Sprouts Farmers Market (SFM) is likely to post in-line delivery in Q4, but earnings upside potential could be more limited, Oppenheimer said in a Wednesday research report.

The brokerage said it expects Q4 EPS of $0.87 for the company, which is due to release its Q4 results on Feb. 19.

For fiscal years 2026 and 2027, analysts guided for EPS of $5.50 and $6, respectively.

The company has the ability to pivot amid a more challenging grocery backdrop in 2026 due to a jobs slump, potentially moderating inflation, an uptick in competition, and Supplemental Nutrition Assistance Program benefits reductions, analysts wrote.

With shares now closer to trough valuations, the brokerage said it now expects the stock to bottom in the low-to-mid-$60s.

The brokerage has a perform rating on the stock.

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