79.68 USD
+1.56 (+2%)
79.68 USD
0 (0%)
Taking everything into account, SFM scores 7 out of 10 in our fundamental rating. SFM was compared to 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 evaluated to be cheap and growing strongly. This does not happen too often! These ratings would make SFM suitable 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.
In the past 5 years SFM has always been profitable.
In the past 5 years SFM always reported a positive cash flow from operatings.
1.2 Ratios
SFM has a better Return On Assets (12.79%) than 92.11% of its industry peers.
SFM's Return On Equity of 35.79% is amongst the best of the industry. SFM outperforms 94.74% of its industry peers.
Looking at the Return On Invested Capital, with a value of 15.78%, SFM belongs to the top of the industry, outperforming 94.74% of the companies in the same industry.
SFM had an Average Return On Invested Capital over the past 3 years of 11.53%. This is above the industry average of 8.25%.
The last Return On Invested Capital (15.78%) for SFM is above the 3 year average (11.53%), which is a sign of increasing profitability.
| 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.
In the last couple of years the Profit Margin of SFM has grown nicely.
SFM has a better Operating Margin (7.84%) than 92.11% 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.
SFM's Gross Margin has improved in the last couple of years.
| 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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), SFM is creating some value.
Compared to 1 year ago, SFM has less shares outstanding
Compared to 5 years ago, SFM has less shares outstanding
The debt/assets ratio for SFM has been reduced compared to a year ago.
2.2 Solvency
SFM has an Altman-Z score of 4.70. This indicates that SFM is financially healthy and has little risk of bankruptcy at the moment.
With a decent Altman-Z score value of 4.70, SFM is doing good in the industry, outperforming 68.42% 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.
The Debt to FCF ratio of SFM (0.12) is better than 97.37% of its industry peers.
A Debt/Equity ratio of 0.04 indicates that SFM is not too dependend on debt financing.
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 | 4.7 |
ROIC/WACC1.8
WACC8.78%
2.3 Liquidity
A Current Ratio of 1.05 indicates that SFM should not have too much problems paying its short term obligations.
SFM's Current ratio of 1.05 is in line compared to the rest of the industry. SFM outperforms 47.37% of its industry peers.
SFM has a Quick Ratio of 1.05. This is a bad value and indicates that SFM is not financially healthy enough and could expect problems in meeting its short term obligations.
SFM has a Quick ratio of 0.53. This is comparable to the rest of the industry: SFM outperforms 50.00% of its industry peers.
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.
Measured over the past years, SFM shows a very strong growth in Earnings Per Share. The EPS has been growing by 24.64% on average per year.
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
Based on estimates for the next years, SFM will show a quite strong growth in Earnings Per Share. The EPS will grow by 16.28% on average per year.
SFM is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 10.63% yearly.
EPS Next Y41.53%
EPS Next 2Y24.33%
EPS Next 3Y20.39%
EPS Next 5Y16.28%
Revenue Next Year14.66%
Revenue Next 2Y12.23%
Revenue Next 3Y11.35%
Revenue Next 5Y10.63%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
SFM is valuated correctly with a Price/Earnings ratio of 15.41.
71.05% of the companies in the same industry are more expensive than SFM, based on the Price/Earnings ratio.
SFM's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.50.
The Price/Forward Earnings ratio is 13.71, which indicates a correct valuation of SFM.
Based on the Price/Forward Earnings ratio, SFM is valued a bit cheaper than 68.42% of the companies in the same industry.
SFM is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.93, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.41 | ||
| Fwd PE | 13.71 |
4.2 Price Multiples
71.05% of the companies in the same industry are more expensive than SFM, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, SFM is valued a bit cheaper than 65.79% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.96 | ||
| EV/EBITDA | 8.84 |
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.
SFM's earnings are expected to grow with 20.39% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.37
PEG (5Y)0.63
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% |
79.68
+1.56 (+2%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Earnings (Last)
Earnings (Next)
Inst Owners104.02%
Inst Owner Change1.68%
Ins Owners0.45%
Ins Owner Change-1.6%
Market Cap7.76B
Revenue(TTM)8.65B
Net Income(TTM)513.45M
Analysts75
Price TargetN/A
Short Float %8%
Short Ratio2.82
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)-25.05%
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)-1.15%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-4.19%
Revenue NY rev (1m)-0.19%
Revenue NY rev (3m)-1.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.41 | ||
| Fwd PE | 13.71 | ||
| P/S | 0.9 | ||
| P/FCF | 16.96 | ||
| P/OCF | 11.05 | ||
| P/B | 5.41 | ||
| P/tB | 9.19 | ||
| EV/EBITDA | 8.84 |
EPS(TTM)5.17
EY6.49%
EPS(NY)5.81
Fwd EY7.29%
FCF(TTM)4.7
FCFY5.9%
OCF(TTM)7.21
OCFY9.05%
SpS88.87
BVpS14.73
TBVpS8.67
PEG (NY)0.37
PEG (5Y)0.63
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 | 4.7 |
F-Score7
WACC8.78%
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 2Y12.23%
Revenue Next 3Y11.35%
Revenue Next 5Y10.63%
EBIT growth 1Y40.74%
EBIT growth 3Y15.16%
EBIT growth 5Y18.15%
EBIT Next Year67.74%
EBIT Next 3Y25.7%
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 of SPROUTS FARMERS MARKET INC (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 are the PE and PB ratios of SPROUTS FARMERS MARKET INC (SFM) stock?
The Price/Earnings (PE) ratio for SPROUTS FARMERS MARKET INC (SFM) is 15.41 and the Price/Book (PB) ratio is 5.41.