4-Star Stocks Poised to Pop: Tractor Supply

Brian D. Pacampara, The Motley Fool
Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, retail farm and ranch store operator Tractor Supply Company (NAS: TSCO) has earned a respected four-star ranking.

With that in mind, let's take a closer look at Tractor Supply's business and see what CAPS investors are saying about the stock right now.

Tractor Supply facts

Headquarters (founded)

Brentwood, Tenn. (1938)

Market Cap

$7.0 billion

Industry

Specialty stores

Trailing-12-Month Revenue

$4.2 billion

Management

Chairman/CEO James Wright
President/COO Gregory Sandfort

Return on Equity (average, past 3 years)

19.9%

Cash/Debt

$177.0 million / $1.3 million

Dividend Yield

0.5%

Competitors

Home Depot
Sears, Roebuck and Co.
Southern States Cooperative


Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 91% of the 373 members who have rated Tractor Supply believe the stock will outperform the S&P 500 going forward.

A couple of months ago, one of those Fools, All-Star gweech, offered a bit of insight into Tractor Supply's competitive edge: "A little pricey right now, but a 1,200% gain over the last 10 years. Living in Oklahoma, I see these in rural towns and they ARE the de facto standard for rural home and ranch needs."

If you want to retire rich, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future. Of course, despite a strong four-star rating, Tractor Supply may not be your top choice.

If that's the case, we've found another retailer we are incredibly excited about -- excited enough to dub it "The Motley Fool's Top Stock for 2012." We have compiled a special free report for investors to uncover this stock today. The report is 100% free, but it won't be here forever, so click here to access it now.

Want to see how well (or not so well) the stocks in this series are performing? Follow the newTrackPoisedToCAPS account.

At the time thisarticle was published Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Motley Fool newsletter services have recommended buying shares of The Home Depot. 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.

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