52.92 USD
+0.28 (+0.53%)
52.84 USD
-0.08 (-0.15%)
Taking everything into account, TSCO scores 6 out of 10 in our fundamental rating. TSCO was compared to 122 industry peers in the Specialty Retail industry. Both the health and profitability get an excellent rating, making TSCO a very profitable company, without any liquidiy or solvency issues. TSCO has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
TSCO had positive earnings in the past year.
In the past year TSCO had a positive cash flow from operations.
In the past 5 years TSCO has always been profitable.
Each year in the past 5 years TSCO had a positive operating cash flow.
1.2 Ratios
TSCO has a Return On Assets of 10.16%. This is amongst the best in the industry. TSCO outperforms 84.43% of its industry peers.
Looking at the Return On Equity, with a value of 42.95%, TSCO belongs to the top of the industry, outperforming 94.26% of the companies in the same industry.
TSCO has a better Return On Invested Capital (14.30%) than 83.61% of its industry peers.
TSCO had an Average Return On Invested Capital over the past 3 years of 16.60%. This is above the industry average of 11.69%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.16% | ||
| ROE | 42.95% | ||
| ROIC | 14.3% |
ROA(3y)12.04%
ROA(5y)11.91%
ROE(3y)51.11%
ROE(5y)48.41%
ROIC(3y)16.6%
ROIC(5y)16.64%
1.3 Margins
TSCO has a Profit Margin of 7.18%. This is amongst the best in the industry. TSCO outperforms 82.79% of its industry peers.
TSCO's Profit Margin has improved in the last couple of years.
TSCO has a better Operating Margin (9.66%) than 81.97% of its industry peers.
TSCO's Operating Margin has improved in the last couple of years.
TSCO has a Gross Margin (36.46%) which is in line with its industry peers.
In the last couple of years the Gross Margin of TSCO has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.66% | ||
| PM (TTM) | 7.18% | ||
| GM | 36.46% |
OM growth 3Y-1.33%
OM growth 5Y2.07%
PM growth 3Y-1.88%
PM growth 5Y1.9%
GM growth 3Y1.02%
GM growth 5Y1.07%
2. Health
2.1 Basic Checks
TSCO has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
TSCO has less shares outstanding than it did 1 year ago.
The number of shares outstanding for TSCO has been reduced compared to 5 years ago.
TSCO has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 4.93 indicates that TSCO is not in any danger for bankruptcy at the moment.
TSCO has a better Altman-Z score (4.93) than 88.52% of its industry peers.
The Debt to FCF ratio of TSCO is 1.87, which is an excellent value as it means it would take TSCO, only 1.87 years of fcf income to pay off all of its debts.
TSCO has a Debt to FCF ratio of 1.87. This is in the better half of the industry: TSCO outperforms 77.05% of its industry peers.
A Debt/Equity ratio of 0.69 indicates that TSCO is somewhat dependend on debt financing.
TSCO's Debt to Equity ratio of 0.69 is in line compared to the rest of the industry. TSCO outperforms 48.36% of its industry peers.
Although TSCO does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.69 | ||
| Debt/FCF | 1.87 | ||
| Altman-Z | 4.93 |
ROIC/WACC1.58
WACC9.05%
2.3 Liquidity
TSCO has a Current Ratio of 1.30. This is a normal value and indicates that TSCO is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of TSCO (1.30) is comparable to the rest of the industry.
A Quick Ratio of 0.14 indicates that TSCO may have some problems paying its short term obligations.
TSCO has a worse Quick ratio (0.14) than 93.44% of its industry peers.
The current and quick ratio evaluation for TSCO is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.3 | ||
| Quick Ratio | 0.14 |
3. Growth
3.1 Past
TSCO shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 1.17%.
The Earnings Per Share has been growing by 16.96% on average over the past years. This is quite good.
Looking at the last year, TSCO shows a small growth in Revenue. The Revenue has grown by 4.26% in the last year.
TSCO shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 12.25% yearly.
EPS 1Y (TTM)1.17%
EPS 3Y5.77%
EPS 5Y16.96%
EPS Q2Q%9.37%
Revenue 1Y (TTM)4.26%
Revenue growth 3Y5.34%
Revenue growth 5Y12.25%
Sales Q2Q%7.23%
3.2 Future
The Earnings Per Share is expected to grow by 9.44% on average over the next years. This is quite good.
TSCO is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.74% yearly.
EPS Next Y5.4%
EPS Next 2Y8.06%
EPS Next 3Y9.08%
EPS Next 5Y9.44%
Revenue Next Year5.15%
Revenue Next 2Y5.84%
Revenue Next 3Y6.18%
Revenue Next 5Y6.74%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 25.44, which means the current valuation is very expensive for TSCO.
63.93% of the companies in the same industry are more expensive than TSCO, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 25.45. TSCO is around the same levels.
The Price/Forward Earnings ratio is 22.22, which indicates a rather expensive current valuation of TSCO.
TSCO's Price/Forward Earnings ratio is in line with the industry average.
The average S&P500 Price/Forward Earnings ratio is at 34.46. TSCO is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.44 | ||
| Fwd PE | 22.22 |
4.2 Price Multiples
TSCO's Enterprise Value to EBITDA ratio is in line with the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of TSCO indicates a somewhat cheap valuation: TSCO is cheaper than 63.11% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 29.45 | ||
| EV/EBITDA | 14.94 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of TSCO may justify a higher PE ratio.
PEG (NY)4.71
PEG (5Y)1.5
EPS Next 2Y8.06%
EPS Next 3Y9.08%
5. Dividend
5.1 Amount
TSCO has a Yearly Dividend Yield of 1.64%.
Compared to an average industry Dividend Yield of 5.60, TSCO pays a bit more dividend than its industry peers.
Compared to the average S&P500 Dividend Yield of 2.45, TSCO is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.64% |
5.2 History
The dividend of TSCO decreases each year by -8.25%.
TSCO has been paying a dividend for at least 10 years, so it has a reliable track record.
TSCO has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-8.25%
Div Incr Years14
Div Non Decr Years14
5.3 Sustainability
43.76% of the earnings are spent on dividend by TSCO. This is a bit on the high side, but may be sustainable.
DP43.76%
EPS Next 2Y8.06%
EPS Next 3Y9.08%
52.92
+0.28 (+0.53%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners99.6%
Inst Owner Change-2.77%
Ins Owners0.27%
Ins Owner Change9.28%
Market Cap28.04B
Revenue(TTM)15.40B
Net Income(TTM)1.11B
Analysts75.9
Price Target64.34 (21.58%)
Short Float %6.06%
Short Ratio6.48
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.64% |
Yearly Dividend0.88
Dividend Growth(5Y)-8.25%
DP43.76%
Div Incr Years14
Div Non Decr Years14
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-0.69%
Min EPS beat(2)-1.01%
Max EPS beat(2)-0.36%
EPS beat(4)0
Avg EPS beat(4)-3.98%
Min EPS beat(4)-9.37%
Max EPS beat(4)-0.36%
EPS beat(8)2
Avg EPS beat(8)-1.79%
EPS beat(12)3
Avg EPS beat(12)-1.91%
EPS beat(16)5
Avg EPS beat(16)-0.52%
Revenue beat(2)0
Avg Revenue beat(2)-1.46%
Min Revenue beat(2)-1.95%
Max Revenue beat(2)-0.97%
Revenue beat(4)0
Avg Revenue beat(4)-2.26%
Min Revenue beat(4)-3.86%
Max Revenue beat(4)-0.97%
Revenue beat(8)0
Avg Revenue beat(8)-2.33%
Revenue beat(12)1
Avg Revenue beat(12)-2.25%
Revenue beat(16)3
Avg Revenue beat(16)-1.8%
PT rev (1m)2.98%
PT rev (3m)3.36%
EPS NQ rev (1m)-0.9%
EPS NQ rev (3m)-0.47%
EPS NY rev (1m)0.15%
EPS NY rev (3m)1.27%
Revenue NQ rev (1m)-0.51%
Revenue NQ rev (3m)-0.46%
Revenue NY rev (1m)-0.08%
Revenue NY rev (3m)0.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.44 | ||
| Fwd PE | 22.22 | ||
| P/S | 1.82 | ||
| P/FCF | 29.45 | ||
| P/OCF | 15.34 | ||
| P/B | 10.9 | ||
| P/tB | 12.9 | ||
| EV/EBITDA | 14.94 |
EPS(TTM)2.08
EY3.93%
EPS(NY)2.38
Fwd EY4.5%
FCF(TTM)1.8
FCFY3.4%
OCF(TTM)3.45
OCFY6.52%
SpS29.06
BVpS4.86
TBVpS4.1
PEG (NY)4.71
PEG (5Y)1.5
Graham Number15.07
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.16% | ||
| ROE | 42.95% | ||
| ROCE | 18.43% | ||
| ROIC | 14.3% | ||
| ROICexc | 14.64% | ||
| ROICexgc | 15.42% | ||
| OM | 9.66% | ||
| PM (TTM) | 7.18% | ||
| GM | 36.46% | ||
| FCFM | 6.18% |
ROA(3y)12.04%
ROA(5y)11.91%
ROE(3y)51.11%
ROE(5y)48.41%
ROIC(3y)16.6%
ROIC(5y)16.64%
ROICexc(3y)17.31%
ROICexc(5y)18.77%
ROICexgc(3y)18.04%
ROICexgc(5y)19.31%
ROCE(3y)21.39%
ROCE(5y)21.43%
ROICexgc growth 3Y-8.38%
ROICexgc growth 5Y1.67%
ROICexc growth 3Y-9.19%
ROICexc growth 5Y1.55%
OM growth 3Y-1.33%
OM growth 5Y2.07%
PM growth 3Y-1.88%
PM growth 5Y1.9%
GM growth 3Y1.02%
GM growth 5Y1.07%
F-Score6
Asset Turnover1.42
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.69 | ||
| Debt/FCF | 1.87 | ||
| Debt/EBITDA | 0.9 | ||
| Cap/Depr | 179.98% | ||
| Cap/Sales | 5.68% | ||
| Interest Coverage | 21.12 | ||
| Cash Conversion | 92.57% | ||
| Profit Quality | 86.18% | ||
| Current Ratio | 1.3 | ||
| Quick Ratio | 0.14 | ||
| Altman-Z | 4.93 |
F-Score6
WACC9.05%
ROIC/WACC1.58
Cap/Depr(3y)197.52%
Cap/Depr(5y)192.11%
Cap/Sales(3y)5.3%
Cap/Sales(5y)4.72%
Profit Quality(3y)54.61%
Profit Quality(5y)72.39%
High Growth Momentum
Growth
EPS 1Y (TTM)1.17%
EPS 3Y5.77%
EPS 5Y16.96%
EPS Q2Q%9.37%
EPS Next Y5.4%
EPS Next 2Y8.06%
EPS Next 3Y9.08%
EPS Next 5Y9.44%
Revenue 1Y (TTM)4.26%
Revenue growth 3Y5.34%
Revenue growth 5Y12.25%
Sales Q2Q%7.23%
Revenue Next Year5.15%
Revenue Next 2Y5.84%
Revenue Next 3Y6.18%
Revenue Next 5Y6.74%
EBIT growth 1Y0.31%
EBIT growth 3Y3.95%
EBIT growth 5Y14.58%
EBIT Next Year36.18%
EBIT Next 3Y16.92%
EBIT Next 5Y13.27%
FCF growth 1Y16.19%
FCF growth 3Y7.66%
FCF growth 5Y1.39%
OCF growth 1Y9.53%
OCF growth 3Y7.66%
OCF growth 5Y11.85%
TRACTOR SUPPLY COMPANY / TSCO FAQ
What is the ChartMill fundamental rating of TRACTOR SUPPLY COMPANY (TSCO) stock?
ChartMill assigns a fundamental rating of 6 / 10 to TSCO.
What is the valuation status for TSCO stock?
ChartMill assigns a valuation rating of 4 / 10 to TRACTOR SUPPLY COMPANY (TSCO). This can be considered as Fairly Valued.
How profitable is TRACTOR SUPPLY COMPANY (TSCO) stock?
TRACTOR SUPPLY COMPANY (TSCO) has a profitability rating of 8 / 10.
What is the financial health of TRACTOR SUPPLY COMPANY (TSCO) stock?
The financial health rating of TRACTOR SUPPLY COMPANY (TSCO) is 8 / 10.
Is the dividend of TRACTOR SUPPLY COMPANY sustainable?
The dividend rating of TRACTOR SUPPLY COMPANY (TSCO) is 5 / 10 and the dividend payout ratio is 43.76%.