Sprouts Farmers Market
Market Cap
US$2.9b
Last Updated
2021/01/27 23:55 UTC
Data Sources
Company Financials +
Executive Summary
Sprouts Farmers Market, Inc., a healthy grocery store, provides fresh, natural, and organic food products in the United States. More Details
Rewards
Risk Analysis
Earnings are forecast to decline by an average of 2% per year for the next 3 years
Snowflake Analysis
Outstanding track record and fair value.
Similar Companies
Share Price & News
How has Sprouts Farmers Market's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: SFM is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: SFM's weekly volatility (5%) has been stable over the past year.
Market Performance
7 Day Return
17.2%
SFM
0.5%
US Consumer Retailing
-2.7%
US Market
1 Year Return
56.7%
SFM
20.3%
US Consumer Retailing
21.2%
US Market
Return vs Industry: SFM exceeded the US Consumer Retailing industry which returned 21.4% over the past year.
Return vs Market: SFM exceeded the US Market which returned 24.3% over the past year.
Shareholder returns
| SFM | Industry | Market | |
|---|---|---|---|
| 7 Day | 17.2% | 0.5% | -2.7% |
| 30 Day | 19.7% | 1.7% | 1.8% |
| 90 Day | 26.3% | 6.3% | 16.4% |
| 1 Year | 56.7%56.7% | 22.9%20.3% | 23.9%21.2% |
| 3 Year | -11.9%-11.9% | 40.9%32.5% | 43.7%34.2% |
| 5 Year | 3.8%3.8% | 98.9%78.1% | 124.3%99.2% |
Long-Term Price Volatility Vs. Market
How volatile is Sprouts Farmers Market's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 day ago | Simply Wall St
Calculating The Fair Value Of Sprouts Farmers Market, Inc. (NASDAQ:SFM)1 month ago | Simply Wall St
Is Sprouts Farmers Market, Inc.'s (NASDAQ:SFM) Latest Stock Performance Being Led By Its Strong Fundamentals?1 month ago | Simply Wall St
Sprouts Farmers Market's(NASDAQ:SFM) Share Price Is Down 22% Over The Past Five Years.Valuation
Is Sprouts Farmers Market undervalued compared to its fair value and its price relative to the market?
15.2%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: SFM ($24.61) is trading below our estimate of fair value ($29.01)
Significantly Below Fair Value: SFM is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: SFM is good value based on its PE Ratio (11.6x) compared to the US Consumer Retailing industry average (15.7x).
PE vs Market: SFM is good value based on its PE Ratio (11.6x) compared to the US market (21.2x).
Price to Earnings Growth Ratio
PEG Ratio: SFM's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: SFM is overvalued based on its PB Ratio (3.6x) compared to the US Consumer Retailing industry average (2.3x).
Next Steps
Future Growth
How is Sprouts Farmers Market forecast to perform in the next 1 to 3 years based on estimates from 18 analysts?
-2.0%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SFM's earnings are forecast to decline over the next 3 years (-2% per year).
Earnings vs Market: SFM's earnings are forecast to decline over the next 3 years (-2% per year).
High Growth Earnings: SFM's earnings are forecast to decline over the next 3 years.
Revenue vs Market: SFM's revenue (6.3% per year) is forecast to grow slower than the US market (10.6% per year).
High Growth Revenue: SFM's revenue (6.3% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: SFM's Return on Equity is forecast to be high in 3 years time (23.7%)
Next Steps
Past Performance
How has Sprouts Farmers Market performed over the past 5 years?
9.7%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SFM has high quality earnings.
Growing Profit Margin: SFM's current net profit margins (4%) are higher than last year (2.4%).
Past Earnings Growth Analysis
Earnings Trend: SFM's earnings have grown by 9.7% per year over the past 5 years.
Accelerating Growth: SFM's earnings growth over the past year (91.6%) exceeds its 5-year average (9.7% per year).
Earnings vs Industry: SFM earnings growth over the past year (91.6%) exceeded the Consumer Retailing industry 57.8%.
Return on Equity
High ROE: SFM's Return on Equity (31%) is considered high.
Next Steps
Financial Health
How is Sprouts Farmers Market's financial position?
Financial Position Analysis
Short Term Liabilities: SFM's short term assets ($438.0M) do not cover its short term liabilities ($509.6M).
Long Term Liabilities: SFM's short term assets ($438.0M) do not cover its long term liabilities ($1.5B).
Debt to Equity History and Analysis
Debt Level: SFM's debt to equity ratio (35.7%) is considered satisfactory.
Reducing Debt: SFM's debt to equity ratio has increased from 19.6% to 35.7% over the past 5 years.
Debt Coverage: SFM's debt is well covered by operating cash flow (153.4%).
Interest Coverage: SFM's interest payments on its debt are well covered by EBIT (20.8x coverage).
Balance Sheet
Next Steps
Dividend
What is Sprouts Farmers Market current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate SFM's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate SFM's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if SFM's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if SFM's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of SFM's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
0.9yrs
Average management tenure
CEO
Jack Sinclair (59 yo)
1.58yrs
Tenure
US$6,739,494
Compensation
Mr. Jack L. Sinclair has been Chief Executive Officer and a Member of Board of Directors of Sprouts Farmers Market, Inc. Since June 24, 2019. He served as Chief Executive Officer of 99 Cents only Stores LL...
CEO Compensation Analysis
Compensation vs Market: Jack's total compensation ($USD6.74M) is above average for companies of similar size in the US market ($USD5.03M).
Compensation vs Earnings: Insufficient data to compare Jack's compensation with company performance.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Director | 1.58yrs | US$6.74m | 0.028% $ 815.4k | |
| Chief Operations Officer | 4.25yrs | US$1.08m | no data | |
| Chief Human Resources & Legal Officer and Corporate Secretary | 9yrs | US$1.13m | 0.011% $ 328.0k | |
| Chief Format Officer | 2.42yrs | US$1.11m | 0.0069% $ 199.7k | |
| CFO & Treasurer | 0.92yr | no data | no data | |
| Principal Accounting Officer | 0.75yr | no data | no data | |
| Vice President of Investor Relations & Treasury | no data | US$321.36k | no data | |
| Senior VP & Chief Marketing Officer | 0.75yr | no data | no data | |
| Chief Fresh Merchandising Officer | 1yr | no data | no data | |
| Senior Vice President of Store Operations - East Division | 0.58yr | no data | no data | |
| Senior Vice President of Information Technology | 0.58yr | no data | no data | |
| Senior Vice President of Store Operations - West Division | 0.58yr | no data | no data |
0.9yrs
Average Tenure
49yo
Average Age
Experienced Management: SFM's management team is not considered experienced ( 0.9 years average tenure), which suggests a new team.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Director | 1.58yrs | US$6.74m | 0.028% $ 815.4k | |
| Independent Director | 8yrs | US$2.07m | 0.044% $ 1.3m | |
| Independent Non-Executive Chairman | 3.92yrs | US$240.17k | 0.033% $ 971.6k | |
| Independent Director | 7.67yrs | US$230.17k | 0.020% $ 590.1k | |
| Independent Director | 1.17yrs | US$63.88k | 0.013% $ 379.1k | |
| Independent Director | 3.25yrs | US$200.17k | 0.011% $ 310.6k | |
| Independent Director | 0.92yr | no data | no data | |
| Independent Director | 4.42yrs | US$210.17k | 0.022% $ 627.6k |
3.6yrs
Average Tenure
59yo
Average Age
Experienced Board: SFM's board of directors are considered experienced (3.6 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: SFM insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Sprouts Farmers Market, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Sprouts Farmers Market, Inc.
- Ticker: SFM
- Exchange: NasdaqGS
- Founded: 2002
- Industry: Food Retail
- Sector: Consumer Retailing
- Market Cap: US$2.903b
- Shares outstanding: 117.95m
- Website: https://www.sprouts.com
Number of Employees
Location
- Sprouts Farmers Market, Inc.
- 5455 East High Street
- Suite 111
- Phoenix
- Arizona
- 85054
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| SFM | NasdaqGS (Nasdaq Global Select) | Yes | Common Stock | US | USD | Aug 2013 |
| 1FA | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Aug 2013 |
Biography
Sprouts Farmers Market, Inc., a healthy grocery store, provides fresh, natural, and organic food products in the United States. Its stores offer fresh produce, packaged groceries, meat and seafood, deli, v...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/01/27 23:55 |
| End of Day Share Price | 2021/01/27 00:00 |
| Earnings | 2020/09/27 |
| Annual Earnings | 2019/12/29 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.