Sprouts (SFM) has Little Value as a stock Archives

daniel November 22, 2018 Aldi, Amazon (NASDAQ: AMZN), How Amazon Go Threatens Sprouts (SFM) everybody else, How Amazon Threatens Sprouts (SFM), Sprouts (SFM), Sprouts (SFM) has Little Value as a stock, Sprouts Farmers Market (NASDAQ: SFM), Who Will Buy Sprouts (SFM)?, Why Sprouts (SFM) cannot survive

Why Sprouts (SFM) cannot survive

Sprouts’ dilemma is that Amazon is just one of its competitors. Besides Amazon sprouts has to compete with Kroger (NYSE: KR), Walmart (NYSE: WMT), Aldi, and Target (NYSE: TGT) to name just a few.

For example, Kroger has a close relationship with Instacart and it is America’s largest organic grocer. For example, Kroger sold $1 billion worth of organic produce in 2017, Progressive Grocer estimates. In addition, Kroger sold $2 billion worth of its Simple Truth organic grand in 2017, Progressive Grocer calculates.

Under those circumstances, I cannot see how Sprouts can compete and survive as an independent company. Instead, Sprouts’ future will be as part of a larger organization – such as Aldi Nord or Kroger.