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SFM

SFM

Consumer Defensive · Grocery Stores

$83.63-2.07%
Mkt Cap: $7.86B

Performance

SFM (SFM) Stock Analysis 2026

Rule-based · Updated daily · Not financial advice

SFM (SFM) operates in the Grocery Stores space within the Consumer Defensive sector. With a market cap of $7.9B, it qualifies as a small-cap company. Growth is moderate and the business remains profitable, offering a balanced risk/reward profile compared to high-multiple peers.

Bull Case4
  • Forward P/E (14.1×) is lower than trailing P/E (16.1×) — analysts expect earnings to improve
  • ROE of 37.3% shows management efficiently converts equity into profit
  • Price is near its 52-week low — potential entry point with asymmetric upside
  • Low beta of 0.67 — less volatile than the market, suitable for conservative portfolios
Bear Case4
  • Earnings fell 6% YoY — profitability is under pressure
  • High debt-to-equity of 143.69× increases financial risk, especially with elevated interest rates
  • Current ratio below 1 (0.92×) — short-term liabilities exceed current assets
  • No dividend history — total return depends entirely on price appreciation

Verdict

Hold

Mixed signals — strengths and risks roughly balance. Wait for a clearer catalyst.

AI Insight

Powered by Claude

AI-generated analysis for informational purposes only. Not financial advice.

Related Articles

Revenue & Results

Dividends

This stock does not pay dividends.

If You Had Invested…

Hypothetical return based on historical prices

$

* Dividend reinvestment calculated at ex-date price. For informational purposes only.

Earnings

Next Earnings

Jul 29, 2026

43

days

EPS (TTM)

$5.21

P/E (TTM)

16.1

Fwd P/E

14.1

Earnings History

SEC EDGAR · official filings

SEC filings

SEC Filings

Official EDGAR documents

All filings

Key Statistics

Valuation

Market Cap$7.86B
P/E Ratio16.05
Forward P/E14.08
P/B Ratio
PEG Ratio1.19
EPS (TTM)$5.21

Trading

Open
Day High
Day Low
52W High$173.96
52W Low$64.75
Volume
Avg Volume (3M)2,151,925
Beta0.67

Dividends

Dividend Yield
Annual Rate
Ex-Div Date
Payout Ratio0.00%

Profitability

Profit Margin5.70%
Operating Margin9.24%
ROE37.28%
ROA10.54%
Revenue Growth4.10%
Earnings Growth-5.50%

Balance Sheet

Total Revenue$8.90B
Total Debt$2.06B
Debt / Equity143.69
Current Ratio0.92
Free Cash Flow$439.80M

Fair Value Estimates

Current price: $83.63

Graham Number

√(22.5 × EPS × Book Value)

$42.17

-49.6% downside

Benjamin Graham's intrinsic value formula. Assumes a fair stock trades at no more than 22.5× the product of EPS and book value per share.

Bazin Ceiling Price

Avg. Annual DPS (5Y) ÷ 6%

N/A

Décio Bazin's dividend-based ceiling. The max price you should pay so that dividends alone deliver at least 6% annual yield on your cost basis.

These are simplified estimates. Not financial advice.

Buy & Hold Checklist

Quality criteria for long-term holding

4/10

50% score

Pays dividends

No dividend history found

Dividend consistency (5Y+)

Uninterrupted dividend payments for at least 5 years

ROE above 10%

37.3%

Return on equity — measures how efficiently capital is used

Positive profit margin

5.7%

Net profit margin must be positive — company earns more than it spends

Revenue growth (annual)

+4.1%

Annual revenue must be growing compared to the prior year

Earnings growth (annual)

-5.5%

Annual earnings must be growing compared to the prior year

Debt/Equity below 2×

143.69×

Low financial leverage reduces risk of distress

Current ratio above 1

0.92×

Short-term assets must cover short-term liabilities

Daily liquidity above $5M

$180M/day

High trading volume ensures easy entry and exit

Dividend yield above 0%

Stock must distribute income to shareholders

Related Assets

Consumer Defensive

About SFM

Sprouts Farmers Market, Inc., together with its subsidiaries, engages in the retailing of fresh, natural, and organic food products in the United States. The company offers healthy grocery stores; and lifestyle-friendly ingredients such as organic, plant-based, keto, paleo, non-GMO, and gluten-free. The company also offers perishable product categories, including produce, meat and meat alternatives, seafood, deli, bakery, floral, 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. It sells its products under the Sprouts brand. The company was founded in 1943 and is headquartered in Phoenix, Arizona.

Sector

Consumer Defensive

Industry

Grocery Stores

Location

Phoenix, United States

Employees

36,000