Head-To-Head Contrast: Sprouts Farmers Market (SFM) versus Its Peers

by · The Cerbat Gem

Sprouts Farmers Market (NASDAQ:SFM – Get Free Report) is one of 149 publicly-traded companies in the “Consumer Staples Distribution & Retail” industry, but how does it compare to its competitors? We will compare Sprouts Farmers Market to similar companies based on the strength of its profitability, earnings, risk, valuation, institutional ownership, analyst recommendations and dividends.

Valuation and Earnings

This table compares Sprouts Farmers Market and its competitors top-line revenue, earnings per share (EPS) and valuation.

Gross RevenueNet IncomePrice/Earnings Ratio
Sprouts Farmers Market$8.81 billion$523.67 million11.88
Sprouts Farmers Market Competitors$35.04 billion$846.03 million15.83

Sprouts Farmers Market’s competitors have higher revenue and earnings than Sprouts Farmers Market. Sprouts Farmers Market is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Risk and Volatility

Sprouts Farmers Market has a beta of 0.67, indicating that its stock price is 33% less volatile than the S&P 500. Comparatively, Sprouts Farmers Market’s competitors have a beta of 0.43, indicating that their average stock price is 57% less volatile than the S&P 500.

Insider and Institutional Ownership

45.0% of shares of all “Consumer Staples Distribution & Retail” companies are held by institutional investors. 1.3% of Sprouts Farmers Market shares are held by insiders. Comparatively, 19.7% of shares of all “Consumer Staples Distribution & Retail” companies are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a summary of current ratings and recommmendations for Sprouts Farmers Market and its competitors, as reported by MarketBeat.

Sell RatingsHold RatingsBuy RatingsStrong Buy RatingsRating Score
Sprouts Farmers Market16702.43
Sprouts Farmers Market Competitors22358248100244552.41

Sprouts Farmers Market currently has a consensus target price of $87.92, suggesting a potential upside of 41.80%. As a group, “Consumer Staples Distribution & Retail” companies have a potential upside of 61.86%. Given Sprouts Farmers Market’s competitors higher probable upside, analysts plainly believe Sprouts Farmers Market has less favorable growth aspects than its competitors.

Profitability

This table compares Sprouts Farmers Market and its competitors’ net margins, return on equity and return on assets.

Net MarginsReturn on EquityReturn on Assets
Sprouts Farmers Market5.58%34.84%11.99%
Sprouts Farmers Market Competitors-25.67%1.91%2.62%

Summary

Sprouts Farmers Market competitors beat Sprouts Farmers Market on 7 of the 13 factors compared.

About Sprouts Farmers Market

(Get Free Report)

Sprouts Farmers Market, Inc., together with its subsidiaries, engages in the retailing of fresh, natural, and organic food products under the Sprouts brand in the United States. It offers perishable product categories, including fresh produce, meat and meat alternatives, seafood, deli, bakery, floral, and dairy and dairy alternatives; and non-perishable product categories, such as grocery, vitamins and supplements, bulk items, frozen foods, beer and wine, and natural health and body care. Sprouts Farmers Market, Inc. was founded in 1943 and is headquartered in Phoenix, Arizona.