Sprouts Farmers (SFM) Falls More Steeply Than Broader Market: What Investors Need to Know

Company Performance - Sprouts Farmers (SFM) closed at $158.88, reflecting a -3.23% change from the previous day, underperforming compared to the S&P 500's daily loss of 0.07% [1] - Over the last month, SFM shares decreased by 0.94%, while the Retail-Wholesale sector gained 1.87% and the S&P 500 gained 3.94% [1] Upcoming Earnings Report - The company is set to release its earnings on July 30, 2025, with a forecasted EPS of $1.22, indicating a 29.79% increase from the same quarter last year [2] - Revenue is expected to be $2.16 billion, representing a 14.34% growth compared to the corresponding quarter of the prior year [2] Annual Estimates - For the annual period, Zacks Consensus Estimates predict earnings of $5.08 per share and revenue of $8.77 billion, reflecting increases of +35.47% and +13.6% respectively from the previous year [3] Analyst Sentiment - Recent changes to analyst estimates for Sprouts Farmers suggest positive sentiment regarding the business and profitability, as upward revisions indicate analyst optimism [3][4] Zacks Rank - Sprouts Farmers currently holds a Zacks Rank of 2 (Buy), with a historical average annual gain of +25% for 1 ranked stocks since 1988 [5] Valuation Metrics - The company has a Forward P/E ratio of 32.32, which is a premium compared to its industry's Forward P/E of 17.48 [6] - SFM's PEG ratio stands at 2.05, higher than the Food - Natural Foods Products industry's average PEG ratio of 1.65 [7] Industry Context - The Food - Natural Foods Products industry is part of the Retail-Wholesale sector and currently holds a Zacks Industry Rank of 181, placing it in the bottom 27% of over 250 industries [8]