Yahoo Finance Sprouts Farmers (SFM) Outpaces Stock Market Gains: What You Should Know
Sprouts Farmers (SFM) ended the recent trading session at $83.07, demonstrating a +0.39% swing from the preceding day's closing price. This change outpaced the S&P 500's 0.16% gain on the day. Elsewhere, the Dow saw an upswing of 0.04%, while the tech-heavy Nasdaq appreciated by 0.49%.
Coming into today, shares of the natural and organic food retailer had gained 4.83% in the past month. In that same time, the Retail-Wholesale sector gained 2.04%, while the S&P 500 gained 3.22%.
The upcoming earnings release of Sprouts Farmers will be of great interest to investors. In that report, analysts expect Sprouts Farmers to post earnings of $0.77 per share. This would mark year-over-year growth of 8.45%. Simultaneously, our latest consensus estimate expects the revenue to be $1.83 billion, showing a 7.99% escalation compared to the year-ago quarter.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $3.12 per share and a revenue of $7.38 billion, representing changes of +9.86% and +7.99%, respectively, from the prior year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Sprouts Farmers. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.16% upward. As of now, Sprouts Farmers holds a Zacks Rank of #1 (Strong Buy).
Looking at its valuation, Sprouts Farmers is holding a Forward P/E ratio of 26.55. This signifies a premium in comparison to the average Forward P/E of 16.61 for its industry.
One should further note that SFM currently holds a PEG ratio of 3.16. 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 2.09 based on yesterday's closing prices.
The Food - Natural Foods Products industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 15, finds itself in the top 6% echelons of all 250+ industries.
The Zacks Industry Rank is ordered 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.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Sprouts Farmers Market, Inc. (SFM) : Free Stock Analysis Report
