Our Current Picks of the Best Grocery Store Stock Trading at a Discount for 2021
Discounts and grocery stores go together like a hand and glove. Here are a few grocery store stocks that are currently trading at a discount in the market. Two of the companies on this list have been around since the 1800s so these are companies that you don’t want to miss!
All companies were identified using the Simple Investing Success stock screener, which scans for companies meeting our simple criteria of cheap and good, using simple metrics for discount and valuation.
Best Cheap Grocery Store Stock to Buy in 2021
Let’s take a closer look at each company.
- Earnings Yield: 24.44%
- 52-week range: $12.91 – $34.09
- Analyst Price target: $37.02
- Price/Free-Cash-Flow: 14.86
- Price/Sales: 0.19
- Price/Earnings: 25.84
Albertsons Companies operates food and drug stores in the US. The company’s food and drug retail stores offer grocery products, general merchandise, pharmacy, fuel, and several additional services. The company currently operates 2,277 stores under various names (Albertsons, Safeway, Vons, Pavilions, Tom Thumb, Balducci’s Food Lovers Market) and 1,727 pharmacies. It also hosts 1,313 in-store branded coffee shops, 400 fuel stations, 22 distribution centers, and 20 manufacturing facilities. The company also operates a variety of digital platforms. Albertson’s was founded in 1860 and is headquartered in Boise, Idaho. The company is a subsidiary of Albertsons Investor Holdings LLC. The current CEO is Vivek Sankaran.
- Earnings Yield: 17.09%
- 52-week range: $30.35 – $47.99
- Analyst Price Target: $49.27
- Price/Sales: 0.24
- Price/Earnings: 27.84
The Kroger Company operates food and drug stores, multi-department stores, and marketplace stores in the US. Its food and drug stores offer natural and organic foods, pharmacies, general merchandise, pet centers and fresh seafood. The company’s multi-department stores offer apparel, home furnishings, electronics, automotive products and toys. Kroger’s marketplace stores offer full-service grocery, pharmacy, health and beauty care, as well as general merchandise. The company also manufactures and processes food products for sale in its supermarkets and sells fuel through its 1,596 fuel centers. Kroger currently operates 2,742 food stores under various names in 35 states and DC, as well as an online retail store. The company was founded in 1883 and is headquartered in Cincinnati, Ohio. The current CEO is Rodney McMullen.
Sprouts Farmer’s Market (SFM)
- Earnings Yield: 25.06%
- 52-week range: $18.21 – $29.35
- Analyst Price target: $30.09
- Price/Free Cash Flow: 14.38
- Price/Sales: 0.41
- Price/Earnings: 9.81
Sprouts Farmers Market offers a variety of fresh and organic food products in the US. The company operates through the Healthy Grocery Stores segment, offering perishable products (such as fresh produce, meat, seafood, bakery and dairy / dairy alternatives) and non-perishable products (such as groceries, body care products and frozen foods). Sprouts currently operates 363 stores across 23 states. The company was founded in 2002 and is headquartered in Phoenix, Arizona. The current CEO is Jack Sinclair.
We hope you enjoyed this list of grocery store stock trading at a discount in the stock market. Be sure to add these picks to your Watch List and if you haven’t done so already, check in on the performance of our Current Portfolio.