Goldman lowered the price target for the Sprouts Farmers Market Inc. (NASDAQ:SFM) stock from “a Neutral” to “a Sell”. The rating was released on December 10, 2020. The research report from MKM Partners has reiterated the stock to Buy, with a price target set at $37. In their research brief published August 06, 2020, Credit Suisse analysts resumed the Sprouts Farmers Market Inc. stock to Neutral with a price target of $26.
Historical Earnings Surprises and Revenue Forecasts
Profit is the most critical financial performance measure. Every investor in a business is looking forward to the earnings report as stock price to increase when earnings exceed market expectations and progressively decrease when earnings do not meet expectations. The firm reported an earnings per share (EPS) of $0.58 during the last quarter as opposed to a consensus estimate of $0.39, which indicates the company beat its estimate by $0.19, which implies that the company surprised the market by 48.70%. It appears that the average earnings per share estimate for the current quarter (ending in Mar 2021) is $0.6. This is an average of 17 analysts’ earnings, where the high earnings per share estimate is $0.68 and the low earnings per share estimate is $0.51. According to 14 analyst estimates, an average revenue estimate of $1.62B is projected for the current quarter with a high revenue estimate of $1.65B and a low estimate of $1.59B.
The latest trade, Performances and Moving Averages give us the following Picture
The share price of Sprouts Farmers Market Inc. (NASDAQ:SFM) raised 3.59% to close Monday’s market session at $26.53, higher as compared to yesterday’s close. The stock price fluctuated between $25.65 and $26.62 throughout the trading session with the volume trading being 1733303 shares, which represented a significant variation when compared to the three months average volume of 2.52 million shares. The firm’s stock price fluctuated 3.75% within the last five trades and 0.42% within the last 30 trades, which was a significant change from the beginning of this year. Despite the fact that the share price increased 36.19% in the last 6 months and 19.16% was added to its value over the previous 3 months. SFM stock is trading at a margin of 0.14%, 5.80% and 16.99% apart from the 20-Day, 50-Day and 200-Day Simple Moving Average prices.
As of the close of trading, SFM deals in the Consumer Defensive domain. The stock is trading -7.33 percent below its 52-week high and 45.69 percent above its 52-week low. For example, looking both at the price and the high and low measurements of 52 weeks will give you a clearer picture of the direction the price is heading. The firm’s Weighted Alpha is 14.57. A positive weighted alpha indicates the firm has done well over the course of the year, whereas one below 0 indicates that the firm has done poorly.
What Does Sprouts Farmers Market Inc.’s Profitability and Valuation Ratios Tell Us About the Stock?
With regard to the profitability of the company, the operating margin is currently at 6.10 percent and the profit margin is 4.40 percent, and the company has reported a gross margin of 36.80 percent. The profit margin, also known as the revenue ratio or gross profit ratio, is an efficiency figure used to estimate the business’s profitability by comparing net income and sales. The higher the number, the more profits are generated for the company and vice versa.
The stock’s market cap achieved a total value of $3.20 billion as of the last trading session. Market capitalization is the total value of all outstanding shares of a corporation and it is used to measure a company’s market value. The price-to-earnings ratio for Sprouts Farmers Market Inc. (NASDAQ:SFM) is 10.90. The price-to-earnings ratio is a method of assessing corporate values by comparing them to their per-share profit. Forward P/E stands at 13.07. Forward price-to-earnings is calculated using predicted earnings for the next financial year’s P/E determination. The stock has achieved an effective Price-to-Sales Ratio of 0.50 that mirrors the cost to be found for sales by the market. The firm managed a Price-to-Book ratio of 3.55, which equates the market value of a stock with its book value.
Is Insider Trading a Real Thing?
Sinclair Jack, the Chief Executive Officer at Sprouts Farmers Market Inc. (SFM) has sold 7,557 shares of firm on Mar 10 at a price of $23.17 against the total amount of $0.18 million. In another inside trade, Hilgendorf Stacy W., VP, Controller of Sprouts Farmers Market Inc. (NASDAQ:SFM) sold 419 shares of the firm on Mar 10 for a total worth of $9708.0 at a price of $23.17. An inside trade which took place on Mar 10, Chief Financial Officer of Sprouts Farmers Market Inc. Paulonis Denise sold 8,359 shares of firm against total price of $0.19 million at the cost of $23.17 per share.