Sprouts Farmers Market, Inc. (NASDAQ:SFM) Receives Average Rating of "Moderate Buy" from Analysts

Key Points

• Sprouts Farmers Market, Inc. has received an average recommendation of “Moderate Buy” from 15 research firms, with five recommending a hold and ten recommending a buy.
• The average 1-year target price for Sprouts Farmers Market stock is reported to be $176.29, with several analysts establishing various price targets, including Jefferies at $190.00 and Wells Fargo at $180.00.
• Insiders have recently sold significant shares of Sprouts Farmers Market, with a total of 38,429 shares sold in the last quarter, which raises some concerns about insider confidence in the company's stock.

Shares of Sprouts Farmers Market, Inc. (NASDAQ:SFM - Get Free Report) have been assigned an average recommendation of "Moderate Buy" from the fifteen research firms that are presently covering the company, MarketBeat.com reports. Five equities research analysts have rated the stock with a hold recommendation and ten have issued a buy recommendation on the company. The average 1-year target price among brokers that have issued ratings on the stock in the last year is $176.2857.

SFM has been the subject of several research reports. Wells Fargo & Company upgraded shares of Sprouts Farmers Market from an "equal weight" rating to an "overweight" rating and boosted their price target for the stock from $175.00 to $180.00 in a research note on Tuesday, August 5th. Royal Bank Of Canada set a $148.00 target price on shares of Sprouts Farmers Market and gave the stock an "outperform" rating in a research note on Monday, October 13th. Evercore ISI lowered their target price on shares of Sprouts Farmers Market from $190.00 to $185.00 and set an "outperform" rating for the company in a research note on Tuesday, October 14th. Jefferies Financial Group upgraded shares of Sprouts Farmers Market from a "hold" rating to a "buy" rating and set a $190.00 target price for the company in a research note on Friday, August 1st. Finally, JPMorgan Chase & Co. initiated coverage on shares of Sprouts Farmers Market in a research note on Wednesday, August 20th. They set a "neutral" rating and a $159.00 target price for the company.

Insider Activity

In related news, insider Dustin Hamilton sold 7,200 shares of the business's stock in a transaction on Thursday, September 11th. The shares were sold at an average price of $138.95, for a total value of $1,000,440.00. Following the completion of the sale, the insider directly owned 16,349 shares of the company's stock, valued at $2,271,693.55. The trade was a 30.57% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Joseph D. O'leary sold 2,937 shares of the business's stock in a transaction 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 completion of the sale, the director directly owned 14,994 shares of the company's stock, valued at approximately $2,250,149.58. This trade represents a 16.38% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders have sold 38,429 shares of company stock valued at $5,351,362. Insiders own 1.10% of the company's stock.

Institutional Investors Weigh In On Sprouts Farmers Market

A number of institutional investors and hedge funds have recently bought and sold shares of SFM. GAMMA Investing LLC lifted its position in Sprouts Farmers Market by 20.1% in the first quarter. GAMMA Investing LLC now owns 2,347 shares of the company's stock valued at $358,000 after acquiring an additional 393 shares during the last quarter. Wealth Enhancement Advisory Services LLC lifted its position in Sprouts Farmers Market by 19.5% in the first quarter. Wealth Enhancement Advisory Services LLC now owns 7,114 shares of the company's stock valued at $1,086,000 after acquiring an additional 1,160 shares during the last quarter. Sowell Financial Services LLC purchased a new stake in Sprouts Farmers Market in the first quarter valued at $270,000. State of Alaska Department of Revenue lifted its position in Sprouts Farmers Market by 1.8% in the first quarter. State of Alaska Department of Revenue now owns 17,637 shares of the company's stock valued at $2,691,000 after acquiring an additional 310 shares during the last quarter. Finally, Avior Wealth Management LLC lifted its position in Sprouts Farmers Market by 403.3% in the first quarter. Avior Wealth Management LLC now owns 1,354 shares of the company's stock valued at $207,000 after acquiring an additional 1,085 shares during the last quarter.

Sprouts Farmers Market Stock Up 0.2%

NASDAQ:SFM opened at $111.78 on Friday. The company has a fifty day simple moving average of $127.39 and a two-hundred day simple moving average of $150.03. The company has a market cap of $10.92 billion, a price-to-earnings ratio of 23.00, a price-to-earnings-growth ratio of 1.26 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 - Get Free Report) last posted its quarterly earnings results on Wednesday, July 30th. The company reported $1.35 EPS for the quarter, topping the consensus estimate of $1.23 by $0.12. The business had revenue of $2.22 billion during the quarter, compared to the consensus estimate of $2.16 billion. Sprouts Farmers Market had a net margin of 5.77% and a return on equity of 36.53%. The company's quarterly revenue was up 17.3% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $0.94 earnings per share. 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, analysts expect that Sprouts Farmers Market will post 4.29 EPS for the current year.

Sprouts Farmers Market declared that its Board of Directors has approved a share repurchase program on Tuesday, August 19th that permits the company to buyback $0.00 in shares. This buyback authorization permits the company to buy shares of its stock through open market purchases. Stock buyback programs are usually an indication that the company's management believes its stock is undervalued.

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.

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