Sprouts Farmers Market jumps >20% after rosy forecasts
** Shares of Sprouts Farmers Market SFM.O last up 13.8% to $96.33 after wellness-focused food retailer boosts 2024 forecasts
** SFM shares jump as much as 22.6% to record high $103.80 on Tues and tracking biggest daily pct gain since onset of COVID pandemic in Mar 2020
** Co late Mon said anticipates annual rev growth of 9%-10% and same-store sales growth of 4%-5% vs prior outlook in May of 7%-8% rev increase and 2.5%-3.5% same-store sales gain
** It sees adj EPS of $3.29-$3.37 for 2024, topping LSEG estimate of $3.13
** For Q2, it said rev grew 12% yr/yr to $1.9 bln and posted adj EPS of 94 cents, both also above Wall Street consensus
** At least 7 brokerages raised their PTs reacting to the report. Wells Fargo upgrades rating to "equal weight" from "underweight"
** SFM seems to have reignited its growth story, Wells Fargo says in note, adding guidance is probably conservative and the brokerage wouldn't be surprised to see co's estimates go up again after Q3
** Now, 13 of 15 brokerages have "hold" recommendations on SFM, while 2 rate stock "strong buy" or "buy"; median PT of $93 up from $65 a month ago - LSEG
** SFM shares have doubled YTD with move on Tues
(Lance Tupper is a Reuters market analyst. The views expressed are his own)
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