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In the latest close session, Sprouts Farmers (SFM - Free Report) was up +2.51% at $86.70. The stock exceeded the S&P 500, which registered a loss of 0.22% for the day. Meanwhile, the Dow experienced a drop of 0.03%, and the technology-dominated Nasdaq saw a decrease of 0.66%.The natural and organic food retailer's stock has climbed by 8.37% in the past month, exceeding the Retail-Wholesale sector's loss of 5.51% and the S&P 500's loss of 1.21%.
The upcoming earnings release of Sprouts Farmers will be of great interest to investors. The company's earnings report is expected on July 29, 2026. It is anticipated that the company will report an EPS of $1.35, marking stability compared to the same quarter of the previous year. Meanwhile, the latest consensus estimate predicts the revenue to be $2.33 billion, indicating a 4.91% increase compared to the same quarter of the previous year.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $5.57 per share and revenue of $9.51 billion. These totals would mark changes of +4.9% and +8.04%, respectively, from last year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Sprouts Farmers. Recent revisions tend to reflect the latest near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. As of now, Sprouts Farmers holds a Zacks Rank of #2 (Buy).
Investors should also note Sprouts Farmers's current valuation metrics, including its Forward P/E ratio of 15.18. For comparison, its industry has an average Forward P/E of 15.18, which means Sprouts Farmers is trading at no noticeable deviation to the group.
Meanwhile, SFM's PEG ratio is currently 1.79. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Food - Natural Foods Products was holding an average PEG ratio of 1.77 at yesterday's closing price.
The Food - Natural Foods Products industry is part of the Retail-Wholesale sector. At present, this industry carries a Zacks Industry Rank of 106, placing it within the top 44% of over 250 industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow SFM in the coming trading sessions, be sure to utilize Zacks.com.