BMO Capital Markets Lowers Sprouts Farmers Market (NASDAQ:SFM) Price Target to $120.00

Sprouts Farmers Market (NASDAQ:SFM) had its price target lowered by stock analysts at BMO Capital Markets from $170.00 to $120.00 in a research note issued to investors on Wednesday, Marketbeat Ratings reports. The firm currently has a “market perform” rating on the stock. BMO Capital Markets’ target price suggests a potential upside of 10.82% from the stock’s current price.

Other equities research analysts have also recently issued research reports about the stock. Weiss Ratings reaffirmed a “buy (b-)” rating on shares of Sprouts Farmers Market in a research report on Tuesday, October 14th. Barclays raised shares of Sprouts Farmers Market from an “equal weight” rating to an “overweight” rating and upped their price objective for the stock from $173.00 to $185.00 in a research report on Thursday, July 31st. Jefferies Financial Group raised shares of Sprouts Farmers Market from a “hold” rating to a “buy” rating and set a $190.00 price objective for the company in a research report on Friday, August 1st. The Goldman Sachs Group cut their price objective on shares of Sprouts Farmers Market from $209.00 to $178.00 and set a “buy” rating for the company in a research report on Wednesday. Finally, Wall Street Zen cut shares of Sprouts Farmers Market from a “buy” rating to a “hold” rating in a research report on Saturday, October 18th. Ten equities research analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $165.79.

Sprouts Farmers Market Stock Performance

Shares of Sprouts Farmers Market stock opened at $108.28 on Wednesday. The firm has a 50-day moving average of $124.41 and a 200-day moving average of $148.94. The stock has a market cap of $10.58 billion, a PE ratio of 22.28, a PEG ratio of 1.22 and a beta of 0.77. Sprouts Farmers Market has a 52-week low of $98.75 and a 52-week high of $182.00.

Sprouts Farmers Market (NASDAQ:SFM) last posted its quarterly earnings data on Wednesday, July 30th. The company reported $1.35 earnings per share for the quarter, topping the consensus estimate of $1.23 by $0.12. Sprouts Farmers Market had a net margin of 5.77% and a return on equity of 36.53%. The business had revenue of $2.22 billion during the quarter, compared to analysts’ expectations of $2.16 billion. During the same quarter in the prior year, the business posted $0.94 earnings per share. Sprouts Farmers Market’s revenue was up 17.3% compared to the same quarter last year. Sprouts Farmers Market has set its FY 2025 guidance at 5.200-5.320 EPS. Q3 2025 guidance at 1.120-1.160 EPS. Equities research analysts predict that Sprouts Farmers Market will post 4.29 earnings per share for the current fiscal year.

Sprouts Farmers Market declared that its Board of Directors has approved a stock buyback program on Tuesday, August 19th that allows the company to buyback $0.00 in shares. This buyback authorization allows the company to reacquire shares of its stock through open market purchases. Shares buyback programs are typically an indication that the company’s management believes its shares are undervalued.

Insider Activity

In other Sprouts Farmers Market news, Director Joseph D. O’leary sold 2,937 shares of the business’s stock in a transaction dated Tuesday, August 5th. The stock was sold at an average price of $150.07, for a total transaction of $440,755.59. Following the completion of the transaction, the director owned 14,994 shares of the company’s stock, valued at approximately $2,250,149.58. The trade was a 16.38% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Dustin Hamilton sold 7,200 shares of the business’s stock in a transaction dated Thursday, September 11th. The stock was sold at an average price of $138.95, for a total value of $1,000,440.00. Following the transaction, the insider directly owned 16,349 shares of the company’s stock, valued at approximately $2,271,693.55. The trade was a 30.57% decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 38,429 shares of company stock valued at $5,351,362. Corporate insiders own 1.10% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in SFM. Bank of America Corp DE increased its stake in shares of Sprouts Farmers Market by 137.0% in the second quarter. Bank of America Corp DE now owns 2,584,923 shares of the company’s stock valued at $425,582,000 after buying an additional 1,494,014 shares during the period. Norges Bank acquired a new position in shares of Sprouts Farmers Market in the second quarter valued at approximately $198,080,000. Wellington Management Group LLP increased its stake in shares of Sprouts Farmers Market by 300.3% in the first quarter. Wellington Management Group LLP now owns 1,037,187 shares of the company’s stock valued at $158,316,000 after buying an additional 778,079 shares during the period. Qube Research & Technologies Ltd increased its stake in shares of Sprouts Farmers Market by 157.3% in the second quarter. Qube Research & Technologies Ltd now owns 1,248,891 shares of the company’s stock valued at $205,617,000 after buying an additional 763,422 shares during the period. Finally, Invesco Ltd. increased its stake in shares of Sprouts Farmers Market by 52.8% in the second quarter. Invesco Ltd. now owns 2,131,607 shares of the company’s stock valued at $350,948,000 after buying an additional 737,008 shares during the period.

About Sprouts Farmers Market

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.