Tractor Supply (NASDAQ:TSCO) shares slumped before regaining most of their earlier losses Thursday after it missed Q1 earnings and revenue expectations.
The company's shares are currently down over 1% at around $238 per share, but the stock initially hit a low of $230.46 on the back of the earnings release.
It reported Q1 EPS of $1.65, $0.07 worse than the analyst estimate of $1.72, while revenue for the quarter, which rose 9.1% YoY, was also below estimates at $3.3 billion versus the consensus estimate of $3.32B. Net sales were boosted by positive sales contributions from the company's acquisition of Orscheln Farm and Home, new store openings, and the growth in comparable store sales.
Comparable store sales increased by 2.1%, driven by strength in TSCO's consumable, usable, and edible categories.
"Tractor Supply's needs-based, demand-driven business model has stood the test of time with consistent and sustainable growth," said Hal Lawton, president and chief executive officer of Tractor Supply. "We remain excited about our growth opportunities as we continue to widen our competitive advantages as the team is making great progress on our Life Out Here strategy."
Looking ahead, the company confirmed it sees FY2023 EPS between $10.30 and $10.60, versus the consensus of $10.51, with revenue for the period expected to be between $15B and $15.3B, versus the consensus of $15.23B.