- Tractor Supply kept its quarterly dividend unchanged at 0.23 dollars as shares traded ex dividend on 24 November 2025.
- The company maintains a strong record of 16 consecutive years of dividend increases supported by solid financial performance.
- Despite short term price pressure, TSCO continues to appeal to dividend growth investors seeking reliable long term compounding.
TSCO trades ex dividend at 0.23 dollars per share
Tractor Supply traded ex dividend on 24 November 2025, requiring investors to own shares before this date to receive the next payment.
The quarterly dividend of 0.23 dollars will be paid on 9 December and remains unchanged from the prior quarter.
With shares near 54.49 dollars, the forward dividend yield is about 1.69 percent, reflecting modest income but notable stability.
Long record of dividend growth
The company has increased its dividend for 16 straight years, placing it on a path toward future dividend aristocrat status.
Growth rates demonstrate the strength of its long term compounding power.
- 1 year growth 5.1 percent
- 3 year growth 11.5 percent
- 5 year growth 25.7 percent
- 10 year growth 19.6 percent
This track record supports a Chowder Score of 27.4, far above the level many dividend growth investors target for attractive income expansion.
For investors seeking rising income rather than high current yield, TSCO remains a standout within specialty retail.
Financial performance reinforces dividend reliability
Recent comparisons show Tractor Supply outperforming ODP Corporation on key measures important to dividend sustainability, including profitability and earnings strength.
Its financial profile highlights consistent cash generation and operational efficiency.
- Return on equity 45.5 percent
- Net margin 7.18 percent
- Free cash flow per share 3.46 dollars
- 52 week range 46.85 to 63.99 dollars
- Low beta of 0.7 indicating limited volatility
These metrics support the view that TSCO can maintain and grow its dividend comfortably.
Short term pressure but long term stability
The share price slipped about 1.7 percent ahead of the ex dividend date, a common pattern as markets adjust for upcoming payouts.
On the ex dividend date, stocks generally decline by roughly the dividend amount, which in TSCO’s case is only about 0.44 percent.
Income investors typically consider this movement normal and not a sign of fundamental weakness.
With steady earnings and consistent customer demand in its rural lifestyle niche, the company remains well positioned for continued compounding.
Valuation supported by quality
The stock trades at a price to earnings ratio near 26, above long term averages, but similar to other companies with strong competitive advantages and dependable growth.
For dividend focused investors, valuation matters, yet so does long term dividend expansion supported by reliable cash flow.
TSCO keeps a manageable payout ratio while delivering double digit dividend growth over extended periods.
Although the yield is modest, the company offers steady income growth, strong financial performance and a long history of consistent dividend increases.
For investors aiming to build durable income through dividend growth, Tractor Supply remains a compelling candidate, especially during periods of share price weakness following ex dividend trading.
