Tractor Supply CoTSCO +1.50%79 Gross Margin % is 36.22% as of Mar. 2026, which is 3% above its 10-year median of 35.09. GuruFocus rates TSCO with a GF Score™ of 79/100 and a GF Value™ of $56.58 (Significantly Undervalued). The stock has 4 warning signs investors should review. Among 1,113 Retail - Cyclical companies, Tractor Supply Co ranks better than 50.49% on this metric.
The historical rank and industry rank for Tractor Supply Co's Gross Margin % or its related term are showing as below:
TSCO'
s Gross Margin % Range Over the Past 10 Years
Min: 34.16 Med: 35.09 Max: 36.43
Current: 36.43
During the past 13 years, the highestGross Margin % of Tractor Supply Co was 36.43%. The lowest was 34.16%. And the median was 35.09%.
TSCO's Gross Margin % is ranked better than 50.49% of 1113
companies
in the Retail - Cyclical industry
Industry Median: 36.26
vs TSCO: 36.43
Tractor Supply Co had a gross margin of 36.22% for the quarter that ended in Mar. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Tractor Supply Co was 0.70% per year.
Tractor Supply Co (NAS:TSCO) Gross Margin % Explanation
Warren Buffett believes that firms with excellent long term economics tend to have consistently higher margins.
Durable competitive advantage creates a high Gross Margin % because of the freedom to price in excess of cost. Companies can be categorized by their Gross Margin %
1. Greater than 40% = Durable competitive advantage
2. Less than 40% = Competition eroding margins
3. Less than 20% = no sustainable competitive advantage
Consistency of Gross Margin is key
Tractor Supply Co had a gross margin of 36.22% for the quarter that ended in Mar. 2026 => Competition eroding margins
Be Aware
If a company loses its competitive advantages, usually its gross margin declines well before its sales declines. Watching Gross Margin % and Operating Margin % closely helps avoid value trap situations.
Tractor Supply Co Gross Margin % Related Terms
Tractor Supply Co Gross Margin % Historical Data
* Premium members only.
The historical data trend for Tractor Supply Co's Gross Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Specialty Retail subindustry, Tractor Supply Co's Gross Margin %, along with its competitors' market caps and Gross Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Tractor Supply Co Gross Margin % vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Tractor Supply Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Tractor Supply Co's Gross Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
A positive Gross Profit is only the first step for a company to make a net profit. The gross profit needs to be big enough to also cover related labor, equipment, rental, marketing/advertising, research and development and a lot of other costs in selling the products.
Tractor Supply Co (TSCO) has a Gross Margin % of 36.22% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Tractor Supply Co and its competitors. This is near median its historical median of 35.09. Over the past decade, Tractor Supply Co's Gross Margin % has ranged from 34.16 to 36.43. According to the industry distribution chart, Tractor Supply Co ranks #551 out of 1113 companies in the Retail - Cyclical industry, placing it in the top 49.5%.
Is Tractor Supply Co's Gross Margin % too high?
Tractor Supply Co's current Gross Margin % of 36.22% is near median its 10-year median of 35.09. Over the past 10 years, this metric has ranged from a low of 34.16 to a high of 36.43. The Retail - Cyclical industry median Gross Margin % is 36.26. Tractor Supply Co's value of 36.22% is 0.1% below this industry median. Based on the distribution chart, Tractor Supply Co ranks #551 out of 1113 companies in the Retail - Cyclical industry, which is above the industry midpoint. Overall, Tractor Supply Co has a GF Score™ of 79/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Tractor Supply Co's Gross Margin % compare to BBY and DKS?
According to the Retail - Cyclical industry distribution chart, Tractor Supply Co ranks #551 out of 1113 companies for Gross Margin %. This puts Tractor Supply Co in the upper half of its industry. The industry median Gross Margin % is 36.26. Tractor Supply Co's value of 36.22% is 0.1% below this benchmark. Historically, Tractor Supply Co's own Gross Margin % has ranged from 34.16 to 36.43 over the past decade. While the company's 10-year median is 35.09 vs. the industry median of 36.26, Tractor Supply Co has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Gross Margin % for a Retail - Cyclical company?
The median Gross Margin % among Retail - Cyclical companies is 36.26, based on 1,113 companies in the industry. Companies in the top quartile (top 25%) have a Gross Margin % significantly above this median, while those in the bottom quartile fall well below. However, Gross Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Tractor Supply Co's current Gross Margin % of 36.22% is 0.1% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Gross Margin % mean?
A high Gross Margin % can signal that a stock is expensive relative to its fundamentals. Gross margin is the ratio of total gross profit to net sales. View historical data on Tractor Supply Co and its competitors. For the Retail - Cyclical industry, the median Gross Margin % is 36.26 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Tractor Supply Co's current Gross Margin % is 36.22%, which is near median its own 10-year median of 35.09. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Tractor Supply Co stock overvalued right now?
Based on GuruFocus' analysis, Tractor Supply Co (TSCO) is currently considered Significantly Undervalued. The stock's GF Value™ is $56.58, compared to a current price of $31.21 — trading 44.8% below its estimated fair value. The current Gross Margin % is 36.22%, which is near median its 10-year median of 35.09 and 0.1% below the Retail - Cyclical industry median of 36.26. Tractor Supply Co's overall GF Score™ is 79/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Gross Margin % calculated?
Gross Margin % is calculated from a company's financial statements. For Tractor Supply Co (TSCO), the current Gross Margin % is 36.22% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Tractor Supply Co (TSCO) Overvalued in 2026?
Based on GuruFocus' analysis, Tractor Supply Co stock appears to be undervalued.
The current stock price of $31.21 is trading 44.8% below its estimated GF Value™ of $56.58.
GuruFocus considers Tractor Supply Co to be Significantly Undervalued.
Key valuation signals for TSCO:
Gross Margin %: 36.22% (near median its 10-year median of 35.09)
GF Value™: $56.58 vs. price of $31.21 (44.8% below fair value)
Industry Position: 0.1% below the Retail - Cyclical median (#551 of 1113)
No single metric tells the full story. See the TSCO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Tractor Supply is the largest operator of retail farm and ranch stores in the United States. The company targets recreational farmers and ranchers and has little exposure to commercial and industrial farm operations. As of March 2026, the company operated 2,435 of its namesake banners in 49 states, along with 206 Petsense by Tractor Supply stores. Stores are generally concentrated in rural communities rather than urban and suburban areas. In fiscal 2025, revenue consisted of livestock, equine & agriculture (around 27%); companion animal (24%); seasonal & recreation (around 24%); truck, tool, & hardware (15%); and clothing, gift, and décor (10%).
79GF Score
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