77.2 USD
+0.11 (+0.14%)
77.2 USD
0 (0%)
SFM gets a fundamental rating of 7 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. SFM is evaluated to be cheap and growing strongly. This does not happen too often! These ratings could make SFM a good candidate for value and growth and quality investing.
1. Profitability
1.1 Basic Checks
In the past year SFM was profitable.
SFM had a positive operating cash flow in the past year.
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.
1.2 Ratios
With an excellent Return On Assets value of 12.79%, SFM belongs to the best of the industry, outperforming 89.47% of the companies in the same industry.
SFM's Return On Equity of 35.79% is amongst the best of the industry. SFM outperforms 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 92.11% of its industry peers.
The Average Return On Invested Capital over the past 3 years for SFM is significantly below the industry average of 28.32%.
The 3 year average ROIC (11.53%) for SFM is below the current ROIC(15.78%), indicating increased profibility in the last year.
| Industry Rank | Sector 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%
1.3 Margins
SFM has a Profit Margin of 5.93%. This is amongst the best in 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 better Operating Margin (7.84%) than 89.47% of its industry peers.
SFM's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 38.83%, SFM belongs to the top of the industry, outperforming 84.21% of the companies in the same industry.
In the last couple of years the Gross Margin of SFM has grown nicely.
| Industry Rank | Sector 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%
2. Health
2.1 Basic Checks
SFM has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
SFM has less shares outstanding than it did 1 year ago.
SFM has less shares outstanding than it did 5 years ago.
SFM has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 4.68 indicates that SFM is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 4.68, SFM is in the better half of the industry, outperforming 65.79% of the companies in the same industry.
SFM has a debt to FCF ratio of 0.12. This is a very positive value and a sign of high solvency as it would only need 0.12 years to pay back of 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 Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | 0.12 | ||
| Altman-Z | 4.68 |
ROIC/WACC1.8
WACC8.79%
2.3 Liquidity
A Current Ratio of 1.05 indicates that SFM should not have too much problems paying 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.
The Quick ratio of SFM (0.53) is comparable to the rest of the industry.
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 Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.05 | ||
| Quick Ratio | 0.53 |
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
SFM shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 16.60%.
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.
The Revenue is expected to grow by 10.63% on average over the next years. This is quite good.
EPS Next Y41.53%
EPS Next 2Y24.33%
EPS Next 3Y20.39%
EPS Next 5Y16.28%
Revenue Next Year14.66%
Revenue Next 2Y12.24%
Revenue Next 3Y11.39%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 14.93 indicates a correct valuation of SFM.
Compared to the rest of the industry, the Price/Earnings ratio of SFM indicates a somewhat cheap valuation: SFM is cheaper than 73.68% of the companies listed in the same industry.
SFM's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.19.
Based on the Price/Forward Earnings ratio of 13.28, the valuation of SFM can be described as correct.
SFM's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. SFM is cheaper than 73.68% of the companies in the same industry.
SFM is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.92, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.93 | ||
| Fwd PE | 13.28 |
4.2 Price Multiples
68.42% of the companies in the same industry are more expensive than SFM, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of SFM indicates a somewhat cheap valuation: SFM is cheaper than 68.42% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.43 | ||
| EV/EBITDA | 8.73 |
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 20.39% in the coming years.
PEG (NY)0.36
PEG (5Y)0.61
EPS Next 2Y24.33%
EPS Next 3Y20.39%
5. Dividend
5.1 Amount
SFM does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
77.2
+0.11 (+0.14%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Earnings (Last)
Earnings (Next)
Inst Owners104.35%
Inst Owner Change1.21%
Ins Owners0.45%
Ins Owner Change-1.6%
Market Cap7.52B
Revenue(TTM)8.65B
Net Income(TTM)513.45M
Analysts75
Price Target122.32 (58.45%)
Short Float %8.37%
Short Ratio3.09
Dividend
| Industry Rank | Sector 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)0%
PT rev (3m)-35.18%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-10.99%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.12%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-4.19%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.09%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.93 | ||
| Fwd PE | 13.28 | ||
| P/S | 0.87 | ||
| P/FCF | 16.43 | ||
| P/OCF | 10.7 | ||
| P/B | 5.24 | ||
| P/tB | 8.9 | ||
| EV/EBITDA | 8.73 |
EPS(TTM)5.17
EY6.7%
EPS(NY)5.81
Fwd EY7.53%
FCF(TTM)4.7
FCFY6.09%
OCF(TTM)7.21
OCFY9.34%
SpS88.87
BVpS14.73
TBVpS8.67
PEG (NY)0.36
PEG (5Y)0.61
Graham Number41.4
Profitability
| Industry Rank | Sector 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 Rank | Sector 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 | 4.68 |
F-Score7
WACC8.79%
ROIC/WACC1.8
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 Y41.53%
EPS Next 2Y24.33%
EPS Next 3Y20.39%
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 2Y12.24%
Revenue Next 3Y11.39%
Revenue Next 5Y10.63%
EBIT growth 1Y40.74%
EBIT growth 3Y15.16%
EBIT growth 5Y18.15%
EBIT Next Year67.71%
EBIT Next 3Y25.62%
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 7 / 10 to SFM.
What is the valuation status for SFM stock?
ChartMill assigns a valuation rating of 7 / 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 41.53% in the next year.