Baird sees Tractor Supply addition as ‘important new partnership’ for Yeti

Baird analyst Peter Benedict notes that Tractor Supply (TSCO) has announced it is introducing Yeti (YETI) merchandise within its assortment of outdoor gear. Starting October 30, select Yeti products will be available in Tractor Supply’s Project Fusion stores along with an “extended assortment” online. Given its entrenched position within the rural market, the addition of Tractor Supply represents an important new partnership for Yeti that provides added exposure to the farm/ranch segment of retail, the firm says. When combined with the recent release of soft cooler innovation, the announcement lends further support for planned top line inflection in Q4/beyond, Baird argues, adding that it reiterates an Outperform rating on Yeti’s shares with a $60 price target. The firm also has an Outperform rating on Tractor Supply’s stock with a $235 price target.