As we move into 2024, the grocery store industry remains a pivotal sector for investors, with a wide range of companies showing varying levels of performance. The Zen Score—a composite ranking system based on factors such as market cap, EBITDA, and P/E ratio—provides valuable insight into the best grocery store stocks to consider for investment. In this article, we’ll examine the top-performing grocery store stocks, ranked by their Zen Score, to help investors make informed decisions.
Key Highlights:
- Village Super Market Inc (VLGEA) tops the list with a Zen Score of 51, reflecting its strong performance relative to other companies in the industry.
- Ingles Markets Inc (IMKTA) and Kroger Co (KR) follow closely behind, demonstrating solid financials and growth potential.
- Companies like Grocery Outlet Holding Corp (GO) and Sendas Distributor SA (ASAI), although lower in ranking, show promising market growth and profitability improvements.
- On the lower end, Albertsons Companies Inc (ACI) and Maison Solutions Inc (MSS) face significant challenges, with weak Zen Scores but potential for recovery depending on market conditions.
Top Grocery Store Stocks Ranked by Zen Score (2024)
| Rank | Ticker | Company | Zen Score | Market Cap | Price | 1D % Change | EBITDA | P/E Ratio | D/E Ratio |
|---|---|---|---|---|---|---|---|---|---|
| 1 | VLGEA | Village Super Market Inc | 51 | $443.35M | $29.99 | -0.10% | $116.81M | 7.61x | 1.26 |
| 2 | IMKTA | Ingles Markets Inc | 48 | $1.21B | $63.67 | 1.40% | $356.50M | 7.40x | 0.64 |
| 3 | KR | Kroger Co | 46 | $40.44B | $55.89 | 0.49% | $7.78B | 14.52x | 3.11 |
| 4 | SFM | Sprouts Farmers Market Inc | 44 | $11.30B | $112.90 | 1.68% | $698.60M | 35.06x | 1.69 |
| 5 | GO | Grocery Outlet Holding Corp | 38 | $1.62B | $16.58 | 2.41% | $180.77M | 30.70x | 1.52 |
| 6 | ASAI | Sendas Distributor SA | 36 | $1.72B | $6.38 | 4.59% | $929.36M | 14.57x | 8.13 |
| 7 | WMK | Weis Markets Inc | 36 | $1.79B | $66.40 | 2.37% | $241.67M | 19.19x | 0.46 |
| 8 | NGVC | Natural Grocers by Vitamin Cottage | 35 | $593.55M | $26.04 | 1.76% | $73.13M | 19.29x | 2.90 |
| 9 | DDL | Dingdong (Cayman) Ltd | 34 | $818.33M | $3.77 | 2.17% | N/A | 85.68x | 11.29 |
| 10 | ACI | Albertsons Companies Inc | 19 | $10.76B | $18.58 | 0.43% | $4.37B | 9.58x | 7.95 |
| 11 | MSS | Maison Solutions Inc | 11 | $25.60M | $1.30 | 6.56% | -$653.87k | -9.29x | 6.32 |
| 12 | DNUT | Krispy Kreme Inc | 9 | $1.85B | $10.89 | 0.18% | $143.10M | -35.13x | 1.76 |
Investors looking at the grocery store sector in 2024 can rely on the Zen Score for a data-driven approach to decision-making. Companies like Village Super Market and Ingles Markets continue to showcase financial stability and market potential, while larger players like Kroger also maintain a strong foothold. However, some companies in the sector still face challenges, which presents opportunities for high-risk, high-reward investment strategies.
As always, it’s essential to consult with financial advisors and conduct thorough research before making any investment decisions in the grocery store industry.