SPROUTS FARMERS MARKET INC (SFM) Fundamental Analysis & Valuation

NASDAQ:SFM • US85208M1027

Current stock price

81.19 USD
-0.66 (-0.81%)
At close:
81.25 USD
+0.06 (+0.07%)
After Hours:

This SFM fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

9

1. SFM Profitability Analysis

1.1 Basic Checks

  • SFM had positive earnings in the past year.
  • SFM had a positive operating cash flow in the past year.
  • Each year in the past 5 years SFM has been profitable.
  • Each year in the past 5 years SFM had a positive operating cash flow.
SFM Yearly Net Income VS EBIT VS OCF VS FCFSFM Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M

1.2 Ratios

  • SFM has a Return On Assets of 12.59%. This is amongst the best in the industry. SFM outperforms 94.74% of its industry peers.
  • SFM has a Return On Equity of 37.32%. This is amongst the best in the industry. SFM outperforms 92.11% of its industry peers.
  • SFM has a better Return On Invested Capital (15.90%) than 94.74% of its industry peers.
  • SFM had an Average Return On Invested Capital over the past 3 years of 13.23%. This is significantly below the industry average of 34.78%.
  • The 3 year average ROIC (13.23%) for SFM is below the current ROIC(15.90%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 12.59%
ROE 37.32%
ROIC 15.9%
ROA(3y)10.28%
ROA(5y)9.54%
ROE(3y)29.55%
ROE(5y)27.81%
ROIC(3y)13.23%
ROIC(5y)12.25%
SFM Yearly ROA, ROE, ROICSFM Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30

1.3 Margins

  • SFM has a better Profit Margin (5.95%) than 86.84% of its industry peers.
  • In the last couple of years the Profit Margin of SFM has grown nicely.
  • Looking at the Operating Margin, with a value of 7.86%, SFM belongs to the top of the industry, outperforming 89.47% of the companies in the same industry.
  • SFM's Operating Margin has improved in the last couple of years.
  • Looking at the Gross Margin, with a value of 38.80%, SFM belongs to the top of the industry, outperforming 86.84% of the companies in the same industry.
  • In the last couple of years the Gross Margin of SFM has remained more or less at the same level.
Industry RankSector Rank
OM 7.86%
PM (TTM) 5.95%
GM 38.8%
OM growth 3Y10.84%
OM growth 5Y5.36%
PM growth 3Y13.39%
PM growth 5Y6%
GM growth 3Y1.89%
GM growth 5Y1.07%
SFM Yearly Profit, Operating, Gross MarginsSFM Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30

More info and screens

ROAROEROICOperating and Profit MarginShow most profitable peers

7

2. SFM Health Analysis

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), SFM is creating some value.
  • SFM has less shares outstanding than it did 1 year ago.
  • The number of shares outstanding for SFM has been reduced compared to 5 years ago.
  • SFM has a worse debt/assets ratio than last year.
SFM Yearly Shares OutstandingSFM Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 50M 100M
SFM Yearly Total Debt VS Total AssetsSFM Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B 4B

2.2 Solvency

  • An Altman-Z score of 4.51 indicates that SFM is not in any danger for bankruptcy at the moment.
  • SFM has a Altman-Z score of 4.51. This is in the better half of the industry: SFM outperforms 63.16% of its industry peers.
  • The Debt to FCF ratio of SFM is 0.18, which is an excellent value as it means it would take SFM, only 0.18 years of fcf income to pay off all of its debts.
  • SFM has a Debt to FCF ratio of 0.18. This is amongst the best in the industry. SFM outperforms 94.74% of its industry peers.
  • A Debt/Equity ratio of 0.06 indicates that SFM is not too dependend on debt financing.
  • SFM's Debt to Equity ratio of 0.06 is amongst the best of the industry. SFM outperforms 84.21% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.06
Debt/FCF 0.18
Altman-Z 4.51
ROIC/WACC1.77
WACC8.99%
SFM Yearly LT Debt VS Equity VS FCFSFM Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B

2.3 Liquidity

  • SFM has a Current Ratio of 0.93. This is a bad value and indicates that SFM is not financially healthy enough and could expect problems in meeting its short term obligations.
  • Looking at the Current ratio, with a value of 0.93, SFM is doing worse than 68.42% of the companies in the same industry.
  • A Quick Ratio of 0.44 indicates that SFM may have some problems paying its short term obligations.
  • SFM has a worse Quick ratio (0.44) than 63.16% of its industry peers.
  • SFM does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
Industry RankSector Rank
Current Ratio 0.93
Quick Ratio 0.44
SFM Yearly Current Assets VS Current LiabilitesSFM Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M 800M

More info and screens

WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

5

3. SFM Growth Analysis

3.1 Past

  • SFM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 16.85%, which is quite good.
  • The Earnings Per Share has been growing by 16.78% on average over the past years. This is quite good.
  • SFM shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 14.08%.
  • Measured over the past years, SFM shows a small growth in Revenue. The Revenue has been growing by 6.36% on average per year.
EPS 1Y (TTM)16.85%
EPS 3Y30.41%
EPS 5Y16.78%
EPS Q2Q%-5.52%
Revenue 1Y (TTM)14.08%
Revenue growth 3Y11.2%
Revenue growth 5Y6.36%
Sales Q2Q%4.15%

3.2 Future

  • SFM is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.26% yearly.
  • Based on estimates for the next years, SFM will show a quite strong growth in Revenue. The Revenue will grow by 8.21% on average per year.
EPS Next Y6%
EPS Next 2Y6.29%
EPS Next 3Y7.93%
EPS Next 5Y7.26%
Revenue Next Year7.81%
Revenue Next 2Y7.58%
Revenue Next 3Y8.04%
Revenue Next 5Y8.21%

3.3 Evolution

  • The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
  • The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
SFM Yearly Revenue VS EstimatesSFM Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2B 4B 6B 8B 10B
SFM Yearly EPS VS EstimatesSFM Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2 4 6

More info and screens

Find the best growth stocksShow best growing peers

5

4. SFM Valuation Analysis

4.1 Price/Earnings Ratio

  • SFM is valuated correctly with a Price/Earnings ratio of 15.61.
  • Compared to the rest of the industry, the Price/Earnings ratio of SFM indicates a somewhat cheap valuation: SFM is cheaper than 76.32% of the companies listed in the same industry.
  • The average S&P500 Price/Earnings ratio is at 26.51. SFM is valued slightly cheaper when compared to this.
  • A Price/Forward Earnings ratio of 13.56 indicates a correct valuation of SFM.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of SFM indicates a rather cheap valuation: SFM is cheaper than 81.58% of the companies listed in the same industry.
  • The average S&P500 Price/Forward Earnings ratio is at 21.41. SFM is valued slightly cheaper when compared to this.
Industry RankSector Rank
PE 15.61
Fwd PE 13.56
SFM Price Earnings VS Forward Price EarningsSFM Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SFM indicates a somewhat cheap valuation: SFM is cheaper than 65.79% of the companies listed in the same industry.
  • Based on the Price/Free Cash Flow ratio, SFM is valued a bit cheaper than 71.05% of the companies in the same industry.
Industry RankSector Rank
P/FCF 16.41
EV/EBITDA 8.83
SFM Per share dataSFM EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 20 40 60 80

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates SFM does not grow enough to justify the current Price/Earnings ratio.
  • The excellent profitability rating of SFM may justify a higher PE ratio.
PEG (NY)2.6
PEG (5Y)0.93
EPS Next 2Y6.29%
EPS Next 3Y7.93%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. SFM Dividend Analysis

5.1 Amount

  • SFM does not give a dividend.
Industry RankSector Rank
Dividend Yield 0%

More info and screens

Find the best dividend stocksShow peers with best dividend

SFM Fundamentals: All Metrics, Ratios and Statistics

SPROUTS FARMERS MARKET INC

NASDAQ:SFM (5/1/2026, 8:00:02 PM)

After market: 81.25 +0.06 (+0.07%)

81.19

-0.66 (-0.81%)

Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Industry Strength31.68
Industry Growth26.09
Earnings (Last)04-29
Earnings (Next)07-28
Inst Owners106.52%
Inst Owner Change-0.8%
Ins Owners0.7%
Ins Owner Change12.12%
Market Cap7.68B
Revenue(TTM)8.81B
Net Income(TTM)523.67M
Analysts73.64
Price Target95.52 (17.65%)
Short Float %11.32%
Short Ratio4.18
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.14%
Min EPS beat(2)2.79%
Max EPS beat(2)3.49%
EPS beat(4)4
Avg EPS beat(4)7.45%
Min EPS beat(4)2.79%
Max EPS beat(4)15.57%
EPS beat(8)8
Avg EPS beat(8)10.32%
EPS beat(12)12
Avg EPS beat(12)9.87%
EPS beat(16)16
Avg EPS beat(16)10.5%
Revenue beat(2)0
Avg Revenue beat(2)-1.64%
Min Revenue beat(2)-2.07%
Max Revenue beat(2)-1.21%
Revenue beat(4)2
Avg Revenue beat(4)-0.35%
Min Revenue beat(4)-2.07%
Max Revenue beat(4)1.26%
Revenue beat(8)6
Avg Revenue beat(8)0.63%
Revenue beat(12)7
Avg Revenue beat(12)0.38%
Revenue beat(16)7
Avg Revenue beat(16)0.17%
PT rev (1m)-1.16%
PT rev (3m)-19.11%
EPS NQ rev (1m)-0.27%
EPS NQ rev (3m)-8.53%
EPS NY rev (1m)-0.01%
EPS NY rev (3m)-3.56%
Revenue NQ rev (1m)-0.13%
Revenue NQ rev (3m)-4.09%
Revenue NY rev (1m)-0.09%
Revenue NY rev (3m)-2.11%
Valuation
Industry RankSector Rank
PE 15.61
Fwd PE 13.56
P/S 0.87
P/FCF 16.41
P/OCF 10.72
P/B 5.47
P/tB 9.44
EV/EBITDA 8.83
EPS(TTM)5.2
EY6.4%
EPS(NY)5.99
Fwd EY7.37%
FCF(TTM)4.95
FCFY6.09%
OCF(TTM)7.57
OCFY9.33%
SpS93.13
BVpS14.84
TBVpS8.6
PEG (NY)2.6
PEG (5Y)0.93
Graham Number41.6658 (-48.68%)
Profitability
Industry RankSector Rank
ROA 12.59%
ROE 37.32%
ROCE 21.04%
ROIC 15.9%
ROICexc 17.25%
ROICexgc 21.42%
OM 7.86%
PM (TTM) 5.95%
GM 38.8%
FCFM 5.31%
ROA(3y)10.28%
ROA(5y)9.54%
ROE(3y)29.55%
ROE(5y)27.81%
ROIC(3y)13.23%
ROIC(5y)12.25%
ROICexc(3y)14.39%
ROICexc(5y)13.48%
ROICexgc(3y)18.26%
ROICexgc(5y)17.42%
ROCE(3y)17.51%
ROCE(5y)16.22%
ROICexgc growth 3Y9.28%
ROICexgc growth 5Y2.82%
ROICexc growth 3Y11.69%
ROICexc growth 5Y4.54%
OM growth 3Y10.84%
OM growth 5Y5.36%
PM growth 3Y13.39%
PM growth 5Y6%
GM growth 3Y1.89%
GM growth 5Y1.07%
F-Score6
Asset Turnover2.12
Health
Industry RankSector Rank
Debt/Equity 0.06
Debt/FCF 0.18
Debt/EBITDA 0.1
Cap/Depr 157.41%
Cap/Sales 2.82%
Interest Coverage 382.38
Cash Conversion 84.29%
Profit Quality 89.32%
Current Ratio 0.93
Quick Ratio 0.44
Altman-Z 4.51
F-Score6
WACC8.99%
ROIC/WACC1.77
Cap/Depr(3y)161.75%
Cap/Depr(5y)132.88%
Cap/Sales(3y)3.03%
Cap/Sales(5y)2.54%
Profit Quality(3y)96.98%
Profit Quality(5y)98.61%
High Growth Momentum
Growth
EPS 1Y (TTM)16.85%
EPS 3Y30.41%
EPS 5Y16.78%
EPS Q2Q%-5.52%
EPS Next Y6%
EPS Next 2Y6.29%
EPS Next 3Y7.93%
EPS Next 5Y7.26%
Revenue 1Y (TTM)14.08%
Revenue growth 3Y11.2%
Revenue growth 5Y6.36%
Sales Q2Q%4.15%
Revenue Next Year7.81%
Revenue Next 2Y7.58%
Revenue Next 3Y8.04%
Revenue Next 5Y8.21%
EBIT growth 1Y33.7%
EBIT growth 3Y23.26%
EBIT growth 5Y12.07%
EBIT Next Year29.3%
EBIT Next 3Y12.5%
EBIT Next 5Y10.52%
FCF growth 1Y12.75%
FCF growth 3Y23.67%
FCF growth 5Y4.69%
OCF growth 1Y10.97%
OCF growth 3Y24.47%
OCF growth 5Y7.71%

SPROUTS FARMERS MARKET INC / SFM Fundamental Analysis FAQ

Can you provide the ChartMill fundamental rating for SPROUTS FARMERS MARKET INC?

ChartMill assigns a fundamental rating of 6 / 10 to SFM.


Can you provide the valuation status for SPROUTS FARMERS MARKET INC?

ChartMill assigns a valuation rating of 5 / 10 to SPROUTS FARMERS MARKET INC (SFM). This can be considered as Fairly Valued.


Can you provide the profitability details for SPROUTS FARMERS MARKET INC?

SPROUTS FARMERS MARKET INC (SFM) has a profitability rating of 9 / 10.


What are the PE and PB ratios of SPROUTS FARMERS MARKET INC (SFM) stock?

The Price/Earnings (PE) ratio for SPROUTS FARMERS MARKET INC (SFM) is 15.61 and the Price/Book (PB) ratio is 5.47.


What is the earnings growth outlook for SPROUTS FARMERS MARKET INC?

The Earnings per Share (EPS) of SPROUTS FARMERS MARKET INC (SFM) is expected to grow by 6% in the next year.