TSCO Rolls Out Preliminary Q1 Update, Withdraws Full-Year Forecast

The firm also withdrew its full-year guidance

Digital Content Manager
Apr 7, 2020 at 9:54 AM
facebook twitter linkedin


Shares of leading rural lifestyle retailer Tractor Supply Company (NASDAQ:TSCO) are down 1.1% at $87 this morning, as traders take a moment to digest the company's preliminary first-quarter update. TSCO posted $1.96 billion in sales, which exceeded analysts' estimates, and said its same-store sales for March were 12% above the prior year. The company said it benefited from consumers stocking up on core everyday merchandise in response to the COVID-19 outbreak. The firm also decided to withdraw its fiscal 2020 guidance. 

In recent weeks, TSCO has found support at its 20-day moving average, which has helped guide the equity off its March 17, two-year bottom near the $65 level. Now, the stock is pushing back up against pressure at its $88- $87 region, which has kept a lid on the shares since their early March bear gap. 

Analysts have remained optimistic for the most part. Of the 18 in coverage, 13 call Tractor Supply Company a "buy" or better, while the remaining five say "hold." The consensus 12-month target price of $97.63 is a healthy 11% premium to current levels. 

The options pits have been singing a different tune. TSCO sports a 10-day put/call volume ratio of 2.83 at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX). This ratio sits higher than 86% of all other readings from the past 12 months, suggesting long puts are being picked up at a much quicker-than-usual clip. 

 

 

 

Minimize Risk While Maximizing Profits

There is no options strategy like this one, which consistently minimizes risk while maintaining maximum profits. Perfect for traders looking for ways to control risk, reduce losses, and increase the likelihood of success when trading calls and puts. The Schaeffer’s team has over 41 years of options trading success targeting +100% gains on every trade. Rest assured your losses are effectively limited to your initial cost at the time of making your move! Don't waste another second... join us right now before the next trade is released! 

 


 


 
Special Offers from Schaeffer's Trading Partners