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Sprouts Farmers (SFM) Operational Endeavors Appear to be on Track
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Sprouts Farmers Market (SFM - Free Report) is poised for robust growth, underpinned by a strategic roadmap that includes dynamic initiatives aimed at enhancing market presence. The company is strategically focusing on product innovation, expanding its e-commerce footprint and deploying targeted marketing strategies coupled with competitive everyday pricing.
In a bid to attract new customers, SFM is employing data-driven marketing tactics and leveraging technology across various channels. The company is particularly optimistic about its significant expansion plans, with the anticipation of opening approximately 35 new stores in 2024 and maintaining a robust pipeline of 100 additional sites. Sprouts Farmers is also optimizing its fresh supply chain and elevating its brand positioning through innovation and analytics to support sustained growth in market share and presence.
Sprouts Farmers has joined forces with Uber Eats. The company aims to provide expanded fulfillment options and accessibility to its specialized grocery offerings through this integrated last-mile delivery solution. By leveraging Uber Eats' technology and logistics network, management hopes to enable fast doorstep delivery of its products to serve changing consumer preferences and omnichannel shopping habits.
Image Source: Zacks Investment Research
With this partnership, customers can now access more than 15,000 Sprouts Farmers products through the Uber Eats app. The collaboration with Uber Eats positions Sprouts for continued growth and prominence in the evolving landscape of on-demand grocery delivery. Its collaborations with Instacart and DoorDash also signify commitment to strengthening online presence and reaching new markets.
Management believes that strategic initiatives around targeted assortment, fresh supply-chain improvements, enhanced marketing and disciplined operational execution position SFM well to gain market share in the natural/organic space over time. These efforts support the profitable growth outlook despite prudent near-term caution. The company expects comparable store sales growth of approximately 3% for the current fiscal year.
Wrapping Up
Sprouts Farmers’ strategic initiatives, coupled with its resilience and adaptability to changing consumer habits, position the company for continued growth and prominence in the highly competitive retail landscape.
This Zacks Rank #3 (Hold) company has outpaced the industry, with its shares gaining 28.3% over the past six months compared with 17.5% growth of the industry.
Key Picks
Here, we have highlighted three better-ranked stocks, namely Flowers Food (FLO - Free Report) , Ingredion Incorporated (INGR - Free Report) and Ollie’s Bargain (OLLI - Free Report)
The Zacks Consensus Estimate for FLO’s current financial-year sales suggests growth of 5.9% from the year-ago reported figure.
Ingredion, which produces and sells sweeteners, starches, nutrition ingredients and biomaterial solutions, holds a Zacks Rank #2. INGR delivered an earnings surprise of 23.9% in the last reported quarter.
The Zacks Consensus Estimate for INGR’s current financial-year sales and earnings suggests growth of around 5% and 24.7%, respectively, from the year-ago reported numbers.
Ollie’s Bargain, a value retailer of brand name merchandise at drastically reduced prices, holds a Zacks Rank #2. OLLI delivered an average earnings surprise of 7% in the trailing four quarters.
The Zacks Consensus Estimate for OLLI’s current financial-year sales and earnings suggests growth of around 15.1% and 74.7%, respectively, from the year-ago reported numbers.
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Sprouts Farmers (SFM) Operational Endeavors Appear to be on Track
Sprouts Farmers Market (SFM - Free Report) is poised for robust growth, underpinned by a strategic roadmap that includes dynamic initiatives aimed at enhancing market presence. The company is strategically focusing on product innovation, expanding its e-commerce footprint and deploying targeted marketing strategies coupled with competitive everyday pricing.
In a bid to attract new customers, SFM is employing data-driven marketing tactics and leveraging technology across various channels. The company is particularly optimistic about its significant expansion plans, with the anticipation of opening approximately 35 new stores in 2024 and maintaining a robust pipeline of 100 additional sites. Sprouts Farmers is also optimizing its fresh supply chain and elevating its brand positioning through innovation and analytics to support sustained growth in market share and presence.
Sprouts Farmers has joined forces with Uber Eats. The company aims to provide expanded fulfillment options and accessibility to its specialized grocery offerings through this integrated last-mile delivery solution. By leveraging Uber Eats' technology and logistics network, management hopes to enable fast doorstep delivery of its products to serve changing consumer preferences and omnichannel shopping habits.
Image Source: Zacks Investment Research
With this partnership, customers can now access more than 15,000 Sprouts Farmers products through the Uber Eats app. The collaboration with Uber Eats positions Sprouts for continued growth and prominence in the evolving landscape of on-demand grocery delivery. Its collaborations with Instacart and DoorDash also signify commitment to strengthening online presence and reaching new markets.
Management believes that strategic initiatives around targeted assortment, fresh supply-chain improvements, enhanced marketing and disciplined operational execution position SFM well to gain market share in the natural/organic space over time. These efforts support the profitable growth outlook despite prudent near-term caution. The company expects comparable store sales growth of approximately 3% for the current fiscal year.
Wrapping Up
Sprouts Farmers’ strategic initiatives, coupled with its resilience and adaptability to changing consumer habits, position the company for continued growth and prominence in the highly competitive retail landscape.
This Zacks Rank #3 (Hold) company has outpaced the industry, with its shares gaining 28.3% over the past six months compared with 17.5% growth of the industry.
Key Picks
Here, we have highlighted three better-ranked stocks, namely Flowers Food (FLO - Free Report) , Ingredion Incorporated (INGR - Free Report) and Ollie’s Bargain (OLLI - Free Report)
Flowers Food produces and markets packaged bakery food products. It currently has a Zacks Rank #2 (Buy). FLO has a trailing four-quarter earnings surprise of 6.8%, on average. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The Zacks Consensus Estimate for FLO’s current financial-year sales suggests growth of 5.9% from the year-ago reported figure.
Ingredion, which produces and sells sweeteners, starches, nutrition ingredients and biomaterial solutions, holds a Zacks Rank #2. INGR delivered an earnings surprise of 23.9% in the last reported quarter.
The Zacks Consensus Estimate for INGR’s current financial-year sales and earnings suggests growth of around 5% and 24.7%, respectively, from the year-ago reported numbers.
Ollie’s Bargain, a value retailer of brand name merchandise at drastically reduced prices, holds a Zacks Rank #2. OLLI delivered an average earnings surprise of 7% in the trailing four quarters.
The Zacks Consensus Estimate for OLLI’s current financial-year sales and earnings suggests growth of around 15.1% and 74.7%, respectively, from the year-ago reported numbers.