A Bull Market Could Be Here: 4 Reasons to Buy Tractor Supply Stock
The hardware-store space is dominated by two brands, Home Depot and Lowe's Companies. It's hard for smaller companies to compete, and yet Tractor Supply (NASDAQ: TSCO) has been doing just that for a long time. Here's why this rural-lifestyle retailer is succeeding and is worth a closer look, particularly if the market should start to rally anew.
Tractor Supply is, at its core, a hardware store. It doesn't really compete with the Home Depot model because it's focused on serving farmers -- or at least, hobby farmers. But this has created a bit of a niche for the brand that Home Depot and Lowe's lack.
This also has allowed Tractor Supply to open smaller stores in more rural areas. Sure, you can buy baby chickens at the store, but you can also buy a hammer. Why bother driving the extra distance to a big box store where you won't get to see cute livestock as a side benefit? And if you do actually farm, you can find things at Tractor Supply that you wouldn't be able to get at Home Depot or Lowe's.
Source Fool.com
