Sprouts Farmers Valuation
| SFM Stock | USD 63.10 0.68 1.09% |
At this time, the company appears to be overvalued. Sprouts Farmers Market has a current Real Value of $53.29 per share. The regular price of the company is $63.1. Our model measures the value of Sprouts Farmers Market from inspecting the company fundamentals such as Return On Equity of 0.24, operating margin of 0.04 %, and Shares Outstanding of 100.85 M as well as reviewing its technical indicators and probability of bankruptcy. In general, most investors recommend obtaining undervalued stocks and abandoning overvalued stocks since, at some point, asset prices and their ongoing real values will draw towards each other. Key fundamental drivers impacting Sprouts Farmers' valuation include:
Price Book 5.4879 | Enterprise Value 7.8 B | Enterprise Value Ebitda 12.4912 | Price Sales 0.9219 | Forward PE 21.0526 |
Overvalued
Today
Please note that Sprouts Farmers' price fluctuation is very steady at this time. Calculation of the real value of Sprouts Farmers Market is based on 3 months time horizon. Increasing Sprouts Farmers' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Sprouts Farmers Market is useful when determining the fair value of the Sprouts stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Sprouts Farmers. Since Sprouts Farmers is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Sprouts Stock. However, Sprouts Farmers' intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 63.1 | Real 53.29 | Target 35.67 | Hype 63.29 |
The real value of Sprouts Stock, also known as its intrinsic value, is the underlying worth of Sprouts Farmers Market Company, which is reflected in its stock price. It is based on Sprouts Farmers' financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of Sprouts Farmers' stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Sprouts Farmers' stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Sprouts Farmers Market helps investors to forecast how Sprouts stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Sprouts Farmers more accurately as focusing exclusively on Sprouts Farmers' fundamentals will not take into account other important factors: Traditionally analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Sprouts Farmers' intrinsic value based on its ongoing forecasts of Sprouts Farmers' financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Sprouts Farmers' closest peers. When choosing an evaluation method for Sprouts Farmers Market, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using both methods to arrive at a better estimate.
Sprouts Farmers Investments |
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Sprouts Valuation Trend
Knowing Sprouts Farmers' actual value is paramount for traders to make sound investment determinations. Sprouts Farmers' real value is not only important for the investor to make better decisions but also for a more accurate overall view of Sprouts Farmers' financial worth over time since having this information enables investors and analysts to forecast the earnings more efficiently. Using both Sprouts Farmers' enterprise value as well as its market capitalization is the best way to gauging the value of the company and is usually enough for investors to make market timing descisions.
Sprouts Market Cap
Sprouts Farmers Market is currently regarded as top stock in market capitalization category among related companies. Market capitalization of Consumer Staples industry is at this time estimated at about 15.59 Billion. Sprouts Farmers totals roughly 6.28 Billion in market capitalization claiming about 40% of stocks in Consumer Staples industry.Sprouts Farmers Valuation Ratios as Compared to Competition
Comparative valuation techniques use various fundamental indicators to help in determining Sprouts Farmers's current stock value. Our valuation model uses many indicators to compare Sprouts Farmers value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Sprouts Farmers competition to find correlations between indicators driving Sprouts Farmers's intrinsic value. More Info.Sprouts Farmers Market is currently regarded as top stock in price to earning category among related companies. It is currently regarded as top stock in price to book category among related companies fabricating about 0.38 of Price To Book per Price To Earning. The ratio of Price To Earning to Price To Book for Sprouts Farmers Market is roughly 2.63 . As of the 18th of April 2024, Price To Book Ratio is likely to grow to 7.65. Comparative valuation analysis is a catch-all model that can be used if you cannot value Sprouts Farmers by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Sprouts Farmers' Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Sprouts Farmers' earnings, one of the primary drivers of an investment's value.Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Sprouts Farmers' worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Sprouts Farmers and how it compares across the competition.
About Sprouts Farmers Valuation
The stock valuation mechanism determines the current worth of Sprouts Farmers Market on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of Sprouts Farmers Market. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Sprouts Farmers Market based exclusively on its fundamental and basic technical indicators. By analyzing Sprouts Farmers's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Sprouts Farmers's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Sprouts Farmers. We calculate exposure to Sprouts Farmers's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Sprouts Farmers's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 2.5 B | 1.5 B | |
| Pretax Profit Margin | 0.05 | 0.03 | |
| Operating Profit Margin | 0.05 | 0.04 | |
| Net Profit Margin | 0.04 | 0.02 | |
| Gross Profit Margin | 0.37 | 0.26 |
8 Steps to conduct Sprouts Farmers' Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Sprouts Farmers' potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Sprouts Farmers' valuation analysis, follow these 8 steps:- Gather financial information: Obtain Sprouts Farmers' financial statements, including balance sheets, income statements, and cash flow statements.
- Determine Sprouts Farmers' revenue streams: Identify Sprouts Farmers' primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research Sprouts Farmers' industry and market trends, including the size of the market, growth rate, and competition.
- Establish Sprouts Farmers' growth potential: Evaluate Sprouts Farmers' management, business model, and growth potential.
- Determine Sprouts Farmers' financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Sprouts Farmers' estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Sprouts Farmers Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as Sprouts Farmers does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 103.4 M | |
| Quarterly Earnings Growth Y O Y | 0.176 | |
| Forward Price Earnings | 21.0526 |
Sprouts Farmers Current Valuation Indicators
Valuation refers to the process of determining the present value of Sprouts Farmers Market and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Sprouts we look at many different elements of the entity such as Sprouts's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. Sprouts Farmers' valuation analysis is also a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Sprouts Farmers' valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Sprouts Farmers, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Sprouts Farmers' valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Sprouts Farmers' worth.When determining whether Sprouts Farmers Market is a strong investment it is important to analyze Sprouts Farmers' competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Sprouts Farmers' future performance. For an informed investment choice regarding Sprouts Stock, refer to the following important reports: Check out World Market Map to better understand how to build diversified portfolios, which includes a position in Sprouts Farmers Market. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in census. Note that the Sprouts Farmers Market information on this page should be used as a complementary analysis to other Sprouts Farmers' statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the FinTech Suite module to use AI to screen and filter profitable investment opportunities.
Complementary Tools for Sprouts Stock analysis
When running Sprouts Farmers' price analysis, check to measure Sprouts Farmers' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Sprouts Farmers is operating at the current time. Most of Sprouts Farmers' value examination focuses on studying past and present price action to predict the probability of Sprouts Farmers' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Sprouts Farmers' price. Additionally, you may evaluate how the addition of Sprouts Farmers to your portfolios can decrease your overall portfolio volatility.
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Is Sprouts Farmers' industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Sprouts Farmers. If investors know Sprouts will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Sprouts Farmers listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.176 | Earnings Share 2.5 | Revenue Per Share 66.72 | Quarterly Revenue Growth 0.077 | Return On Assets 0.0756 |
The market value of Sprouts Farmers Market is measured differently than its book value, which is the value of Sprouts that is recorded on the company's balance sheet. Investors also form their own opinion of Sprouts Farmers' value that differs from its market value or its book value, called intrinsic value, which is Sprouts Farmers' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Sprouts Farmers' market value can be influenced by many factors that don't directly affect Sprouts Farmers' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Sprouts Farmers' value and its price as these two are different measures arrived at by different means. Investors typically determine if Sprouts Farmers is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Sprouts Farmers' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.