Albertsons Companies (NYSE:ACI) Stock Rating Cut to Neutral at The Goldman Sachs Group

Key Points

• Goldman Sachs downgraded Albertsons to “neutral” from “buy” and set a $13 price target, implying roughly 0.4% downside from the prior close.
• Analyst sentiment is broadly cautious: Albertsons has an average “Reduce” rating and a consensus price target of $14.62, with several firms recently lowering targets while RBC upgraded the stock to “outperform” with a $16 target.
• Albertsons modestly exceeded quarterly expectations, reporting $0.36 in earnings per share and $18.89 billion in revenue, but revenue was essentially flat year over year and the company’s net margin remained negative.

Albertsons Companies (NYSE:ACI - Get Free Report) was downgraded by research analysts at The Goldman Sachs Group from a "buy" rating to a "neutral" rating in a research report issued on Thursday, Briefing.com reports. They currently have a $13.00 price objective on the stock. The Goldman Sachs Group's price target would suggest a potential downside of 0.42% from the company's previous close.

A number of other equities research analysts also recently issued reports on the stock. UBS Group reissued a "neutral" rating on shares of Albertsons Companies in a research report on Wednesday. Telsey Advisory Group reaffirmed a "market perform" rating and issued a $13.00 target price (down from $22.00) on shares of Albertsons Companies in a report on Friday, July 24th. BMO Capital Markets downgraded Albertsons Companies from an "outperform" rating to a "market perform" rating and lowered their target price for the company from $23.00 to $12.00 in a research report on Friday, July 24th. Weiss Ratings reiterated a "sell (d+)" rating on shares of Albertsons Companies in a research report on Wednesday, August 26th. Finally, Royal Bank Of Canada upped their price target on Albertsons Companies from $13.00 to $16.00 and gave the stock an "outperform" rating in a research report on Wednesday. Three investment analysts have rated the stock with a Buy rating, ten have assigned a Hold rating and four have given a Sell rating to the company. According to data from MarketBeat, Albertsons Companies presently has an average rating of "Reduce" and a consensus price target of $14.62.

Albertsons Companies Trading Up 2.6%

Shares of NYSE ACI opened at $13.05 on Thursday. The company has a debt-to-equity ratio of 5.89, a current ratio of 0.82 and a quick ratio of 0.21. The firm has a 50-day moving average of $12.20 and a 200 day moving average of $14.20. Albertsons Companies has a 1 year low of $10.86 and a 1 year high of $20.00. The stock has a market cap of $6.34 billion, a P/E ratio of -118.68, a price-to-earnings-growth ratio of 2.17 and a beta of 0.40.

Albertsons Companies (NYSE:ACI - Get Free Report) last posted its quarterly earnings results on Tuesday, October 13th. The company reported $0.36 earnings per share for the quarter, topping the consensus estimate of $0.33 by $0.03. Albertsons Companies had a positive return on equity of 52.17% and a negative net margin of 0.06%. The firm had revenue of $18.89 billion during the quarter, compared to analysts' expectations of $18.87 billion. During the same quarter in the previous year, the business earned $0.30 earnings per share. The company's revenue was down .1% on a year-over-year basis. As a group, sell-side analysts expect that Albertsons Companies will post 1.65 EPS for the current fiscal year.

Insider Buying and Selling at Albertsons Companies

In other Albertsons Companies news, CFO Sharon Mccollam acquired 9,000 shares of the business's stock in a transaction on Friday, July 31st. The shares were bought at an average price of $11.48 per share, with a total value of $103,320.00. Following the transaction, the chief financial officer directly owned 567,051 shares of the company's stock, valued at $6,509,745.48. The trade was a 1.61% increase in their position. The purchase was disclosed in a document filed with the SEC, which is available at this link. Also, CEO Susan Morris purchased 39,409 shares of Albertsons Companies stock in a transaction that occurred on Tuesday, July 28th. The stock was bought at an average cost of $11.42 per share, for a total transaction of $450,050.78. Following the purchase, the chief executive officer directly owned 1,092,956 shares in the company, valued at $12,481,557.52. This trade represents a 3.74% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Insiders have acquired 218,909 shares of company stock valued at $2,515,826 in the last quarter. 1.18% of the stock is owned by insiders.

Institutional Trading of Albertsons Companies

Hedge funds have recently added to or reduced their stakes in the business. Allworth Financial LP raised its holdings in shares of Albertsons Companies by 144.3% in the 2nd quarter. Allworth Financial LP now owns 3,767 shares of the company's stock valued at $51,000 after purchasing an additional 2,225 shares in the last quarter. Continuum Advisory LLC purchased a new stake in shares of Albertsons Companies in the 2nd quarter worth approximately $66,000. Versant Capital Management Inc lifted its position in shares of Albertsons Companies by 2,406.4% in the 2nd quarter. Versant Capital Management Inc now owns 5,113 shares of the company's stock worth $69,000 after purchasing an additional 4,909 shares during the period. EverSource Wealth Advisors LLC boosted its stake in shares of Albertsons Companies by 170.9% during the first quarter. EverSource Wealth Advisors LLC now owns 5,585 shares of the company's stock valued at $95,000 after purchasing an additional 3,523 shares in the last quarter. Finally, Integrated Wealth Concepts LLC bought a new position in shares of Albertsons Companies during the second quarter valued at approximately $85,000. 71.35% of the stock is owned by hedge funds and other institutional investors.

Albertsons Companies News Roundup

Here are the key news stories impacting Albertsons Companies this week:

• Positive Sentiment: Albertsons beat second-quarter fiscal 2026 adjusted earnings expectations, reporting $0.36 per share versus the $0.33 consensus, while revenue of $18.89 billion was slightly above forecasts. Management also outlined an expanded cost-reduction program targeting approximately $2 billion in savings and plans to hold an investor day in spring 2027. Albertsons Second-Quarter Fiscal 2026 Results
• Positive Sentiment: Royal Bank of Canada raised its price target from $13 to $16 and upgraded the stock to “outperform,” signaling confidence that the ACI Edge turnaround strategy and business review could unlock value.
• Positive Sentiment: The company declared a quarterly dividend of $0.17 per share, equivalent to $0.68 annually and an approximately 5.2% yield, which may support income-oriented investors.
• Positive Sentiment: Albertsons announced plans for a new store in Valley Center, California, expected to open in spring 2028. The location should add long-term sales, pharmacy revenue and local jobs, though the financial effect is distant. Albertsons Valley Center Store Announcement
• Neutral Sentiment: New executive chair Meg Whitman is taking a more active role as Albertsons reviews its strategy, cost structure and business portfolio. The review could lead to asset sales or other strategic changes, but its outcome remains uncertain.
• Negative Sentiment: Albertsons withdrew its fiscal 2026 outlook while conducting the review, reducing visibility for investors. The company cited the need to move faster on its turnaround as it addresses mixed margins and weaker consumer spending.
• Negative Sentiment: Despite the adjusted earnings beat, reported profit declined sharply year over year, revenue was essentially flat, and the company posted a negative net margin. Bank of America reaffirmed its “underperform” rating and cut its price target from $16 to $12, warning of near-term earnings pressure.

About Albertsons Companies

Albertsons Companies, Inc is a U.S. food and drug retailer headquartered in Boise, Idaho. The company operates supermarkets, pharmacies and related retail businesses under banners including Albertsons, Safeway, Vons, Jewel-Osco, Shaw's, ACME, Tom Thumb, Randalls, United Supermarkets, Pavilions, Carrs and Haggen.

Its stores offer groceries, fresh produce, meat and seafood, bakery and deli items, household products, health and beauty products, and pharmacy services. Albertsons also provides private-label products, fuel at select locations, grocery delivery and pickup, digital shopping tools, and customer loyalty programs.

The company's history traces to 1939, when Joe Albertson opened the first Albertsons store in Boise.

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