Sprouts Farmers Market, Inc.

DB:1FA Stock Report

Market Cap: €6.3b

Sprouts Farmers Market Valuation

Is 1FA undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

0/6

Valuation Score 0/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 1FA when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 1FA (€61.44) is trading above our estimate of fair value (€52.26)

Significantly Below Fair Value: 1FA is trading above our estimate of fair value.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for 1FA?

Other financial metrics that can be useful for relative valuation.

1FA key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue1.2x
Enterprise Value/EBITDA15.8x
PEG Ratio4.3x

Price to Earnings Ratio vs Peers

How does 1FA's PE Ratio compare to its peers?

The above table shows the PE ratio for 1FA vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average25.4x
HAW Hawesko Holding
33.7x47.3%€274.0m
MSH WASGAU Produktions & Handels
15.4xn/a€66.0m
B4B Metro
39.2x48.1%€1.8b
KESKOB Kesko Oyj
13.5x3.1%€6.4b
1FA Sprouts Farmers Market
26.1x6.1%€6.8b

Price-To-Earnings vs Peers: 1FA is expensive based on its Price-To-Earnings Ratio (26.1x) compared to the peer average (25.4x).


Price to Earnings Ratio vs Industry

How does 1FA's PE Ratio compare vs other companies in the European Consumer Retailing Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a10.0%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a10.0%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: 1FA is expensive based on its Price-To-Earnings Ratio (26.1x) compared to the European Consumer Retailing industry average (14.8x).


Price to Earnings Ratio vs Fair Ratio

What is 1FA's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

1FA PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio26.1x
Fair PE Ratio13.7x

Price-To-Earnings vs Fair Ratio: 1FA is expensive based on its Price-To-Earnings Ratio (26.1x) compared to the estimated Fair Price-To-Earnings Ratio (13.7x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 1FA forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€61.44
€53.98
-12.1%
21.1%€74.78€28.98n/a12
Apr ’25€58.92
€52.22
-11.4%
19.5%€66.10€28.86n/a11
Mar ’25€57.68
€49.54
-14.1%
17.8%€64.54€28.58n/a11
Feb ’25€46.53
€37.77
-18.8%
16.4%€45.24€24.01n/a11
Jan ’25€43.06
€35.89
-16.6%
16.7%€44.88€23.82n/a11
Dec ’24€39.38
€34.60
-12.1%
15.2%€41.07€23.73n/a11
Nov ’24€39.62
€35.70
-9.9%
15.3%€42.58€24.60n/a11
Oct ’24€40.37
€33.73
-16.4%
13.2%€40.60€24.55n/a11
Sep ’24€37.54
€32.58
-13.2%
13.0%€39.47€23.86n/a12
Aug ’24€35.54
€32.13
-9.6%
12.6%€38.19€23.64n/a12
Jul ’24€33.22
€32.97
-0.8%
14.3%€42.09€24.32n/a12
Jun ’24€30.42
€32.03
+5.3%
13.8%€41.04€23.71n/a13
May ’24€31.57
€29.94
-5.2%
14.2%€36.46€22.79n/a13
Apr ’24€31.50
€30.52
-3.1%
14.5%€36.90€23.06€58.9212
Mar ’24€28.45
€28.95
+1.8%
14.7%€34.59€19.12€57.6813
Feb ’24€29.16
€28.95
-0.7%
14.7%€34.59€19.12€46.5313
Jan ’24€30.36
€29.92
-1.5%
14.8%€35.83€19.80€43.0613
Dec ’23€32.68
€30.36
-7.1%
14.8%€36.80€20.34€39.3813
Nov ’23€29.72
€29.75
+0.1%
16.6%€38.84€21.46€39.6214
Oct ’23€28.31
€29.18
+3.1%
16.9%€38.19€21.11€40.3714
Sep ’23€28.57
€28.70
+0.5%
16.8%€38.13€21.07€37.5414
Aug ’23€26.76
€27.46
+2.6%
16.8%€36.19€19.56€35.5414
Jul ’23€23.74
€26.46
+11.5%
16.8%€34.96€18.90€33.2215
Jun ’23€25.25
€27.12
+7.4%
16.4%€35.66€20.24€30.4215
May ’23€27.90
€28.07
+0.6%
19.6%€37.93€19.91€31.5715
Apr ’23€28.75
€25.73
-10.5%
18.6%€35.29€19.00€31.5016

Analyst Forecast: Target price is lower than the current share price.


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