SPROUTS FARMERS MARKET INC (SFM) Stock Fundamental Analysis

NASDAQ:SFM • US85208M1027

73.87 USD
-1.87 (-2.47%)
At close: Feb 27, 2026
74.09 USD
+0.22 (+0.3%)
After Hours: 2/27/2026, 8:00:02 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

7

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 has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. SFM has a correct valuation and a medium growth rate. These ratings could make SFM a good candidate for quality investing.


Dividend Valuation Growth Profitability Health

9

1. Profitability

1.1 Basic Checks

  • SFM had positive earnings in the past year.
  • In the past year SFM had a positive cash flow from operations.
  • In the past 5 years SFM has always been profitable.
  • Each year in the past 5 years SFM had a positive operating cash flow.
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 2025 200M 400M 600M

1.2 Ratios

  • SFM has a better Return On Assets (12.59%) than 89.47% of its industry peers.
  • SFM's Return On Equity of 37.32% is amongst the best of the industry. SFM outperforms 92.11% of its industry peers.
  • SFM's Return On Invested Capital of 15.90% is amongst the best of the industry. SFM outperforms 94.74% of its industry peers.
  • SFM had an Average Return On Invested Capital over the past 3 years of 13.23%. This is significantly below the industry average of 28.42%.
  • The 3 year average ROIC (13.23%) for SFM is below the current ROIC(15.90%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 12.59%
ROE 37.32%
ROIC 15.9%
ROA(3y)10.28%
ROA(5y)9.54%
ROE(3y)29.55%
ROE(5y)27.81%
ROIC(3y)13.23%
ROIC(5y)12.25%
SFM Yearly ROA, ROE, ROICSFM Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30

1.3 Margins

  • With an excellent Profit Margin value of 5.95%, 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 7.86%. 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.
  • SFM's Gross Margin of 38.80% is amongst the best of the industry. SFM outperforms 84.21% of its industry peers.
  • SFM's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 7.86%
PM (TTM) 5.95%
GM 38.8%
OM growth 3Y10.84%
OM growth 5Y5.36%
PM growth 3Y13.39%
PM growth 5Y6%
GM growth 3Y1.89%
GM growth 5Y1.07%
SFM Yearly Profit, Operating, Gross MarginsSFM Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30

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ROAROEROICOperating and Profit MarginShow most profitable peers

7

2. Health

2.1 Basic Checks

  • SFM has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
  • Compared to 1 year ago, SFM has less shares outstanding
  • Compared to 5 years ago, SFM has less shares outstanding
  • SFM has a worse debt/assets ratio than last year.
SFM Yearly Shares OutstandingSFM Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 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 2025 1B 2B 3B 4B

2.2 Solvency

  • SFM has an Altman-Z score of 4.44. This indicates that SFM is financially healthy and has little risk of bankruptcy at the moment.
  • With a decent Altman-Z score value of 4.44, SFM is doing good in the industry, outperforming 60.53% of the companies in the same industry.
  • The Debt to FCF ratio of SFM is 0.18, which is an excellent value as it means it would take SFM, only 0.18 years of fcf income to pay off all of its debts.
  • SFM's Debt to FCF ratio of 0.18 is amongst the best of the industry. SFM outperforms 97.37% of its industry peers.
  • A Debt/Equity ratio of 0.06 indicates that SFM is not too dependend on debt financing.
  • SFM has a better Debt to Equity ratio (0.06) than 86.84% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.06
Debt/FCF 0.18
Altman-Z 4.44
ROIC/WACC1.86
WACC8.57%
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 2025 500M 1B

2.3 Liquidity

  • SFM has a Current Ratio of 0.93. This is a bad value and indicates that SFM is not financially healthy enough and could expect problems in meeting its short term obligations.
  • The Current ratio of SFM (0.93) is worse than 73.68% of its industry peers.
  • SFM has a Quick Ratio of 0.93. 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's Quick ratio of 0.44 is on the low side compared to the rest of the industry. SFM is outperformed by 65.79% of its industry peers.
  • 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 0.93
Quick Ratio 0.44
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 2025 200M 400M 600M 800M

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

6

3. Growth

3.1 Past

  • SFM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 40.96%, which is quite impressive.
  • Measured over the past years, SFM shows a quite strong growth in Earnings Per Share. The EPS has been growing by 16.78% on average per year.
  • The Revenue has grown by 14.08% in the past year. This is quite good.
  • Measured over the past years, SFM shows a small growth in Revenue. The Revenue has been growing by 6.36% on average per year.
EPS 1Y (TTM)40.96%
EPS 3Y30.41%
EPS 5Y16.78%
EPS Q2Q%16.46%
Revenue 1Y (TTM)14.08%
Revenue growth 3Y11.2%
Revenue growth 5Y6.36%
Sales Q2Q%7.64%

3.2 Future

  • The Earnings Per Share is expected to grow by 11.27% on average over the next years. This is quite good.
  • The Revenue is expected to grow by 9.03% on average over the next years. This is quite good.
EPS Next Y9.93%
EPS Next 2Y11.45%
EPS Next 3Y11.34%
EPS Next 5Y11.27%
Revenue Next Year9.83%
Revenue Next 2Y9.72%
Revenue Next 3Y9.6%
Revenue Next 5Y9.03%

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.
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

6

4. Valuation

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 13.94 indicates a correct valuation of SFM.
  • SFM's Price/Earnings ratio is a bit cheaper when compared to the industry. SFM is cheaper than 76.32% of the companies in the same industry.
  • SFM is valuated rather cheaply when we compare the Price/Earnings ratio to 27.10, which is the current average of the S&P500 Index.
  • The Price/Forward Earnings ratio is 12.68, which indicates a correct valuation of SFM.
  • Based on the Price/Forward Earnings ratio, SFM is valued a bit cheaper than 78.95% of the companies in the same industry.
  • SFM is valuated cheaply when we compare the Price/Forward Earnings ratio to 28.06, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 13.94
Fwd PE 12.68
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

  • 71.05% of the companies in the same industry are more expensive than SFM, based on the Enterprise Value to EBITDA ratio.
  • 76.32% of the companies in the same industry are more expensive than SFM, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 15.38
EV/EBITDA 8.48
SFM Per share dataSFM EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 20 40 60 80

4.3 Compensation for Growth

  • The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
  • The excellent profitability rating of SFM may justify a higher PE ratio.
PEG (NY)1.4
PEG (5Y)0.83
EPS Next 2Y11.45%
EPS Next 3Y11.34%

More info and screens

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

0

5. Dividend

5.1 Amount

  • SFM does not give a dividend.
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 (2/27/2026, 8:00:02 PM)

After market: 74.09 +0.22 (+0.3%)

73.87

-1.87 (-2.47%)

Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Earnings (Last)02-19
Earnings (Next)04-28
Inst Owners104.35%
Inst Owner Change-1.38%
Ins Owners0.45%
Ins Owner Change-0.82%
Market Cap7.19B
Revenue(TTM)8.81B
Net Income(TTM)523.67M
Analysts74.29
Price Target97.33 (31.76%)
Short Float %11.13%
Short Ratio4.17
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)3.14%
Min EPS beat(2)2.79%
Max EPS beat(2)3.49%
EPS beat(4)4
Avg EPS beat(4)7.45%
Min EPS beat(4)2.79%
Max EPS beat(4)15.57%
EPS beat(8)8
Avg EPS beat(8)10.32%
EPS beat(12)12
Avg EPS beat(12)9.87%
EPS beat(16)16
Avg EPS beat(16)10.5%
Revenue beat(2)0
Avg Revenue beat(2)-1.64%
Min Revenue beat(2)-2.07%
Max Revenue beat(2)-1.21%
Revenue beat(4)2
Avg Revenue beat(4)-0.35%
Min Revenue beat(4)-2.07%
Max Revenue beat(4)1.26%
Revenue beat(8)6
Avg Revenue beat(8)0.63%
Revenue beat(12)7
Avg Revenue beat(12)0.38%
Revenue beat(16)7
Avg Revenue beat(16)0.17%
PT rev (1m)1.78%
PT rev (3m)-1.74%
EPS NQ rev (1m)0.21%
EPS NQ rev (3m)0.12%
EPS NY rev (1m)0.01%
EPS NY rev (3m)-0.01%
Revenue NQ rev (1m)-0.05%
Revenue NQ rev (3m)-0.05%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.19%
Valuation
Industry RankSector Rank
PE 13.94
Fwd PE 12.68
P/S 0.82
P/FCF 15.38
P/OCF 10.05
P/B 5.13
P/tB 8.85
EV/EBITDA 8.48
EPS(TTM)5.3
EY7.17%
EPS(NY)5.83
Fwd EY7.89%
FCF(TTM)4.8
FCFY6.5%
OCF(TTM)7.35
OCFY9.95%
SpS90.44
BVpS14.41
TBVpS8.35
PEG (NY)1.4
PEG (5Y)0.83
Graham Number41.45
Profitability
Industry RankSector Rank
ROA 12.59%
ROE 37.32%
ROCE 21.04%
ROIC 15.9%
ROICexc 17.25%
ROICexgc 21.42%
OM 7.86%
PM (TTM) 5.95%
GM 38.8%
FCFM 5.31%
ROA(3y)10.28%
ROA(5y)9.54%
ROE(3y)29.55%
ROE(5y)27.81%
ROIC(3y)13.23%
ROIC(5y)12.25%
ROICexc(3y)14.39%
ROICexc(5y)13.48%
ROICexgc(3y)18.26%
ROICexgc(5y)17.42%
ROCE(3y)17.51%
ROCE(5y)16.22%
ROICexgc growth 3Y9.28%
ROICexgc growth 5Y2.82%
ROICexc growth 3Y11.69%
ROICexc growth 5Y4.54%
OM growth 3Y10.84%
OM growth 5Y5.36%
PM growth 3Y13.39%
PM growth 5Y6%
GM growth 3Y1.89%
GM growth 5Y1.07%
F-Score6
Asset Turnover2.12
Health
Industry RankSector Rank
Debt/Equity 0.06
Debt/FCF 0.18
Debt/EBITDA 0.1
Cap/Depr 157.41%
Cap/Sales 2.82%
Interest Coverage 382.38
Cash Conversion 84.29%
Profit Quality 89.32%
Current Ratio 0.93
Quick Ratio 0.44
Altman-Z 4.44
F-Score6
WACC8.57%
ROIC/WACC1.86
Cap/Depr(3y)161.75%
Cap/Depr(5y)132.88%
Cap/Sales(3y)3.03%
Cap/Sales(5y)2.54%
Profit Quality(3y)96.98%
Profit Quality(5y)98.61%
High Growth Momentum
Growth
EPS 1Y (TTM)40.96%
EPS 3Y30.41%
EPS 5Y16.78%
EPS Q2Q%16.46%
EPS Next Y9.93%
EPS Next 2Y11.45%
EPS Next 3Y11.34%
EPS Next 5Y11.27%
Revenue 1Y (TTM)14.08%
Revenue growth 3Y11.2%
Revenue growth 5Y6.36%
Sales Q2Q%7.64%
Revenue Next Year9.83%
Revenue Next 2Y9.72%
Revenue Next 3Y9.6%
Revenue Next 5Y9.03%
EBIT growth 1Y33.7%
EBIT growth 3Y23.26%
EBIT growth 5Y12.07%
EBIT Next Year30.84%
EBIT Next 3Y12.51%
EBIT Next 5Y14.54%
FCF growth 1Y12.75%
FCF growth 3Y23.67%
FCF growth 5Y4.69%
OCF growth 1Y10.97%
OCF growth 3Y24.47%
OCF growth 5Y7.71%

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 6 / 10 to SPROUTS FARMERS MARKET INC (SFM). This can be considered as Fairly Valued.


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 9.93% in the next year.