Where Will Tractor Supply Stock Be in 3 Years?
Tractor Supply (NASDAQ: TSCO) is an interesting retailer, given that it leans heavily on its farm theme. But its customer base isn't farmers, or at least not exclusively farmers. The ability to attract a broad customer base allowed the company to grow at a rapid clip for many years. There's no sign that this trend will stop over the next three years.
If you have ever been to a Tractor Supply store, the focus on "farming" will likely have been very apparent. But step back from the obvious (including live chicks) and look at the whole store. It is more like a hardware store. That's important because there are only a fairly small number of professional farmers in the U.S., and they likely shop at even more specialized retailers.
Tractor Supply is geared toward hobby farmers and the general public. It's an important element of the model since it provides a lot more growth potential (the company is even branching out into a pet-focused version of its format called Petsense by Tractor Supply).
Source Fool.com
