Kroger Company (KR)vsSprouts Farmers Market LLC (SFM)
KR
Kroger Company
$66.94
-0.90%
CONSUMER DEFENSIVE · Cap: $42.89B
SFM
Sprouts Farmers Market LLC
$80.69
-0.62%
CONSUMER DEFENSIVE · Cap: $7.64B
Smart Verdict
WallStSmart Research — data-driven comparison
Kroger Company generates 1559% more annual revenue ($147.64B vs $8.90B). SFM leads profitability with a 5.7% profit margin vs 0.7%. SFM appears more attractively valued with a PEG of 1.12. KR earns a higher WallStSmart Score of 55/100 (C).
KR
Buy55
out of 100
Grade: C
SFM
Buy54
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+47.0%
Fair Value
$129.45
Current Price
$66.94
$62.51 discount
Margin of Safety
+55.2%
Fair Value
$146.67
Current Price
$80.69
$65.98 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Earnings expanding 50.9% YoY
Safe zone — low bankruptcy risk
Generating 1.8B in free cash flow
Every $100 of equity generates 37 in profit
Safe zone — low bankruptcy risk
Attractively priced relative to earnings
Areas to Watch
Expensive relative to growth rate
1.2% revenue growth
0.7% margin — thin
Operating margin of 3.4%
4.1% revenue growth
5.7% margin — thin
Elevated debt levels
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : KR
The strongest argument for KR centers on EPS Growth, Altman Z-Score, Free Cash Flow.
Bull Case : SFM
The strongest argument for SFM centers on Return on Equity, Altman Z-Score, P/E Ratio. PEG of 1.12 suggests the stock is reasonably priced for its growth.
Bear Case : KR
The primary concerns for KR are PEG Ratio, Revenue Growth, Profit Margin. A P/E of 44.0x leaves little room for execution misses. Thin 0.7% margins leave little buffer for downturns.
Bear Case : SFM
The primary concerns for SFM are Revenue Growth, Profit Margin, Debt/Equity.
Key Dynamics to Monitor
SFM carries more volatility with a beta of 0.67 — expect wider price swings.
SFM is growing revenue faster at 4.1% — sustainability is the question.
KR generates stronger free cash flow (1.8B), providing more financial flexibility.
Monitor GROCERY STORES industry trends, competitive dynamics, and regulatory changes.
Bottom Line
KR scores higher overall (55/100 vs 54/100). SFM offers better value entry with a 55.2% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Kroger Company
CONSUMER DEFENSIVE · GROCERY STORES · USA
The Kroger Company, or simply Kroger, is an American retail company founded by Bernard Kroger in 1883 in Cincinnati, Ohio.
Sprouts Farmers Market LLC
CONSUMER DEFENSIVE · GROCERY STORES · USA
Sprouts Farmers Market, Inc. offers fresh, natural and organic food products in the United States. The company is headquartered in Phoenix, Arizona.
Visit Website →Compare with Other GROCERY STORES Stocks
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