Sprouts Farmers Market (NASDAQ:SFM) Shares Gap Up Following Earnings Beat

Sprouts Farmers Market, Inc. (NASDAQ:SFM - Get Free Report) gapped up before the market opened on Thursday following a stronger than expected earnings report. The stock had previously closed at $118.84, but opened at $135.10. Sprouts Farmers Market shares last traded at $130.18, with a volume of 655,924 shares trading hands.

The company reported $0.91 EPS for the quarter, beating the consensus estimate of $0.77 by $0.14. Sprouts Farmers Market had a net margin of 4.52% and a return on equity of 27.53%. The firm had revenue of $1.95 billion during the quarter, compared to analysts' expectations of $1.88 billion. During the same period in the prior year, the company earned $0.65 EPS. The business's quarterly revenue was up 13.6% compared to the same quarter last year.

Wall Street Analysts Forecast Growth

Several analysts have recently weighed in on SFM shares. The Goldman Sachs Group lifted their price objective on Sprouts Farmers Market from $111.00 to $127.00 and gave the stock a "buy" rating in a report on Tuesday, October 22nd. Royal Bank of Canada began coverage on shares of Sprouts Farmers Market in a research note on Thursday, September 12th. They issued a "sector perform" rating and a $107.00 price objective for the company. Bank of America lifted their target price on shares of Sprouts Farmers Market from $115.00 to $135.00 and gave the company a "buy" rating in a research report on Friday, October 25th. Wells Fargo & Company increased their price target on shares of Sprouts Farmers Market from $90.00 to $130.00 and gave the stock an "equal weight" rating in a research report on Thursday. Finally, Evercore ISI lifted their price objective on Sprouts Farmers Market from $125.00 to $130.00 and gave the company an "outperform" rating in a report on Tuesday, October 22nd. Nine investment analysts have rated the stock with a hold rating and three have assigned a buy rating to the stock. According to MarketBeat.com, the company presently has a consensus rating of "Hold" and an average price target of $112.20.

Insider Activity at Sprouts Farmers Market

In other Sprouts Farmers Market news, Director Kristen E. Blum sold 2,000 shares of the stock in a transaction dated Monday, August 26th. The shares were sold at an average price of $100.00, for a total transaction of $200,000.00. Following the sale, the director now owns 51,627 shares of the company's stock, valued at $5,162,700. This represents a 0.00 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. In other Sprouts Farmers Market news, Director Kristen E. Blum sold 2,000 shares of the company's stock in a transaction on Monday, August 26th. The stock was sold at an average price of $100.00, for a total transaction of $200,000.00. Following the transaction, the director now owns 51,627 shares of the company's stock, valued at approximately $5,162,700. This represents a 0.00 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Dustin Hamilton sold 500 shares of the business's stock in a transaction on Wednesday, August 21st. The stock was sold at an average price of $97.52, for a total value of $48,760.00. Following the sale, the insider now owns 27,188 shares of the company's stock, valued at approximately $2,651,373.76. The trade was a 0.00 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 65,438 shares of company stock valued at $6,528,580 in the last three months. Corporate insiders own 1.10% of the company's stock.

Institutional Trading of Sprouts Farmers Market

A number of institutional investors have recently bought and sold shares of the business. UMB Bank n.a. raised its holdings in Sprouts Farmers Market by 26.3% in the third quarter. UMB Bank n.a. now owns 605 shares of the company's stock worth $67,000 after purchasing an additional 126 shares during the period. Mercer Global Advisors Inc. ADV grew its stake in Sprouts Farmers Market by 0.8% in the second quarter. Mercer Global Advisors Inc. ADV now owns 18,717 shares of the company's stock valued at $1,566,000 after acquiring an additional 148 shares during the period. Sequoia Financial Advisors LLC increased its holdings in shares of Sprouts Farmers Market by 4.5% in the third quarter. Sequoia Financial Advisors LLC now owns 3,645 shares of the company's stock worth $402,000 after acquiring an additional 158 shares in the last quarter. Hanseatic Management Services Inc. raised its position in shares of Sprouts Farmers Market by 23.3% during the third quarter. Hanseatic Management Services Inc. now owns 931 shares of the company's stock worth $103,000 after purchasing an additional 176 shares during the period. Finally, Ironwood Investment Counsel LLC grew its position in shares of Sprouts Farmers Market by 3.8% in the 1st quarter. Ironwood Investment Counsel LLC now owns 5,277 shares of the company's stock valued at $340,000 after purchasing an additional 195 shares during the period.

Sprouts Farmers Market Price Performance

The company has a 50-day moving average of $108.91 and a 200-day moving average of $90.61. The company has a debt-to-equity ratio of 0.01, a quick ratio of 0.44 and a current ratio of 1.03. The firm has a market capitalization of $12.86 billion, a price-to-earnings ratio of 40.26, a price-to-earnings-growth ratio of 2.75 and a beta of 0.56.

About Sprouts Farmers Market

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.