SPROUTS FARMERS MARKET INC (SFM) Stock Fundamental Analysis

USA • Nasdaq • NASDAQ:SFM • US85208M1027

66.34 USD
-3.14 (-4.52%)
At close: Feb 5, 2026
66.53 USD
+0.19 (+0.29%)
Pre-Market: 2/6/2026, 7:26:21 AM
Fundamental Rating

8

SFM gets a fundamental rating of 8 out of 10. The analysis compared the fundamentals against 38 industry peers in the Consumer Staples Distribution & Retail industry. SFM has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. An interesting combination arises when we look at growth and value: SFM is growing strongly while it also seems undervalued. These ratings would make SFM suitable for value and growth and quality investing!


Dividend Valuation Growth Profitability Health

9

1. Profitability

1.1 Basic Checks

  • In the past year SFM was profitable.
  • SFM had a positive operating cash flow in the past year.
  • Each year in the past 5 years SFM has been profitable.
  • SFM had a positive operating cash flow in each of the past 5 years.
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 200M 400M 600M

1.2 Ratios

  • The Return On Assets of SFM (12.79%) is better than 89.47% of its industry peers.
  • The Return On Equity of SFM (35.79%) is better than 92.11% of its industry peers.
  • SFM has a Return On Invested Capital of 15.78%. This is amongst the best in the industry. SFM outperforms 94.74% of its industry peers.
  • SFM had an Average Return On Invested Capital over the past 3 years of 11.53%. This is significantly below the industry average of 28.25%.
  • The 3 year average ROIC (11.53%) for SFM is below the current ROIC(15.78%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 12.79%
ROE 35.79%
ROIC 15.78%
ROA(3y)8.91%
ROA(5y)9.07%
ROE(3y)25.43%
ROE(5y)26.87%
ROIC(3y)11.53%
ROIC(5y)11.58%
SFM Yearly ROA, ROE, ROICSFM Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 10 20 30

1.3 Margins

  • With an excellent Profit Margin value of 5.93%, SFM belongs to the best of the industry, outperforming 89.47% of the companies in the same industry.
  • SFM's Profit Margin has improved in the last couple of years.
  • SFM has a Operating Margin of 7.84%. 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.
  • With an excellent Gross Margin value of 38.83%, SFM belongs to the best of the industry, outperforming 84.21% of the companies in the same industry.
  • SFM's Gross Margin has improved in the last couple of years.
Industry RankSector Rank
OM 7.84%
PM (TTM) 5.93%
GM 38.83%
OM growth 3Y6.47%
OM growth 5Y10.94%
PM growth 3Y7.19%
PM growth 5Y13.18%
GM growth 3Y1.71%
GM growth 5Y2.53%
SFM Yearly Profit, Operating, Gross MarginsSFM Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 10 20 30

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ROAROEROICOperating and Profit MarginShow most profitable peers

8

2. Health

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so SFM is still creating some 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 has been reduced compared to a year ago.
SFM Yearly Shares OutstandingSFM Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 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 1B 2B 3B

2.2 Solvency

  • An Altman-Z score of 4.44 indicates that SFM is not in any danger for bankruptcy at the moment.
  • SFM has a Altman-Z score of 4.44. This is in the better half of the industry: SFM outperforms 60.53% of its industry peers.
  • The Debt to FCF ratio of SFM is 0.12, which is an excellent value as it means it would take SFM, only 0.12 years of fcf income to pay off all of its debts.
  • Looking at the Debt to FCF ratio, with a value of 0.12, SFM belongs to the top of the industry, outperforming 97.37% of the companies in the same industry.
  • SFM has a Debt/Equity ratio of 0.04. This is a healthy value indicating a solid balance between debt and equity.
  • SFM has a better Debt to Equity ratio (0.04) than 86.84% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.04
Debt/FCF 0.12
Altman-Z 4.44
ROIC/WACC1.78
WACC8.89%
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 200M 400M 600M 800M 1B

2.3 Liquidity

  • SFM has a Current Ratio of 1.05. This is a normal value and indicates that SFM is financially healthy and should not expect problems in meeting its short term obligations.
  • The Current ratio of SFM (1.05) is worse than 60.53% of its industry peers.
  • A Quick Ratio of 0.53 indicates that SFM may have some problems paying its short term obligations.
  • Looking at the Quick ratio, with a value of 0.53, SFM is in line with its industry, outperforming 47.37% of the companies in the same industry.
  • The current and quick ratio evaluation for SFM is rather negative, while it does have 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 1.05
Quick Ratio 0.53
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 200M 400M 600M

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

7

3. Growth

3.1 Past

  • SFM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 49.42%, which is quite impressive.
  • The Earnings Per Share has been growing by 24.64% on average over the past years. This is a very strong growth
  • The Revenue has grown by 16.60% in the past year. This is quite good.
  • SFM shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.50% yearly.
EPS 1Y (TTM)49.42%
EPS 3Y21.43%
EPS 5Y24.64%
EPS Q2Q%34.07%
Revenue 1Y (TTM)16.6%
Revenue growth 3Y8.16%
Revenue growth 5Y6.5%
Sales Q2Q%13.09%

3.2 Future

  • SFM is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 16.28% yearly.
  • Based on estimates for the next years, SFM will show a quite strong growth in Revenue. The Revenue will grow by 10.63% on average per year.
EPS Next Y41.5%
EPS Next 2Y24.47%
EPS Next 3Y20.51%
EPS Next 5Y16.28%
Revenue Next Year14.66%
Revenue Next 2Y12.38%
Revenue Next 3Y11.49%
Revenue Next 5Y10.63%

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

8

4. Valuation

4.1 Price/Earnings Ratio

  • SFM is valuated correctly with a Price/Earnings ratio of 12.83.
  • Based on the Price/Earnings ratio, SFM is valued cheaply inside the industry as 84.21% of the companies are valued more expensively.
  • Compared to an average S&P500 Price/Earnings ratio of 27.67, SFM is valued rather cheaply.
  • The Price/Forward Earnings ratio is 11.39, which indicates a very decent 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 86.84% of the companies listed in the same industry.
  • SFM is valuated cheaply when we compare the Price/Forward Earnings ratio to 27.20, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 12.83
Fwd PE 11.39
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

  • Based on the Enterprise Value to EBITDA ratio, SFM is valued a bit cheaper than 71.05% of the companies in the same industry.
  • SFM's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. SFM is cheaper than 76.32% of the companies in the same industry.
Industry RankSector Rank
P/FCF 14.12
EV/EBITDA 7.46
SFM Per share dataSFM EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 20 40 60 80

4.3 Compensation for Growth

  • SFM's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • The excellent profitability rating of SFM may justify a higher PE ratio.
  • A more expensive valuation may be justified as SFM's earnings are expected to grow with 20.51% in the coming years.
PEG (NY)0.31
PEG (5Y)0.52
EPS Next 2Y24.47%
EPS Next 3Y20.51%

More info and screens

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

0

5. Dividend

5.1 Amount

  • No dividends for SFM!.
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 (2/5/2026, 8:00:02 PM)

Premarket: 66.53 +0.19 (+0.29%)

66.34

-3.14 (-4.52%)

Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Earnings (Last)10-29
Earnings (Next)02-19
Inst Owners104.35%
Inst Owner Change-2.41%
Ins Owners0.45%
Ins Owner Change-1.6%
Market Cap6.46B
Revenue(TTM)8.65B
Net Income(TTM)513.45M
Analysts75
Price Target118.09 (78.01%)
Short Float %9.21%
Short Ratio3.66
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)5.72%
Min EPS beat(2)3.49%
Max EPS beat(2)7.94%
EPS beat(4)4
Avg EPS beat(4)8.41%
Min EPS beat(4)3.49%
Max EPS beat(4)15.57%
EPS beat(8)8
Avg EPS beat(8)10.9%
EPS beat(12)12
Avg EPS beat(12)10.69%
EPS beat(16)16
Avg EPS beat(16)10.76%
Revenue beat(2)1
Avg Revenue beat(2)-0.41%
Min Revenue beat(2)-2.07%
Max Revenue beat(2)1.26%
Revenue beat(4)3
Avg Revenue beat(4)0.13%
Min Revenue beat(4)-2.07%
Max Revenue beat(4)1.26%
Revenue beat(8)6
Avg Revenue beat(8)0.69%
Revenue beat(12)7
Avg Revenue beat(12)0.47%
Revenue beat(16)8
Avg Revenue beat(16)0.29%
PT rev (1m)-3.46%
PT rev (3m)-27.64%
EPS NQ rev (1m)-0.09%
EPS NQ rev (3m)-9.51%
EPS NY rev (1m)-0.02%
EPS NY rev (3m)-1.16%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.42%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.09%
Valuation
Industry RankSector Rank
PE 12.83
Fwd PE 11.39
P/S 0.75
P/FCF 14.12
P/OCF 9.2
P/B 4.5
P/tB 7.65
EV/EBITDA 7.46
EPS(TTM)5.17
EY7.79%
EPS(NY)5.83
Fwd EY8.78%
FCF(TTM)4.7
FCFY7.08%
OCF(TTM)7.21
OCFY10.87%
SpS88.87
BVpS14.73
TBVpS8.67
PEG (NY)0.31
PEG (5Y)0.52
Graham Number41.4
Profitability
Industry RankSector Rank
ROA 12.79%
ROE 35.79%
ROCE 20.99%
ROIC 15.78%
ROICexc 17.53%
ROICexgc 21.99%
OM 7.84%
PM (TTM) 5.93%
GM 38.83%
FCFM 5.29%
ROA(3y)8.91%
ROA(5y)9.07%
ROE(3y)25.43%
ROE(5y)26.87%
ROIC(3y)11.53%
ROIC(5y)11.58%
ROICexc(3y)12.71%
ROICexc(5y)12.73%
ROICexgc(3y)16.51%
ROICexgc(5y)16.78%
ROCE(3y)15.33%
ROCE(5y)15.4%
ROICexgc growth 3Y5.31%
ROICexgc growth 5Y12.76%
ROICexc growth 3Y7.03%
ROICexc growth 5Y13.66%
OM growth 3Y6.47%
OM growth 5Y10.94%
PM growth 3Y7.19%
PM growth 5Y13.18%
GM growth 3Y1.71%
GM growth 5Y2.53%
F-Score7
Asset Turnover2.16
Health
Industry RankSector Rank
Debt/Equity 0.04
Debt/FCF 0.12
Debt/EBITDA 0.06
Cap/Depr 160.73%
Cap/Sales 2.83%
Interest Coverage 401.75
Cash Conversion 84.57%
Profit Quality 89.12%
Current Ratio 1.05
Quick Ratio 0.53
Altman-Z 4.44
F-Score7
WACC8.89%
ROIC/WACC1.78
Cap/Depr(3y)141.81%
Cap/Depr(5y)120.69%
Cap/Sales(3y)2.74%
Cap/Sales(5y)2.36%
Profit Quality(3y)98.77%
Profit Quality(5y)106.63%
High Growth Momentum
Growth
EPS 1Y (TTM)49.42%
EPS 3Y21.43%
EPS 5Y24.64%
EPS Q2Q%34.07%
EPS Next Y41.5%
EPS Next 2Y24.47%
EPS Next 3Y20.51%
EPS Next 5Y16.28%
Revenue 1Y (TTM)16.6%
Revenue growth 3Y8.16%
Revenue growth 5Y6.5%
Sales Q2Q%13.09%
Revenue Next Year14.66%
Revenue Next 2Y12.38%
Revenue Next 3Y11.49%
Revenue Next 5Y10.63%
EBIT growth 1Y40.74%
EBIT growth 3Y15.16%
EBIT growth 5Y18.15%
EBIT Next Year67.58%
EBIT Next 3Y25.95%
EBIT Next 5Y19.03%
FCF growth 1Y72.54%
FCF growth 3Y16.49%
FCF growth 5Y19.25%
OCF growth 1Y48.33%
OCF growth 3Y20.93%
OCF growth 5Y12.68%

SPROUTS FARMERS MARKET INC / SFM FAQ

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

ChartMill assigns a fundamental rating of 8 / 10 to SFM.


What is the valuation status for SFM stock?

ChartMill assigns a valuation rating of 8 / 10 to SPROUTS FARMERS MARKET INC (SFM). This can be considered as Undervalued.


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 41.5% in the next year.