Deutsche Bank analyst Krisztina Katai initiated coverage of Sprouts Farmers Market, Inc. on January 8, 2026, assigning a Hold rating and setting a price target of $88. The coverage was part of the bank's broader restart of coverage for food merchants and broadline retailers.
The firm anticipates 2026 will present mixed conditions for the industry, with food disinflation, reduced government assistance, and consumers continuing to prioritize value. Deutsche Bank noted that defensive sectors like food retail would face challenging circumstances.
One potential tailwind identified by the bank is a significant boost expected in the first half of 2026.
Separately, on December 31, 2025, Four Corners Property Trust announced it had purchased a Sprouts Farmers Market property for $8.6 million. The property is located in a prominent retail corridor in Tennessee and operates under a long-term net lease with the company.
The transaction's pricing reflected a cap rate consistent with previous Four Corners Property Trust deals.
Sprouts Farmers Market operates supermarkets featuring an open layout that centers on fresh produce.