3,356K shares, representing an increase of 1.46%. The firm decreased its portfolio allocation in TSCO by 2.10% over the last quarter.

Alliancebernstein holds 3,051K shares representing 2.79% ownership of the company. In it’s prior filing, the firm reported owning 2,159K shares, representing an increase of 29.25%. The firm increased its portfolio allocation in TSCO by 18.98% over the last quarter.

Jpmorgan Chase holds 2,821K shares representing 2.57% ownership of the company. In it’s prior filing, the firm reported owning 2,740K shares, representing an increase of 2.88%. The firm decreased its portfolio allocation in TSCO by 87.52% over the last quarter.

VFINX – Vanguard 500 Index Fund Investor Shares holds 2,577K shares representing 2.35% ownership of the company. In it’s prior filing, the firm reported owning 2,554K shares, representing an increase of 0.92%. The firm decreased its portfolio allocation in TSCO by 2.21% over the last quarter.

VIMSX – Vanguard Mid-Cap Index Fund Investor Shares holds 2,571K shares representing 2.35% ownership of the company. In it’s prior filing, the firm reported owning 2,572K shares, representing a decrease of 0.04%. The firm increased its portfolio allocation in TSCO by 1.09% over the last quarter.

Tractor Supply Background Information
(This description is provided by the company.)

Tractor Supply Company, the largest rural lifestyle retailer in the United States, has been passionate about serving its unique niche, as a one-stop shop for recreational farmers, ranchers and all those who enjoy living the rural lifestyle, for more than 80 years. Tractor Supply offers an extensive mix of products necessary to care for home, land, pets and animals with a focus on product localization, exclusive brands and legendary customer service that addresses the needs of the Out Here lifestyle. With more than 40,000 Team Members, the Company leverages its physical store assets with digital capabilities to offer customers the convenience of purchasing products they need anytime, anywhere and any way they choose at the everyday low prices they deserve. At September 26, 2020, the Company operated 1,904 Tractor Supply stores in 49 states.

This article originally appeared on Fintel

Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.