Sprouts Farmers Market (NASDAQ:SFM) Upgraded to Buy at Wall Street Zen

Wall Street Zen upgraded shares of Sprouts Farmers Market (NASDAQ:SFM) from a hold rating to a buy rating in a research note released on Sunday morning.

Other equities research analysts have also recently issued research reports about the stock. Wells Fargo & Company upgraded shares of Sprouts Farmers Market from an “equal weight” rating to an “overweight” rating and increased their price target for the company from $175.00 to $180.00 in a report on Tuesday, August 5th. JPMorgan Chase & Co. initiated coverage on shares of Sprouts Farmers Market in a report on Wednesday, August 20th. They set a “neutral” rating and a $159.00 price target on the stock. Royal Bank Of Canada increased their price target on shares of Sprouts Farmers Market from $173.00 to $176.00 and gave the company a “sector perform” rating in a report on Thursday, July 31st. Barclays upgraded shares of Sprouts Farmers Market from an “equal weight” rating to an “overweight” rating and increased their price target for the company from $173.00 to $185.00 in a report on Thursday, July 31st. Finally, Evercore ISI cut their price target on shares of Sprouts Farmers Market from $195.00 to $190.00 and set an “outperform” rating on the stock in a report on Tuesday, August 12th. Eight analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company’s stock. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average target price of $178.64.

Sprouts Farmers Market Stock Down 0.2%

Shares of SFM opened at $119.38 on Friday. The business’s 50 day moving average price is $145.63 and its 200-day moving average price is $154.48. Sprouts Farmers Market has a 52 week low of $107.36 and a 52 week high of $182.00. The stock has a market cap of $11.67 billion, a P/E ratio of 24.56, a P/E/G ratio of 1.35 and a beta of 0.86.

Sprouts Farmers Market (NASDAQ:SFM) last issued its quarterly earnings results on Wednesday, July 30th. The company reported $1.35 EPS for the quarter, topping analysts’ consensus estimates of $1.23 by $0.12. Sprouts Farmers Market had a return on equity of 36.53% and a net margin of 5.77%.The firm had revenue of $2.22 billion for the quarter, compared to analysts’ expectations of $2.16 billion. During the same period in the previous year, the firm posted $0.94 EPS. The business’s revenue for the quarter 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. On average, equities analysts anticipate that Sprouts Farmers Market will post 4.29 EPS for the current year.

Sprouts Farmers Market declared that its Board of Directors has authorized a share buyback plan on Tuesday, August 19th that authorizes the company to buyback $0.00 in outstanding shares. This buyback authorization authorizes the company to buy shares of its stock through open market purchases. Stock buyback plans are usually an indication that the company’s leadership believes its shares are undervalued.

Insider Activity at Sprouts Farmers Market

In related news, Director Joseph D. O’leary sold 2,937 shares of the stock in a transaction that occurred on Tuesday, August 5th. The shares were sold at an average price of $150.07, for a total transaction of $440,755.59. Following the transaction, the director owned 14,994 shares in the company, valued at $2,250,149.58. This represents a 16.38% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Jack Sinclair sold 4,045 shares of the stock in a transaction that occurred on Tuesday, September 2nd. The shares were sold at an average price of $138.60, for a total transaction of $560,637.00. Following the transaction, the chief executive officer owned 174,740 shares in the company, valued at approximately $24,218,964. This trade represents a 2.26% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 39,561 shares of company stock valued at $5,828,401 over the last quarter. 1.10% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the business. Toronto Dominion Bank bought a new stake in shares of Sprouts Farmers Market during the 4th quarter valued at $63,000. Two Sigma Investments LP raised its position in shares of Sprouts Farmers Market by 21.3% during the 4th quarter. Two Sigma Investments LP now owns 12,890 shares of the company’s stock valued at $1,638,000 after purchasing an additional 2,261 shares during the period. Vident Advisory LLC raised its position in shares of Sprouts Farmers Market by 1.4% during the 4th quarter. Vident Advisory LLC now owns 7,641 shares of the company’s stock valued at $971,000 after purchasing an additional 108 shares during the period. Mackenzie Financial Corp raised its position in shares of Sprouts Farmers Market by 48.1% during the 4th quarter. Mackenzie Financial Corp now owns 10,066 shares of the company’s stock valued at $1,279,000 after purchasing an additional 3,271 shares during the period. Finally, Leigh Baldwin & CO. LLC bought a new stake in shares of Sprouts Farmers Market during the 4th quarter valued at $451,000.

Sprouts Farmers Market Company Profile

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.