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Sprouts Farmers MarketMIL:1SFM 71 Graham Number is €27.95 as of Mar. 2026, which is 100% below its 10-year median of 3.42. GuruFocus rates MIL:1SFM with a GF Score™ of 71/100 and a GF Value™ of €85.03 (Modestly Undervalued). The stock has 1 warning sign investors should review. Among 238 Retail - Defensive companies, Sprouts Farmers Market ranks worse than 76.89% on this metric.
Graham Number is a figure that measures a stock's fundamental value by taking into account the company's earnings per share and book value per share. The Graham number is the upper bound of the price range that a defensive investor should pay for the stock. According to the theory, any stock price below the Graham number is considered undervalued, and thus worth investing in.
The historical rank and industry rank for Sprouts Farmers Market's Graham Number or its related term are showing as below:
MIL:1SFM'
s Price-to-Graham-Number Range Over the Past 10 Years
Min: 1.62 Med: 3.42 Max: 25.95
Current: 2.28
During the past 13 years, the highest Price to Graham Number ratio of Sprouts Farmers Market was 25.95. The lowest was 1.62. And the median was 3.42.
MIL:1SFM's Price-to-Graham-Number is ranked worse than 76.89% of 238
companies
in the Retail - Defensive industry
Industry Median: 1.3
vs MIL:1SFM: 2.28
Graham Number is a combination of asset valuation and earnings power valuation. It is a very conservative way of valuing a stock.
Sprouts Farmers Market (MIL:1SFM) Graham Number Explanation
Ben Graham actually did not publish a formula like this. But he wrote in The Intelligent Investor (1948 version) regarding to the criteria for purchases:
Current price should not be more than 15 times average earnings of the past three years.
Current price should not be more than 1.5 times the book value last reported. However, a multiplier of earnings below 15 could justify a correspondingly higher multiplier of assets. As a rule of thumb we suggest that the product of the multiplier times the ratio of price to book value should not exceed 22.5. (This figure corresponds to 15 times earnings and 1.5 times book value. It would admit an issue selling at only 9 times earnings and 2.5 times asset value, etc.)
Unlike valuation methods such as DCF or Discounted Earnings, the Graham number does not take growth into the valuation. Unlike the valuation methods based on book value alone, it takes into account the earnings power. Therefore, the Graham Number is a combination of asset valuation and earnings power valuation.
In general, the Graham number is a very conservative way of valuing a stock. It cannot be applied to companies with negative book values.
Sprouts Farmers Market's Price to Graham number Ratio for today is calculated as
Price to Graham number
=
Share Price (Today)
/
Graham number (Q: Mar. 2026 )
=
65.62
/
27.95
=
2.35
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Be Aware
Please keep these in mind:
1. Graham Number does not take growth into account. Therefore it underestimates the values of the companies that have good earnings growth. We feel that if the earnings per share grows more than 10% a year, Graham Number underestimates the value.
2. Graham Number punishes the companies that have temporarily low earnings. Therefore, an average of earnings makes more sense in the calculation of Graham Number.
3. Graham Numbers underestimates companies that are light with book.
Sprouts Farmers Market Graham Number Related Terms
Sprouts Farmers Market Graham Number Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
MIL:1SFM vs ACI, WMK, IMKTA: Graham Number Comparison
For the Grocery Stores subindustry, Sprouts Farmers Market's Price-to-Graham-Number, along with its competitors' market caps and Price-to-Graham-Number data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Sprouts Farmers Market Price-to-Graham-Number vs Retail - Defensive Industry
For the Retail - Defensive industry and Consumer Defensive sector, Sprouts Farmers Market's Price-to-Graham-Number distribution charts can be found below:
* The bar in red indicates where Sprouts Farmers Market's Price-to-Graham-Number falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Sprouts Farmers Market (MIL:1SFM) has a Graham Number of €27.95 as of Mar. 2026. The Graham Number values a company based on its per-share earnings and book value. View historical data on Sprouts Farmers Market and its competitors. This is 717% above median its historical median of 3.42. Over the past decade, Sprouts Farmers Market's Graham Number has ranged from 1.62 to 25.95. According to the industry distribution chart, Sprouts Farmers Market ranks #183 out of 238 companies in the Retail - Defensive industry, placing it in the top 76.9%.
Is Sprouts Farmers Market's Graham Number too high?
Sprouts Farmers Market's current Graham Number of €27.95 is 717% above median its 10-year median of 3.42. Over the past 10 years, this metric has ranged from a low of 1.62 to a high of 25.95. Based on the distribution chart, Sprouts Farmers Market ranks #183 out of 238 companies in the Retail - Defensive industry, which is in the bottom quartile relative to peers. Overall, Sprouts Farmers Market has a GF Score™ of 71/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Sprouts Farmers Market's Graham Number compare to ACI and WMK?
According to the Retail - Defensive industry distribution chart, Sprouts Farmers Market ranks #183 out of 238 companies for Graham Number. This places Sprouts Farmers Market in the lower half of its industry. The industry median Graham Number is 1.30. Historically, Sprouts Farmers Market's own Graham Number has ranged from 1.62 to 25.95 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Graham Number for a Retail - Defensive company?
The median Graham Number among Retail - Defensive companies is 1.30, based on 238 companies in the industry. Companies in the top quartile (top 25%) have a Graham Number significantly above this median, while those in the bottom quartile fall well below. However, Graham Number should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Graham Number mean?
A high Graham Number can signal that a stock is expensive relative to its fundamentals. The Graham Number values a company based on its per-share earnings and book value. View historical data on Sprouts Farmers Market and its competitors. For the Retail - Defensive industry, the median Graham Number is 1.30 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sprouts Farmers Market's current Graham Number is €27.95, which is 717% above median its own 10-year median of 3.42. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sprouts Farmers Market stock overvalued right now?
Based on GuruFocus' analysis, Sprouts Farmers Market (MIL:1SFM) is currently considered Modestly Undervalued. The stock's GF Value™ is €85.03, compared to a current price of €65.62 — trading 22.8% below its estimated fair value. The current Graham Number is €27.95, which is 717% above median its 10-year median of 3.42. Sprouts Farmers Market's overall GF Score™ is 71/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Graham Number calculated?
Graham Number is calculated from a company's financial statements. For Sprouts Farmers Market (MIL:1SFM), the current Graham Number is €27.95 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Sprouts Farmers Market (MIL:1SFM) Overvalued in 2026?
Based on GuruFocus' analysis, Sprouts Farmers Market stock appears to be undervalued.
The current stock price of €65.62 is trading 22.8% below its estimated GF Value™ of €85.03.
GuruFocus considers Sprouts Farmers Market to be Modestly Undervalued.
Key valuation signals for MIL:1SFM:
Graham Number: €27.95 (717% above median its 10-year median of 3.42)
GF Value™: €85.03 vs. price of €65.62 (22.8% below fair value)
No single metric tells the full story. See the MIL:1SFM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sprouts Farmers Market Inc offers a specialty grocery experience featuring an open layout with fresh produce at the heart of the store. Sprouts inspire wellness naturally with a carefully curated assortment products paired with purpose-driven people. The company continues to bring products made with lifestyle-friendly ingredients such as organic, plant-based, and gluten-free. It approximately has 407 stores in nearly 23 states. The Company has one operating segment that is healthy grocery stores.
71GF Score
Get the complete analysis for MIL:1SFM
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