11:45 AM EDT, 05/02/2024 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We lift our 12-month target to $76 from $60, 21.1x our 2025 EPS of $3.60 (up from $3.39; 2024's up to $3.18 from $2.98). Q1 EPS of $1.12 (+14% Y/Y) beat by $0.11 on comparable sales growth of 4.0% vs. the 3.2% consensus, due to positive traffic growth and low-single-digit inflation, partially offset by a slight decline in units per basket. The new Uber Eats partnership attributed to comp sales growth, noting total e-commerce sales were up 25% Y/Y (e-commerce was 14% of sales vs. 12% a year ago). The highlight of this quarter was gross margin, up a stunning 80 bps Y/Y to 38.3%. This was the highest in the company's history, driven by improved shrink (from better inventory management) and promotional optimization. SFM raised its top- and bottom-line outlook. The company is clearly firing on all cylinders. Yet, we maintain our Hold rating as we question the sustainability of this recent performance. Also, shares are looking more expensive at these levels. SFM's new loyalty program is expected to launch in 2025.