77.2 USD
+0.11 (+0.14%)
77.2 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 has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. SFM has both an excellent growth and valuation score. This means it is growing and it is still cheap. This is a rare combination! These ratings would make SFM suitable for value and growth and quality investing!
1. Profitability
1.1 Basic Checks
SFM had positive earnings in the past year.
SFM had a positive operating cash flow in the past year.
SFM had positive earnings in each of the past 5 years.
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 89.47% of its industry peers.
SFM has a Return On Equity of 35.79%. This is amongst the best in the industry. SFM outperforms 92.11% of its industry peers.
With an excellent Return On Invested Capital value of 15.78%, SFM belongs to the best of the industry, outperforming 92.11% 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 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's Profit Margin of 5.93% is amongst the best of the industry. SFM outperforms 89.47% of its industry peers.
SFM's Profit Margin has improved in the last couple of years.
SFM's Operating Margin of 7.84% is amongst the best of 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 38.83% is amongst the best of the industry. SFM outperforms 84.21% of its industry peers.
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
The number of shares outstanding for SFM has been reduced compared to 5 years ago.
The debt/assets ratio for SFM has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 4.68 indicates that SFM is not in any danger for bankruptcy at the moment.
SFM has a Altman-Z score of 4.68. This is in the better half of the industry: SFM outperforms 65.79% of its industry peers.
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.
With an excellent Debt to FCF ratio value of 0.12, SFM belongs to the best 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's Debt to Equity ratio of 0.04 is amongst the best of the industry. SFM outperforms 86.84% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | 0.12 | ||
| Altman-Z | 4.68 |
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.
With a Current ratio value of 1.05, SFM is not doing good in the industry: 60.53% of the companies in the same industry are doing better.
A Quick Ratio of 0.53 indicates that SFM may have some problems paying its short term obligations.
SFM has a Quick ratio (0.53) which is in line with 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
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.
SFM shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 24.64% yearly.
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.
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 2Y12.24%
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
The Price/Earnings ratio is 14.93, 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 73.68% 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 27.19.
With a Price/Forward Earnings ratio of 13.28, SFM is valued correctly.
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.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.88, SFM is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.93 | ||
| Fwd PE | 13.28 |
4.2 Price Multiples
SFM's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. SFM is cheaper than 68.42% of the companies in the same industry.
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 | 16.43 | ||
| EV/EBITDA | 8.72 |
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.
SFM has an outstanding profitability rating, which 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 Change0%
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 | 8.72 |
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.