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Fly News Breaks for November 4, 2016
SFM
Nov 4, 2016 | 08:14 EDT
After Sprouts reported lower than expected Q3 EPS but its SSS exceeded its plan and the stock fell 10%, SunTrust analyst David Magee says that the company is being hurt by "seemingly endless deflation." However, the analyst continues to believe that its pricing trends can normalize in 1H17, while the company's new stores are "performing exceptionally well." He says that the company's store level ROIC is "very high," and he reiterates a Buy rating.
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