United Natural Foods (UNFI), a leading distributor of natural and organic foods, announced its intention to acquire supermarket operator and wholesaler Supervalu (SVU) this morning.
Supervalu’s (SVU) stock has failed to please investors for quite some time now. After losing about 70% of its value between 2015 and 2017, the stock has already shed more than 30% so far this year.
Supervalu’s gross profit improved marginally to $411 million during 3Q18. However, the gross margin fell by more than 300 basis points to 10.5% of sales.
Prykull favored dollar stores and called them relatively “immune.” He was particularly positive on Dollar Tree (DLTR) and named the stock as his top pick.
Dollar Tree’s (DLTR) stock market performance has been quite satisfactory so far this year. The company is sitting at a YTD (year-to-date) profit of more than 20%.
Sprouts Farmers Market (SFM) reported a 16.4% YoY (year-over-year) increase in total sales to $1.2 billion for the third quarter, which ended in October 2017.
Sprouts Farmer’s Market’s (SFM) stock market performance this year has been quite sensitive to the Whole Foods-Amazon (AMZN) deal that took place in mid-June.
The fall in grocery stock prices reflects the rising pessimism in food retail. The pressure increased after Amazon (AMZN) entered the food retail space.
Ten Wall Street analysts cover Supervalu’s (SVU) stock. The company received a neutral rating of 2.5 from Wall Street. Ratings are on a scale of 1 (strong buy) to 5 (sell).
Grocery stocks continued their challenging run in August as online juggernaut Amazon (AMZN) closed on its acquisition of organic and natural food retailer Whole Foods Market.
Phoenix, Arizona–based Sprouts Farmers Market (SFM) reported its 2Q17 results on August 3. Total sales for SFM increased 15% year-over-year to $1.2 billion, $17.0 million more than consensus estimates.
Sprouts Farmers Market (SFM) is valued at a one-year forward price-to-earnings ratio (or PE) of 26.0x, which is close to the upper end of its 52-week PE range of 20.0x–27.0x.
On June 16, 2017, Amazon announced its intention to acquire Whole Foods Market for $13.4 billion. The deal bolstered Whole Foods Market’s stock price by 29%.
For fiscal 2017, Sprouts Farmers Market’s (SFM) management expects sales to grow in the 12.5%–13.5% range based on positive same-store sales and 32 new stores.
Arizona-based Sprouts Farmers Market (SFM) is slated to release its 2Q17 results on August 3. Its total sales are expected to rise 12.9% year-over-year to ~$1.2 billion.
WFM will report its fiscal 3Q17 results on July 26, 2017. The premium organic retailer is expected to post top line growth of 0.6% YoY (year-over-year) in fiscal 3Q17.
SuperValu finally beats earnings estimates in 4Q17 SuperValu (SVU) reported adjusted EPS (earnings per share) of $0.13 in 4Q17, outperforming Wall Street expectations by $0.05. The first earnings beat for the company in 2017, it was largely driven by a better-than-expected top line and an improved gross profit rate. However, EPS were 7% lower than […]
SuperValu’s top line grows 0.6% in 4Q17 SuperValu’s (SVU) fourth-quarter sales rose 0.6% YoY (year-over-year) to $2.9 billion, beating the consensus estimate by $10 million. The company has missed Wall Street’s top-line estimates for the last six consecutive quarters. Its top line returned to growth after falling for five straight quarters. In 4Q17, sales […]
Wholesale drives SuperValu’s top line As discussed, SuperValu (SVU) reported its 4Q17 results on April 25. The company returned to growth after several quarters of sales decline. The company’s wholesale segment was the key driver of its 1Q17 top line. Sales from this segment stood at $1.8 billion, up 3% YoY (year-over-year). Revenue growth was […]
After adjusting for certain one-time charges, third quarter net earnings (from continuing operations) stood at $14 million, or $0.05 per diluted share.
Fiscal 2016 top line rises 13% Despite ongoing deflationary headwinds throughout 2016, Sprouts Farmers Market (SFM) delivered industry-leading top line growth in 2016. The company’s total sales rose 13% to $4 billion during the year. On a 52-week basis, its sales rose 15% YoY (year-over-year), compared to the trailing-12-month top line growths of 1.7%, 4.6%, and […]
Sprouts Farmers Market reported its 4Q16 results on February 23, 2017. The company reported quarterly earnings per share (or EPS) of $0.13, outdoing analysts’ estimates by $0.01.
Sprouts Farmers Market (SFM) reported a 6% YoY (year-over-year) rise in its sales to $986 million in 4Q16, ~$11 million higher than analysts’ expectations.
Phoenix, Arizona–based Sprouts Farmers Market reported its 4Q16 and 2016 results on February 23, 2017. The results relate to the three-month period that ended on January 1, 2017.
Sprouts thinks that the deflationary environment could impact its fourth quarter results and is expecting cost deflation of around 1% in the fourth quarter.
Whole Foods Market (WFM) reported its results for fiscal 1Q17 on February 8, 2017. The natural food retailer reported earnings per share of $0.39, 15% lower than in fiscal 1Q16.
Valuations of most supermarkets have taken a hit as the companies have been severely punished in the stock markets for their poor financial performance and bleak outlooks.
Supervalu’s Retail Food segment, which operates under banners like Cub Foods, Farm Fresh, and Shop ‘n Save, reported a 3.4% fall in sales to ~$1.1 billion.
Kroger expects its fiscal 2017 adjusted EPS to be in the $2.10–$2.15 range, as compared to the previous guidance of $2.10–$2.20 and $2.19–$2.28 before that.
Whole Foods Market (WFM) reported its results for fiscal 4Q16 on November 2, 2016. The company reported a 1.7% year-over-year increase in its top line to $3.5 billion.
The second quarter of 2016 turned out to be a strong quarter for Sprouts Farmers Market (SFM). It reported a rise in EPS of 14.0% YoY to $0.25, beating Wall Street estimates by $0.01.
Sprouts Farmers Market (SFM) is slated to release its 3Q16 results on Thursday, November 3, 2016, before the market opens. Wall Street is expecting a fall of 19.0% in EPS.
The current year has been difficult for food retail stocks due to rising deflation and increasing competition. Food prices fell for nine months this year.
Sprouts Farmers Market’s (SFM) guidance revision ahead of the Goldman Sachs 23rd Annual Global Retailing Conference resulted in a stock price crash for the company on September 7.
SUPERVALU’s stock spiked on August 15, 2016, as it reached a supply agreement with The Fresh Market to serve as its grocery wholesaler and distributor.
