SFM
The selloff finally did some work for you
Sprouts Farmers Market has been on a brutal diet — the stock is down 53%, and suddenly the math looks a lot friendlier. That’s why the company is getting an upgrade to a soft “buy”: not because growth is screaming higher, but because the price got tossed off the deep end.
Growth is slower, but not exactly asleep
The company expects 2026 revenue to rise 4.5% to 6.5%, with the heavy lifting coming from about 40 new store openings. Comparable sales are projected to be flat to down 1%, which is basically retail-speak for “don’t expect the parking lot to suddenly turn into a festival.” Still, that’s not the same thing as a broken business.
The private-label play still matters
Sprouts’ own-brand products and new product launches are helping it keep more control over margins. In other words, it’s trying to make more money from the stuff it sells instead of just hoping shoppers show up in bigger numbers.
Big picture: cheaper stock, same company
For investors, this is the classic “the stock got hit harder than the fundamentals” setup. You’re not buying a fireworks show here — you’re buying a grocer with slower growth, steady expansion, and a valuation that finally looks less like a luxury item.