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Sprouts Farmers (SFM) Stock Sinks As Market Gains: What You Should Know
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Sprouts Farmers (SFM - Free Report) closed at $21.32 in the latest trading session, marking a -0.3% move from the prior day. This change lagged the S&P 500's 0.47% gain on the day. Meanwhile, the Dow gained 0.4%, and the Nasdaq, a tech-heavy index, added 0.33%.
Heading into today, shares of the natural and organic food retailer had gained 3.76% over the past month, lagging the Retail-Wholesale sector's gain of 7.48% and outpacing the S&P 500's gain of 3.42% in that time.
Wall Street will be looking for positivity from SFM as it approaches its next earnings report date. This is expected to be October 28, 2020. The company is expected to report EPS of $0.35, up 59.09% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $1.63 billion, up 13.4% from the prior-year quarter.
SFM's full-year Zacks Consensus Estimates are calling for earnings of $2.12 per share and revenue of $6.52 billion. These results would represent year-over-year changes of +69.6% and +15.77%, respectively.
Investors might also notice recent changes to analyst estimates for SFM. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. SFM currently has a Zacks Rank of #3 (Hold).
Investors should also note SFM's current valuation metrics, including its Forward P/E ratio of 10.09. For comparison, its industry has an average Forward P/E of 11.22, which means SFM is trading at a discount to the group.
Meanwhile, SFM's PEG ratio is currently 1.09. 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. SFM's industry had an average PEG ratio of 3.39 as of yesterday's close.
The Food - Natural Foods Products industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 76, putting it in the top 31% of all 250+ industries.
The Zacks Industry Rank includes is listed in order 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.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Sprouts Farmers (SFM) Stock Sinks As Market Gains: What You Should Know
Sprouts Farmers (SFM - Free Report) closed at $21.32 in the latest trading session, marking a -0.3% move from the prior day. This change lagged the S&P 500's 0.47% gain on the day. Meanwhile, the Dow gained 0.4%, and the Nasdaq, a tech-heavy index, added 0.33%.
Heading into today, shares of the natural and organic food retailer had gained 3.76% over the past month, lagging the Retail-Wholesale sector's gain of 7.48% and outpacing the S&P 500's gain of 3.42% in that time.
Wall Street will be looking for positivity from SFM as it approaches its next earnings report date. This is expected to be October 28, 2020. The company is expected to report EPS of $0.35, up 59.09% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $1.63 billion, up 13.4% from the prior-year quarter.
SFM's full-year Zacks Consensus Estimates are calling for earnings of $2.12 per share and revenue of $6.52 billion. These results would represent year-over-year changes of +69.6% and +15.77%, respectively.
Investors might also notice recent changes to analyst estimates for SFM. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. SFM currently has a Zacks Rank of #3 (Hold).
Investors should also note SFM's current valuation metrics, including its Forward P/E ratio of 10.09. For comparison, its industry has an average Forward P/E of 11.22, which means SFM is trading at a discount to the group.
Meanwhile, SFM's PEG ratio is currently 1.09. 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. SFM's industry had an average PEG ratio of 3.39 as of yesterday's close.
The Food - Natural Foods Products industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 76, putting it in the top 31% of all 250+ industries.
The Zacks Industry Rank includes is listed in order 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.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.