Top 5 Lowest P/E Ratio Stocks of the S&P 500

3. Tractor Supply Company (NASDAQ:TSCO)

Number of Hedge Fund Holders: 46

With a forward P/E of 13.85x and upside potential of 52.80%, Tractor Supply Company (NASDAQ:TSCO) ranks among the top 10 lowest P/E ratio stocks of the S&P 500.

Tractor Supply Company (NASDAQ:TSCO) is making a significant push into pet healthcare, bringing its largest veterinary services partner into its fold.

On May 28, 2026, Tractor Supply Company (NASDAQ:TSCO) announced it acquired VIP Petcare, the largest provider of mobile veterinary care in the United States, from PetIQ. VIP Petcare operates community clinics in approximately 2,700 retail locations across 39 states, including 1,700 Tractor Supply stores, and serves more than one million pets annually. No financial terms were disclosed.

The acquisition brings together VIP Petcare’s clinic network and 24/7 vet access with Allivet’s pharmacy capabilities, all anchored by Tractor Supply Company (NASDAQ:TSCO)’s nationwide footprint and Neighbor’s Club loyalty program. CEO Hal Lawton said the deal builds on existing assets across veterinary services, pet specialty, digital pharmacy, and retail in a capital-efficient manner.

Tractor Supply Company (NASDAQ:TSCO) said the deal creates a differentiated, end-to-end pet care offering and expands access in rural and exurban markets, while also opening veterinarian telehealth capabilities and increasing customer lifetime value.

Following the announcement, Guggenheim on June 5, 2026, lowered its price target on Tractor Supply Company (NASDAQ:TSCO) to $50 from $60 while keeping a “Buy” rating. The firm said it slightly refined its estimates after the VIP Petcare deal and characterized the acquisition favorably.