TSCO Slides to 370th in Volume Amid Analyst Buy Ratings and Overvaluation Concerns

On August 12, 2025, Tractor Supply Company (TSCO) closed down 0.39% with a trading volume of $290 million, ranking 370th in market activity. Analysts have assigned a "Moderate Buy" consensus rating based on 11 buy, 7 hold, and 1 sell recommendation across 8 recent research reports. Earnings projections suggest a 11.06% growth to $2.41 per share, though the stock trades at a premium to both the broader market (P/E 24.94 vs. 22.01) and its sector average (P/E 22.96). A PEG ratio of 2.95 and P/B ratio of 11.98 further indicate potential overvaluation relative to fundamentals.

Short interest remains elevated at 6.57% of float, with a 6.61% monthly increase pushing the days-to-cover ratio to 6.4. Institutional ownership at 98.72% contrasts with declining retail engagement, as search interest and watchlist additions have dropped by 38% and 65% respectively over 30 days. The dividend remains a key draw, with a 1.83% yield and 16 consecutive years of growth, supported by a sustainable 45.77% payout ratio. However, insider selling of $2.73 million in the past quarter raises questions about internal confidence.

Technical indicators highlight a strong base with TSCO trading above all major moving averages and outperforming 76% of its sector peers. A clear support zone between $56.94-$58.93 and resistance near $60.68 suggest a potential breakout scenario if institutional buying momentum continues. Recent "pocket pivot" signals and narrowing volatility patterns reinforce this setup, though traders are advised to monitor broader market conditions and earnings catalysts.

The backtested strategy of buying top 500 volume stocks and holding for one day generated a $2,300 profit from 2022 to present, with a maximum drawdown of -15.7% recorded in early 2023. This highlights the strategy's potential for gains while underscoring the risks of significant short-term volatility.