Sprouts Farmers (SFM) closed the most recent trading day at $114.12, moving +2.69% from the previous trading session. The stock outpaced the S&P 500's daily gain of 0.4%. Elsewhere, the Dow saw a downswing of 0.04%, while the tech-heavy Nasdaq appreciated by 0.66%.
The natural and organic food retailer's stock has dropped by 11.46% in the past month, falling short of the Retail-Wholesale sector's loss of 3.61% and the S&P 500's gain of 1.02%.
Market participants will be closely following the financial results of Sprouts Farmers in its upcoming release. The company plans to announce its earnings on October 29, 2025. The company's upcoming EPS is projected at $1.17, signifying a 28.57% increase compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $2.23 billion, indicating a 14.78% growth compared to the corresponding quarter of the prior year.
For the full year, the Zacks Consensus Estimates project earnings of $5.32 per share and a revenue of $8.93 billion, demonstrating changes of +41.87% and +15.66%, respectively, from the preceding year.
Investors should also pay attention to any latest changes in analyst estimates for Sprouts Farmers. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Sprouts Farmers is holding a Zacks Rank of #2 (Buy) right now.
Digging into valuation, Sprouts Farmers currently has a Forward P/E ratio of 20.91. For comparison, its industry has an average Forward P/E of 20.85, which means Sprouts Farmers is trading at a premium to the group.
One should further note that SFM currently holds a PEG ratio of 1.25. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Food - Natural Foods Products industry currently had an average PEG ratio of 1.21 as of yesterday's close.
The Food - Natural Foods Products industry is part of the Retail-Wholesale sector. With its current Zacks Industry Rank of 33, this industry ranks in the top 14% of all industries, numbering over 250.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Sprouts Farmers Market, Inc. (SFM): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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