SPROUTS FARMERS MARKET INC (SFM) Stock Fundamental Analysis

NASDAQ:SFM • US85208M1027

73.87 USD
-1.87 (-2.47%)
At close: Feb 27, 2026
74.09 USD
+0.22 (+0.3%)
After Hours: 2/27/2026, 8:00:02 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

7

Overall SFM gets a fundamental rating of 7 out of 10. We evaluated SFM against 38 industry peers in the Consumer Staples Distribution & Retail industry. SFM scores excellent points on both the profitability and health parts. This is a solid base for a good stock. SFM is not valued too expensively and it also shows a decent growth rate. These ratings could make SFM a good candidate for quality investing.


Dividend Valuation Growth Profitability Health

9

1. Profitability

1.1 Basic Checks

  • In the past year SFM was profitable.
  • In the past year SFM had a positive cash flow from operations.
  • SFM had positive earnings in each of the past 5 years.
  • 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

  • Looking at the Return On Assets, with a value of 12.59%, SFM belongs to the top of the industry, outperforming 89.47% of the companies in the same industry.
  • With an excellent Return On Equity value of 37.32%, SFM belongs to the best of the industry, outperforming 92.11% of the companies in the same industry.
  • SFM's Return On Invested Capital of 15.90% is amongst the best of the industry. SFM outperforms 94.74% of its industry peers.
  • Measured over the past 3 years, the Average Return On Invested Capital for SFM is significantly below the industry average of 28.42%.
  • 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's Profit Margin of 5.95% is amongst the best of the industry. SFM outperforms 89.47% of its industry peers.
  • SFM's Profit Margin has improved in the last couple of years.
  • SFM has a Operating Margin of 7.86%. This is amongst the best in the industry. SFM outperforms 89.47% of its industry peers.
  • In the last couple of years the Operating Margin of SFM has grown nicely.
  • Looking at the Gross Margin, with a value of 38.80%, SFM belongs to the top of the industry, outperforming 84.21% of the companies in the same industry.
  • SFM's Gross Margin has been stable in the last couple of years.
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

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ROAROEROICOperating and Profit MarginShow most profitable peers

7

2. Health

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so SFM is creating value.
  • SFM has less shares outstanding than it did 1 year ago.
  • Compared to 5 years ago, SFM has less shares outstanding
  • The debt/assets ratio for SFM is higher compared to a year ago.
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

  • SFM has an Altman-Z score of 4.40. This indicates that SFM is financially healthy and has little risk of bankruptcy at the moment.
  • The Altman-Z score of SFM (4.40) is better than 60.53% of its industry peers.
  • SFM has a debt to FCF ratio of 0.18. This is a very positive value and a sign of high solvency as it would only need 0.18 years to pay back of all of its debts.
  • SFM's Debt to FCF ratio of 0.18 is amongst the best of the industry. SFM outperforms 97.37% of its industry peers.
  • A Debt/Equity ratio of 0.06 indicates that SFM is not too dependend on debt financing.
  • The Debt to Equity ratio of SFM (0.06) is better than 86.84% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.06
Debt/FCF 0.18
Altman-Z 4.4
ROIC/WACC1.86
WACC8.57%
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

  • A Current Ratio of 0.93 indicates that SFM may have some problems paying its short term obligations.
  • With a Current ratio value of 0.93, SFM is not doing good in the industry: 73.68% of the companies in the same industry are doing better.
  • A Quick Ratio of 0.44 indicates that SFM may have some problems paying its short term obligations.
  • With a Quick ratio value of 0.44, SFM is not doing good in the industry: 65.79% of the companies in the same industry are doing better.
  • 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

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

6

3. Growth

3.1 Past

  • The Earnings Per Share has grown by an impressive 40.96% over the past year.
  • Measured over the past years, SFM shows a quite strong growth in Earnings Per Share. The EPS has been growing by 16.78% on average per year.
  • Looking at the last year, SFM shows a quite strong growth in Revenue. The Revenue has grown by 14.08% in the last year.
  • SFM shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.36% yearly.
EPS 1Y (TTM)40.96%
EPS 3Y30.41%
EPS 5Y16.78%
EPS Q2Q%16.46%
Revenue 1Y (TTM)14.08%
Revenue growth 3Y11.2%
Revenue growth 5Y6.36%
Sales Q2Q%7.64%

3.2 Future

  • The Earnings Per Share is expected to grow by 11.27% on average over the next years. This is quite good.
  • SFM is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.03% yearly.
EPS Next Y9.93%
EPS Next 2Y11.45%
EPS Next 3Y11.34%
EPS Next 5Y11.27%
Revenue Next Year9.83%
Revenue Next 2Y9.72%
Revenue Next 3Y9.6%
Revenue Next 5Y9.03%

3.3 Evolution

  • Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past 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 8

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Find the best growth stocksShow best growing peers

6

4. Valuation

4.1 Price/Earnings Ratio

  • SFM is valuated correctly with a Price/Earnings ratio of 13.94.
  • Based on the Price/Earnings ratio, SFM is valued a bit cheaper than 78.95% of the companies in the same industry.
  • SFM's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.07.
  • With a Price/Forward Earnings ratio of 12.68, SFM is valued correctly.
  • Based on the Price/Forward Earnings ratio, SFM is valued a bit cheaper than the industry average as 78.95% of the companies are valued more expensively.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 28.05, SFM is valued rather cheaply.
Industry RankSector Rank
PE 13.94
Fwd PE 12.68
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

  • SFM's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. SFM is cheaper than 71.05% of the companies in the same industry.
  • Based on the Price/Free Cash Flow ratio, SFM is valued a bit cheaper than the industry average as 76.32% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF 15.38
EV/EBITDA 8.26
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 PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
  • SFM has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)1.4
PEG (5Y)0.83
EPS Next 2Y11.45%
EPS Next 3Y11.34%

More info and screens

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

0

5. Dividend

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

SPROUTS FARMERS MARKET INC

NASDAQ:SFM (2/27/2026, 8:00:02 PM)

After market: 74.09 +0.22 (+0.3%)

73.87

-1.87 (-2.47%)

Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Earnings (Last)02-19
Earnings (Next)04-28
Inst Owners104.35%
Inst Owner Change-1.4%
Ins Owners0.45%
Ins Owner Change-0.78%
Market Cap7.19B
Revenue(TTM)8.81B
Net Income(TTM)523.67M
Analysts74.29
Price Target97.33 (31.76%)
Short Float %11.13%
Short Ratio4.17
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)-17.58%
PT rev (3m)-20.43%
EPS NQ rev (1m)-7.59%
EPS NQ rev (3m)-7.26%
EPS NY rev (1m)0.02%
EPS NY rev (3m)-0.4%
Revenue NQ rev (1m)-3.72%
Revenue NQ rev (3m)-3.72%
Revenue NY rev (1m)-0.28%
Revenue NY rev (3m)-0.56%
Valuation
Industry RankSector Rank
PE 13.94
Fwd PE 12.68
P/S 0.82
P/FCF 15.38
P/OCF 10.05
P/B 5.13
P/tB 8.85
EV/EBITDA 8.26
EPS(TTM)5.3
EY7.17%
EPS(NY)5.83
Fwd EY7.89%
FCF(TTM)4.8
FCFY6.5%
OCF(TTM)7.35
OCFY9.95%
SpS90.44
BVpS14.41
TBVpS8.35
PEG (NY)1.4
PEG (5Y)0.83
Graham Number41.45
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 4.4
F-Score6
WACC8.57%
ROIC/WACC1.86
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)40.96%
EPS 3Y30.41%
EPS 5Y16.78%
EPS Q2Q%16.46%
EPS Next Y9.93%
EPS Next 2Y11.45%
EPS Next 3Y11.34%
EPS Next 5Y11.27%
Revenue 1Y (TTM)14.08%
Revenue growth 3Y11.2%
Revenue growth 5Y6.36%
Sales Q2Q%7.64%
Revenue Next Year9.83%
Revenue Next 2Y9.72%
Revenue Next 3Y9.6%
Revenue Next 5Y9.03%
EBIT growth 1Y33.7%
EBIT growth 3Y23.26%
EBIT growth 5Y12.07%
EBIT Next Year30.84%
EBIT Next 3Y12.51%
EBIT Next 5Y14.54%
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 FAQ

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

ChartMill assigns a fundamental rating of 7 / 10 to SFM.


What is the valuation status for SFM stock?

ChartMill assigns a valuation rating of 6 / 10 to SPROUTS FARMERS MARKET INC (SFM). This can be considered as Fairly Valued.


How profitable is SPROUTS FARMERS MARKET INC (SFM) stock?

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


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 9.93% in the next year.