Sprouts Farmers (SFM) closed the most recent trading day at $24.52, moving -1.45% from the previous trading session. This move lagged the S&P 500's daily loss of 0.56%. Meanwhile, the Dow lost 1.39%, and the Nasdaq, a tech-heavy index, added 0.53%.
Coming into today, shares of the natural and organic food retailer had gained 2.34% in the past month. In that same time, the Retail-Wholesale sector gained 8.58%, while the S&P 500 lost 1.79%.
SFM will be looking to display strength as it nears its next earnings release. In that report, analysts expect SFM to post earnings of $0.38 per share. This would mark year-over-year growth of 26.67%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.59 billion, up 12.33% from the year-ago period.
SFM's full-year Zacks Consensus Estimates are calling for earnings of $1.69 per share and revenue of $6.36 billion. These results would represent year-over-year changes of +35.2% and +12.94%, respectively.
Any recent changes to analyst estimates for SFM should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.93% higher within the past month. SFM currently has a Zacks Rank of #1 (Strong Buy).
Looking at its valuation, SFM is holding a Forward P/E ratio of 14.74. Its industry sports an average Forward P/E of 14.74, so we one might conclude that SFM is trading at a no noticeable deviation comparatively.
It is also worth noting that SFM currently has a PEG ratio of 1.59. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Food - Natural Foods Products stocks are, on average, holding a PEG ratio of 3.91 based on yesterday's closing prices.
The Food - Natural Foods Products industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 14, which puts it in the top 6% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Sprouts Farmers Market, Inc. (SFM) : Free Stock Analysis Report
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