Sprouts Farmers (SFM) closed at $20.61 in the latest trading session, marking a -0.29% move from the prior day. This change was narrower than the S&P 500's daily loss of 1.16%. At the same time, the Dow lost 1.84%, and the tech-heavy Nasdaq lost 0.13%.
Prior to today's trading, shares of the natural and organic food retailer had lost 15.01% over the past month. This has lagged the Retail-Wholesale sector's loss of 3.74% and the S&P 500's loss of 1.96% in that time.
Wall Street will be looking for positivity from SFM as it approaches its next earnings report date. In that report, analysts expect SFM to post earnings of $0.35 per share. This would mark year-over-year growth of 59.09%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.63 billion, up 13.4% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $2.12 per share and revenue of $6.52 billion, which would represent changes of +69.6% and +15.77%, respectively, from the prior year.
Any recent changes to analyst estimates for SFM should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-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. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. SFM is holding a Zacks Rank of #1 (Strong Buy) right now.
Valuation is also important, so investors should note that SFM has a Forward P/E ratio of 9.75 right now. This valuation marks a discount compared to its industry's average Forward P/E of 12.72.
Investors should also note that SFM has a PEG ratio of 1.06 right now. 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. SFM's industry had an average PEG ratio of 3.49 as of yesterday's close.
The Food - Natural Foods Products industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 128, which puts it in the top 50% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Sprouts Farmers Market, Inc. (SFM) : Free Stock Analysis Report
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