79.68 USD
+1.56 (+2%)
79.68 USD
0 (0%)
We assign a fundamental rating of 7 out of 10 to SFM. 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. An interesting combination arises when we look at growth and value: SFM is growing strongly while it also seems undervalued. With these ratings, SFM could be worth investigating further for value and growth and quality investing!.
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.
1.2 Ratios
The Return On Assets of SFM (12.79%) is better than 92.11% of its industry peers.
With an excellent Return On Equity value of 35.79%, SFM belongs to the best of the industry, outperforming 94.74% of the companies in the same industry.
The Return On Invested Capital of SFM (15.78%) is better than 94.74% of its industry peers.
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 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
With an excellent Profit Margin value of 5.93%, SFM belongs to the best of the industry, outperforming 89.47% of the companies in the same industry.
In the last couple of years the Profit Margin of SFM has grown nicely.
Looking at the Operating Margin, with a value of 7.84%, SFM belongs to the top of the industry, outperforming 92.11% of the companies in the same industry.
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
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
SFM has less shares outstanding than it did 5 years ago.
The debt/assets ratio for SFM has been reduced compared to a year ago.
2.2 Solvency
SFM has an Altman-Z score of 4.74. This indicates that SFM is financially healthy and has little risk of bankruptcy at the moment.
With a decent Altman-Z score value of 4.74, SFM is doing good in the industry, outperforming 68.42% of the companies in the same industry.
The Debt to FCF ratio of SFM is 0.12, which is an excellent value as it means it would take SFM, only 0.12 years of fcf income to pay off all of its debts.
SFM has a better Debt to FCF ratio (0.12) than 97.37% of its industry peers.
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 Debt to Equity ratio of 0.04. This is amongst the best in the industry. SFM outperforms 86.84% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | 0.12 | ||
| Altman-Z | 4.74 |
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.
Looking at the Current ratio, with a value of 1.05, SFM is in line with its industry, outperforming 47.37% of the companies in the same industry.
A Quick Ratio of 0.53 indicates that SFM may have some problems paying 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.
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 Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.05 | ||
| Quick Ratio | 0.53 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 49.42% over the past year.
SFM shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 24.64% yearly.
Looking at the last year, SFM shows a quite strong growth in Revenue. The Revenue has grown by 16.60% in the last year.
Measured over the past years, SFM shows a small growth in Revenue. The Revenue has been growing by 6.50% on average per year.
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.
Based on estimates for the next years, SFM will show a quite strong growth in Revenue. The Revenue will grow by 10.63% on average per year.
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.
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
The Price/Earnings ratio is 15.41, which indicates a correct valuation of SFM.
SFM's Price/Earnings ratio is a bit cheaper when compared to the industry. SFM is cheaper than 71.05% of the companies in the same industry.
SFM's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.59.
Based on the Price/Forward Earnings ratio of 13.71, the valuation of SFM can be described as correct.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SFM indicates a somewhat cheap valuation: SFM is cheaper than 68.42% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of SFM to the average of the S&P500 Index (24.03), we can say SFM is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.41 | ||
| Fwd PE | 13.71 |
4.2 Price Multiples
SFM's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. SFM is cheaper than 71.05% of the companies in the same industry.
65.79% of the companies in the same industry are more expensive than SFM, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.96 | ||
| EV/EBITDA | 9.02 |
4.3 Compensation for Growth
The 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)0.37
PEG (5Y)0.63
EPS Next 2Y24.33%
EPS Next 3Y20.39%
5. Dividend
5.1 Amount
No dividends for SFM!.
| 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 | 9.02 |
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 | 4.74 |
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 2Y12.23%
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.