Tractor Supply downgraded to Equal Weight from Overweight at Barclays

Barclays analyst Seth Sigman downgraded Tractor Supply to Equal Weight from Overweight with a price target of $224, down from $254. The analyst does not see meaningful downside risk to estimates, but struggles with the upside case amid mixed sales trends and uncertainty around the real run-rate of the business. As such, it is difficult to argue for the multiple expansion needed for the stock to outperform, the analyst tells investors in a research note. The firm sees an “air pocket for sales” at Tractor Supply where trends are more mixed than it initially expected, and there is a transition in the growth drivers as inflation moderates.