Sprouts’ New Stores Still Justify a Growth Premium

Despite weak comparable store sales in 2026, Sprouts Farmers Markets maintains a growth premium justified by its superior profitability metrics. The company plans to open 40+ new stores this year, achieving 8.4% annual growth. While revenue per square foot lags peers, Sprouts excels in profit per square foot ($40) and profit per employee ($14,555), driven by high gross margins (39.4%). New store vintages show positive comps, suggesting weak results are temporary and earnings should continue rising long-term.