Quick wins for a faster PC:
Scan for outdated or missing drivers - takes under a minuteDriver Scan →Clear out junk files and repair common Windows errorsFree Scan →Fix the driver behind crashes, sound loss and screen glitchesFind Drivers →Before buying Tractor Supply Company (NASDAQ: TSCO) for dividend income, check the declared payment, whether earnings and cash flow can support it, the company’s debt and investment needs, its latest operating outlook, and the share price you would pay. Tractor Supply declared a quarterly dividend of $0.24 in February 2026, but its July 2026 earnings guidance was cut. Its dividend-growth record is worth noting; it is not a guarantee of future payments.
What is Tractor Supply’s dividend?
On February 11, 2026, Tractor Supply’s board declared a quarterly dividend of $0.24 per share, an increase of $0.04, or 4.3%, from the prior rate. The company said this was its 17th consecutive year of annual dividend increases. The $0.24 quarterly rate multiplied by four equals $0.96 annualized; that is an illustration based on the declared rate, not a promise that all four future payments will be made. The announcement scheduled payment for March 10, 2026, to shareholders of record on February 24, 2026. Tractor Supply’s dividend announcement has the declaration details.
The company generally pays dividends in March, June, September, and December, according to its investor FAQ. That schedule describes its usual pattern; the board must still declare each payment.
Do not misread the 2024–2025 per-share figures
The investor FAQ says Tractor Supply’s five-for-one stock split took effect on December 20, 2024. Its listed quarterly dividend of $1.10 for 2024 and $0.22 for 2025 are on different split bases. The apparent drop is not an 80% dividend cut. The 2025 per-share figure subsequently rose to $0.23 before the February 2026 declaration of $0.24.
#1 Best Overall
How much does TSCO pay relative to earnings?
Fiscal 2025 provides a historical reference point: Tractor Supply reported diluted earnings per share (EPS) of $2.06, net income of about $1.10 billion, and $487.7 million in dividends paid. Net income was essentially flat year over year. These figures appear in the company’s FY2025 results released January 29, 2026.
A rough comparison of the $0.96 annualized dividend with FY2025 diluted EPS of $2.06 is about 46.6%. This is arithmetic using the declared annual rate and historical per-share earnings—not Tractor Supply’s reported payout ratio, which would compare total dividends paid with net earnings, and not a forward measure of coverage.
Rank #2
Account for the weaker 2026 outlook
In January 2026, Tractor Supply initially projected FY2026 diluted EPS of $2.13–$2.23. Following its second-quarter results, the company lowered its July 2026 guidance to $1.78–$1.88; adjusted EPS guidance was $1.90–$2.00. If the $0.96 annualized dividend rate remains unchanged, it would equal roughly 51.1%–53.9% of the newly guided diluted EPS range. This is a calculation from company figures, not company guidance on a payout ratio. See the July 23, 2026 Q2 results and revised outlook.
The change in guidance matters more than a single historical ratio: it changes the earnings denominator an investor might use to judge the dividend. Check for a newer results release and dividend declaration before relying on these figures.
What’s actually slowing this PC down?
Pick the symptom - the matching free tool is one click away.
Can cash flow cover dividends after investment needs?
For the six months ended June 27, 2026, Tractor Supply generated $653.1 million in cash from operating activities and spent $435.7 million on capital expenditures. That leaves about $217.4 million before other investing and financing items. In the same half-year, inventory consumed $429.7 million of cash—a substantial working-capital movement to consider when interpreting operating cash flow.
At June 27, 2026, the company reported $231.6 million in cash and equivalents and $2.154 billion in long-term debt. These interim figures do not establish full-year dividend coverage: compare operating cash flow less capital expenditures with cash dividends actually paid over the same period, and consider how working capital and investment spending affect the result. The figures are in the SEC-filed company exhibit dated July 23, 2026.
Rank #4
What do recent business results say about dividend risk?
In Q2 2026, net sales increased 2.3% to $4.54 billion, while comparable store sales declined 1.5%. Operating income fell 19.2%, net income fell 16.1%, and diluted EPS fell 14.9% year over year. The company cited seasonal and discretionary weakness, Petsense restructuring and impairment, and VIP Petcare acquisition costs. It also withdrew its previous long-term financial framework while revising its near-term guidance.
These results show why sales growth alone is not enough: profitability and comparable sales can move differently. When assessing whether the dividend has room to grow, consider earnings, margins, same-store trends, and exposure to discretionary purchases alongside management’s outlook. Tractor Supply’s CEO Hal Lawton said in the Q2 release that the core customer remained engaged and needs-based businesses performed well; that management view should be weighed against the reported declines, not substituted for them.
How should you judge TSCO’s yield and valuation?
A dividend yield depends on the share price as well as the declared payment. Calculate indicated yield as the current annualized declared dividend divided by the current share price, and record the quote’s date and time. No contemporaneous TSCO quote is established here, so a current yield or price-based valuation multiple cannot be stated. Do not treat the $0.96 annualized rate as a yield by itself.
Before deciding whether the stock is attractively priced, compare its valuation with Tractor Supply’s own history and relevant retail peers using a current quote and consistent earnings measures. For an income-focused comparison with other stocks, use the same date’s prices and declared rates, define any trailing or forward payout calculation, and compare cash flow after capital expenditures with cash dividends paid. No peer valuation comparison is established by the cited company figures.
Is Tractor Supply’s dividend safe?
No dividend is assured by a history of increases or by one payout calculation. Tractor Supply’s 17-year record and its latest declaration are relevant evidence of past board decisions; the lower 2026 earnings guidance and the cash-flow, investment, and debt figures are reasons to examine current coverage rather than assume future increases. The board’s declarations remain discretionary, and the company’s releases caution that forward-looking statements involve risks and actual results may differ.
Quick Recap
Product prices and availability are accurate as of the date/time indicated and are subject to change. Any price and availability information displayed on Amazon at the time of purchase will apply.
