Sprouts Farmers (SFM) closed the latest trading day at $159.75, indicating a +0.89% change from the previous session's end. The stock outpaced the S&P 500's daily loss of 0.76%. Meanwhile, the Dow experienced a drop of 0.28%, and the technology-dominated Nasdaq saw a decrease of 1.2%.

Prior to today's trading, shares of the natural and organic food retailer had gained 17.59% over the past month. This has outpaced the Retail-Wholesale sector's gain of 7.49% and the S&P 500's gain of 2.71% in that time.

Analysts and investors alike will be keeping a close eye on the performance of Sprouts Farmers in its upcoming earnings disclosure. The company's earnings report is set to go public on February 20, 2025. In that report, analysts expect Sprouts Farmers to post earnings of $0.71 per share. This would mark year-over-year growth of 44.9%. Alongside, our most recent consensus estimate is anticipating revenue of $1.95 billion, indicating a 14.84% upward movement from the same quarter last year.

Investors should also pay attention to any latest changes in analyst estimates for Sprouts Farmers. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research suggests that these changes in estimates have a direct relationship with upcoming 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, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Sprouts Farmers is currently sporting a Zacks Rank of #3 (Hold).

From a valuation perspective, Sprouts Farmers is currently exchanging hands at a Forward P/E ratio of 37.6. This denotes a premium relative to the industry's average Forward P/E of 19.06.

We can also see that SFM currently has a PEG ratio of 2.09. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The average PEG ratio for the Food - Natural Foods Products industry stood at 1.53 at the close of the market yesterday.

The Food - Natural Foods Products industry is part of the Retail-Wholesale sector. Currently, this industry holds a Zacks Industry Rank of 50, positioning it in the top 20% of all 250+ industries.

The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.

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Sprouts Farmers Market, Inc. (SFM) : Free Stock Analysis Report

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