Below is a series efficiency metrics from FY2017 through FY2021.ĭue to a change in reporting made in Q1 2019, some of TSCO's data, related to total assets and total liabilities are incompatible with the FY2018 and FY2017 data.Īs noted in the chart above, the average basket size has continuously increased year over year at a rate of ~5.5%. With net income increasing at a higher rate than sales, this shows that TSCO's management is continuing to grow sales while simultaneously finding ways to limit or reduce expenses, becoming more profitable. In contrast, sales revenue is growing at 18%. Historically, TSCO has a profit margin of ~7%, with the net income increasing by 27% year over year for the past five years. This is an important precedent as many company's rely on their growing footprint to help drive their revenues, often with a moderate same-store sales growth. Simultaneously, same-store sales grew at a rate of ~10.75% over the past five years, seeing a 40% two-year growth in same-store sales during 20. Since 2014, TSCO has grown its footprint by 799 stores, which is about a ~6% increase in store count each year. TSCO has been holistically growing over the past decade by managing to grow its same-store sales while increasing its bricks-and-mortar footprint. At the end of FY2021, Petsense consisted of 178 stores across 23 states. Petsense is a small-box retailer looking to compete with PetSmart and Petco ( WOOF), delivering products and services to domestic pet owners in small to mid-sized communities. In addition, Tractor Supply owns the small-box retailer Petsense. As of March 2022, the Tractor Supply Company banner consists of 2,003 stores located in 49 states. Tractor Supply is the largest "rural lifestyle" specialty retailer in the United States.
TSCO is a strong growth and income stock that is not showing signs of slowing down anytime soon. The past five years have seen Tractor Supply outpace the S&P 500, with a 2022 rebound, rising 13.22% from an opening low of $179.67 per share on May 23, 2022, to a closing share price of $203.44 on July 9, 2022. The company offers investors a dependable dividend with long-term sustained double-digit sales growth.
Tractor Supply Company ( NASDAQ: TSCO) has a strong foundational history of growing its business under the direction of the same senior leaders. Jetcityimage/iStock Editorial via Getty Images
0 kommentar(er)
