Sprouts Farmers MarketFRA:1FA +1.27%88 Net Margin % is 7.03% as of Mar. 2026, which is 80% above its 10-year median of 3.90. GuruFocus rates FRA:1FA with a GF Score™ of 88/100 and a GF Value™ of €86.92 (Modestly Undervalued). The stock has 1 warning sign investors should review. Among 310 Retail - Defensive companies, Sprouts Farmers Market ranks better than 81.61% on this metric.
The historical rank and industry rank for Sprouts Farmers Market's Net Margin % or its related term are showing as below:
FRA:1FA'
s Net Margin % Range Over the Past 10 Years
Min: 2.66 Med: 3.9 Max: 5.95
Current: 5.7
FRA:1FA's Net Margin % is ranked better than 81.61% of 310
companies
in the Retail - Defensive industry
Industry Median: 2.155
vs FRA:1FA: 5.70
Sprouts Farmers Market (FRA:1FA) Net Margin % Explanation
Although Net Income and Earnings-per-Share (EPS) are the most widely used parameter in measuring a company's profitability and valuation, it is the least reliable. The reason is that reported earnings can be manipulated easily by adjusting any numbers such as Depreciation, Depletion and Amotorization and non-recurring items.
But the long term trend of the net margin is a good indicator of the competitiveness and health of the business.
Sprouts Farmers Market Net Margin % Related Terms
Sprouts Farmers Market Net Margin % 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.
FRA:1FA vs ACI, WMK, IMKTA: Net Margin % Comparison
For the Grocery Stores subindustry, Sprouts Farmers Market's Net Margin %, along with its competitors' market caps and Net Margin % 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 Net Margin % vs Retail - Defensive Industry
For the Retail - Defensive industry and Consumer Defensive sector, Sprouts Farmers Market's Net Margin % distribution charts can be found below:
* The bar in red indicates where Sprouts Farmers Market's Net Margin % 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 (FRA:1FA) has a Net Margin % of 7.03% as of Mar. 2026. Net margin is the ratio of total net income to net sales. View historical data on Sprouts Farmers Market and its competitors. This is 80% above median its historical median of 3.90. Over the past decade, Sprouts Farmers Market's Net Margin % has ranged from 2.66 to 5.95. According to the industry distribution chart, Sprouts Farmers Market ranks #57 out of 310 companies in the Retail - Defensive industry, placing it in the top 18.4%.
Is Sprouts Farmers Market's Net Margin % too high?
Sprouts Farmers Market's current Net Margin % of 7.03% is 80% above median its 10-year median of 3.90. Over the past 10 years, this metric has ranged from a low of 2.66 to a high of 5.95. The Retail - Defensive industry median Net Margin % is 2.16. Sprouts Farmers Market's value of 7.03% is 226.2% above this industry median. Based on the distribution chart, Sprouts Farmers Market ranks #57 out of 310 companies in the Retail - Defensive industry, which is in the top quartile — a strong position relative to peers. Overall, Sprouts Farmers Market has a GF Score™ of 88/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Sprouts Farmers Market's Net Margin % compare to ACI and WMK?
According to the Retail - Defensive industry distribution chart, Sprouts Farmers Market ranks #57 out of 310 companies for Net Margin %. This places Sprouts Farmers Market in the top 18% of its industry — outperforming the majority of peers. The industry median Net Margin % is 2.16. Sprouts Farmers Market's value of 7.03% is 226.2% above this benchmark. Historically, Sprouts Farmers Market's own Net Margin % has ranged from 2.66 to 5.95 over the past decade. While the company's 10-year median is 3.90 vs. the industry median of 2.16, Sprouts Farmers Market has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Net Margin % for a Retail - Defensive company?
The median Net Margin % among Retail - Defensive companies is 2.16, based on 310 companies in the industry. Companies in the top quartile (top 25%) have a Net Margin % significantly above this median, while those in the bottom quartile fall well below. However, Net Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Sprouts Farmers Market's current Net Margin % of 7.03% is 226.2% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Net Margin % mean?
A high Net Margin % can signal that a stock is expensive relative to its fundamentals. Net margin is the ratio of total net income to net sales. View historical data on Sprouts Farmers Market and its competitors. For the Retail - Defensive industry, the median Net Margin % is 2.16 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sprouts Farmers Market's current Net Margin % is 7.03%, which is 80% above median its own 10-year median of 3.90. 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 (FRA:1FA) is currently considered Modestly Undervalued. The stock's GF Value™ is €86.92, compared to a current price of €75.09 — trading 13.6% below its estimated fair value. The current Net Margin % is 7.03%, which is 80% above median its 10-year median of 3.90 and 226.2% above the Retail - Defensive industry median of 2.16. Sprouts Farmers Market's overall GF Score™ is 88/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Net Margin % calculated?
Net Margin % is calculated from a company's financial statements. For Sprouts Farmers Market (FRA:1FA), the current Net Margin % is 7.03% 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 (FRA:1FA) Overvalued in 2026?
Based on GuruFocus' analysis, Sprouts Farmers Market stock appears to be undervalued.
The current stock price of €75.09 is trading 13.6% below its estimated GF Value™ of €86.92.
GuruFocus considers Sprouts Farmers Market to be Modestly Undervalued.
Key valuation signals for FRA:1FA:
Net Margin %: 7.03% (80% above median its 10-year median of 3.90)
GF Value™: €86.92 vs. price of €75.09 (13.6% below fair value)
Industry Position: 226.2% above the Retail - Defensive median (#57 of 310)
No single metric tells the full story. See the FRA:1FA 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.
88GF Score
Get the complete analysis for FRA:1FA
Net Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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