Sprouts Farmers Market (NASDAQ:SFM) Cut to Hold at Wall Street Zen

Sprouts Farmers Market (NASDAQ:SFM) was downgraded by stock analysts at Wall Street Zen from a “buy” rating to a “hold” rating in a research report issued to clients and investors on Saturday.

Several other equities research analysts have also commented on SFM. The Goldman Sachs Group set a $111.00 price objective on shares of Sprouts Farmers Market in a research report on Friday. Deutsche Bank Aktiengesellschaft cut shares of Sprouts Farmers Market from a “buy” rating to a “hold” rating and set a $88.00 target price for the company. in a research report on Thursday, January 8th. Evercore reiterated an “outperform” rating on shares of Sprouts Farmers Market in a research report on Tuesday, February 10th. Weiss Ratings reissued a “hold (c)” rating on shares of Sprouts Farmers Market in a research note on Monday, December 29th. Finally, Barclays cut their price objective on Sprouts Farmers Market from $122.00 to $100.00 and set an “overweight” rating for the company in a research report on Wednesday. Eight equities research analysts have rated the stock with a Buy rating and seven have given a Hold rating to the company. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $108.15.

Sprouts Farmers Market Price Performance

Sprouts Farmers Market stock opened at $67.48 on Friday. Sprouts Farmers Market has a one year low of $64.75 and a one year high of $182.00. The company has a debt-to-equity ratio of 0.04, a quick ratio of 0.53 and a current ratio of 1.05. The business has a fifty day moving average of $74.43 and a two-hundred day moving average of $98.38. The company has a market cap of $6.57 billion, a P/E ratio of 12.73, a price-to-earnings-growth ratio of 0.74 and a beta of 0.75.

Sprouts Farmers Market (NASDAQ:SFM) last posted its quarterly earnings results on Thursday, February 19th. The company reported $0.92 earnings per share for the quarter, topping analysts’ consensus estimates of $0.89 by $0.03. Sprouts Farmers Market had a net margin of 5.95% and a return on equity of 38.51%. The business had revenue of $2.15 billion for the quarter, compared to analysts’ expectations of $2.15 billion. During the same period in the prior year, the company posted $0.79 EPS. The business’s revenue for the quarter was up 7.6% on a year-over-year basis. Sprouts Farmers Market has set its FY 2026 guidance at 5.280-5.440 EPS and its Q1 2026 guidance at 1.660-1.700 EPS. As a group, analysts predict that Sprouts Farmers Market will post 4.29 earnings per share for the current fiscal year.

Insider Activity at Sprouts Farmers Market

In other Sprouts Farmers Market news, insider John Scott Neal sold 17,471 shares of the stock in a transaction on Wednesday, December 3rd. The stock was sold at an average price of $85.20, for a total transaction of $1,488,529.20. Following the transaction, the insider owned 14,178 shares of the company’s stock, valued at $1,207,965.60. This represents a 55.20% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this link. Also, CMO Alisa Gmelich sold 3,161 shares of the firm’s stock in a transaction on Friday, December 12th. The stock was sold at an average price of $79.39, for a total value of $250,951.79. Following the sale, the chief marketing officer owned 5,552 shares in the company, valued at $440,773.28. This trade represents a 36.28% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Corporate insiders own 1.10% of the company’s stock.

Hedge Funds Weigh In On Sprouts Farmers Market

Several large investors have recently added to or reduced their stakes in SFM. Norges Bank purchased a new stake in Sprouts Farmers Market in the 4th quarter valued at about $161,398,000. Bank of America Corp DE boosted its position in shares of Sprouts Farmers Market by 137.0% in the second quarter. Bank of America Corp DE now owns 2,584,923 shares of the company’s stock worth $425,582,000 after acquiring an additional 1,494,014 shares during the last quarter. Voloridge Investment Management LLC grew its holdings in Sprouts Farmers Market by 652.7% in the third quarter. Voloridge Investment Management LLC now owns 1,411,246 shares of the company’s stock valued at $153,544,000 after purchasing an additional 1,223,753 shares during the period. Champlain Investment Partners LLC purchased a new stake in Sprouts Farmers Market in the fourth quarter valued at approximately $81,557,000. Finally, Two Sigma Investments LP increased its position in Sprouts Farmers Market by 185.2% during the third quarter. Two Sigma Investments LP now owns 1,300,786 shares of the company’s stock worth $141,526,000 after purchasing an additional 844,717 shares during the last quarter.

Key Headlines Impacting Sprouts Farmers Market

Here are the key news stories impacting Sprouts Farmers Market this week:

• Positive Sentiment: Q4 beat on EPS and sales growth — Sprouts reported $0.92 EPS vs. $0.89 consensus and revenue roughly in line, with revenue up ~7.6% YoY; e-commerce rose ~15%, showing continued channel mix tailwinds. This supports the company’s underlying sales momentum. Zacks: Sprouts Q4 Earnings Beat
• Positive Sentiment: Notable investor interest — reports that billionaire Philippe Laffont has been buying SFM shares may provide a vote of confidence from an institutional value-oriented investor. Yahoo Finance: Why Sprouts is Attractive
• Neutral Sentiment: Management changes announced — Sprouts appointed a new chief merchandising officer and a chief customer officer while a long-tenured merchandising executive will retire; this is a routine leadership refresh that could influence merchandising and customer strategy over time. Business Wire: Management Changes
• Neutral Sentiment: Conference materials and call transcripts available — investors can review the company slide deck and earnings call transcript for detailed comps, margin cadence and category trends to refine near-term models. Quarter Presentation
• Negative Sentiment: Softer guidance drove the downside — Sprouts cut Q1 FY2026 EPS guidance to $1.66–$1.70 (consensus ~$1.81) and FY2026 EPS to $5.28–$5.44 (consensus ~$5.68); revenue guidance ($9.2–$9.4B) also trails Street estimates. Management flagged a “soft start” to 2026 and margin pressure ahead, which is the clearest near‑term negative catalyst. Business Wire: Q4 Results & Guidance
• Negative Sentiment: Analysts trimmed targets and tone — JPMorgan cut its price target to $77 and moved to Neutral, while Bank of America trimmed its target to $92 (maintaining Buy). Those reductions and the neutral shift from a major house amplify selling pressure after the light guidance. TickerReport/Benzinga: JPMorgan PT Cut Benzinga: Bank of America PT Trim

Sprouts Farmers Market Company Profile

Sprouts Farmers Market, Inc (NASDAQ: SFM) is a specialty grocery retailer focused on fresh, natural and organic foods. Headquartered in Phoenix, Arizona, the company operates stores designed to offer an open-market shopping experience, emphasizing quality produce sourced from regional farmers alongside organic pantry staples, dairy, meat and seafood. Sprouts’ product assortment also includes bulk foods, vitamins and supplements, a deli and prepared foods, reflecting its commitment to wellness and affordable healthy living.

Founded in 2002 by members of the Boney family, Sprouts began as a single farmers market in Chandler, Arizona.