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Has Sprouts Farmers Market (SFM) Outpaced Other Retail-Wholesale Stocks This Year?

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Investors interested in Retail-Wholesale stocks should always be looking to find the best-performing companies in the group. Is Sprouts Farmers (SFM - Free Report) one of those stocks right now? Let's take a closer look at the stock's year-to-date performance to find out.

Sprouts Farmers is a member of our Retail-Wholesale group, which includes 230 different companies and currently sits at #12 in the Zacks Sector Rank. The Zacks Sector Rank includes 16 different groups and is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors.

The Zacks Rank is a proven system that emphasizes earnings estimates and estimate revisions, highlighting a variety of stocks that are displaying the right characteristics to beat the market over the next one to three months. Sprouts Farmers is currently sporting a Zacks Rank of #2 (Buy).

Within the past quarter, the Zacks Consensus Estimate for SFM's full-year earnings has moved 5.4% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.

Based on the latest available data, SFM has gained about 5.6% so far this year. Meanwhile, the Retail-Wholesale sector has returned an average of -16.4% on a year-to-date basis. As we can see, Sprouts Farmers is performing better than its sector in the calendar year.

Another stock in the Retail-Wholesale sector, Target (TGT - Free Report) , has outperformed the sector so far this year. The stock's year-to-date return is 2.6%.

In Target's case, the consensus EPS estimate for the current year increased 9.8% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

Looking more specifically, Sprouts Farmers belongs to the Food - Natural Foods Products industry, which includes 7 individual stocks and currently sits at #35 in the Zacks Industry Rank. This group has gained an average of 10.4% so far this year, so SFM is slightly underperforming its industry in this area.

Target, however, belongs to the Retail - Discount Stores industry. Currently, this 8-stock industry is ranked #31. The industry has moved -3.2% so far this year.

Sprouts Farmers and Target could continue their solid performance, so investors interested in Retail-Wholesale stocks should continue to pay close attention to these stocks.


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