Q3 EPS Estimates for Grocery Outlet Decreased by Analyst

Key Points

• Telsey Advisory Group has lowered its Q3 2025 earnings per share estimate for Grocery Outlet from $0.22 to $0.15, maintaining a "Market Perform" rating and a price target of $16.00.
• Several other brokerages have upgraded their ratings for Grocery Outlet, with Craig Hallum raising it to "buy" and setting a target price of $17.00.
• The company reported Q2 earnings of $0.23 per share, exceeding analyst expectations, but fell short on revenue with $1.18 billion compared to an expected $1.20 billion.

Grocery Outlet Holding Corp. (NASDAQ:GO - Free Report) - Stock analysts at Telsey Advisory Group dropped their Q3 2025 EPS estimates for shares of Grocery Outlet in a note issued to investors on Wednesday, August 6th. Telsey Advisory Group analyst J. Feldman now anticipates that the company will post earnings per share of $0.15 for the quarter, down from their prior estimate of $0.22. Telsey Advisory Group currently has a "Market Perform" rating and a $16.00 target price on the stock. The consensus estimate for Grocery Outlet's current full-year earnings is $0.63 per share. Telsey Advisory Group also issued estimates for Grocery Outlet's Q4 2025 earnings at $0.20 EPS, Q1 2026 earnings at $0.11 EPS, Q2 2026 earnings at $0.20 EPS, Q3 2026 earnings at $0.26 EPS and Q4 2026 earnings at $0.22 EPS.

Several other brokerages have also recently weighed in on GO. Jefferies Financial Group raised Grocery Outlet from a "hold" rating to a "buy" rating and boosted their price objective for the stock from $13.00 to $18.00 in a report on Wednesday, April 16th. Wells Fargo & Company boosted their target price on Grocery Outlet from $18.00 to $19.00 and gave the stock an "overweight" rating in a research report on Wednesday, May 7th. Craig Hallum upgraded Grocery Outlet from a "hold" rating to a "buy" rating and set a $17.00 target price for the company in a research report on Wednesday, August 6th. Morgan Stanley upgraded Grocery Outlet from an "underweight" rating to an "equal weight" rating and boosted their target price for the stock from $13.00 to $16.00 in a research report on Wednesday, August 6th. Finally, UBS Group boosted their price objective on Grocery Outlet from $14.50 to $17.00 and gave the company a "neutral" rating in a research report on Wednesday, May 7th. One equities research analyst has rated the stock with a sell rating, nine have given a hold rating and three have assigned a buy rating to the stock. Based on data from MarketBeat, the company presently has a consensus rating of "Hold" and a consensus target price of $16.08.

Grocery Outlet Price Performance

Shares of NASDAQ:GO traded up $0.21 on Friday, hitting $18.43. The stock had a trading volume of 1,420,373 shares, compared to its average volume of 3,282,094. Grocery Outlet has a twelve month low of $10.26 and a twelve month high of $21.67. The company has a debt-to-equity ratio of 0.38, a quick ratio of 0.25 and a current ratio of 1.21. The firm's 50 day moving average price is $13.76 and its 200-day moving average price is $14.23. The company has a market capitalization of $1.81 billion, a price-to-earnings ratio of 263.41, a price-to-earnings-growth ratio of 4.13 and a beta of 0.27.

Grocery Outlet (NASDAQ:GO - Get Free Report) last posted its quarterly earnings results on Tuesday, August 5th. The company reported $0.23 earnings per share for the quarter, topping analysts' consensus estimates of $0.17 by $0.06. Grocery Outlet had a net margin of 0.18% and a return on equity of 6.34%. The firm had revenue of $1.18 billion for the quarter, compared to the consensus estimate of $1.20 billion. During the same quarter in the previous year, the company earned $0.25 earnings per share. The business's revenue was up 4.5% compared to the same quarter last year.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in GO. Parallel Advisors LLC increased its position in shares of Grocery Outlet by 213.5% during the 2nd quarter. Parallel Advisors LLC now owns 2,025 shares of the company's stock valued at $25,000 after purchasing an additional 1,379 shares during the last quarter. PNC Financial Services Group Inc. increased its position in shares of Grocery Outlet by 32.3% during the 2nd quarter. PNC Financial Services Group Inc. now owns 2,942 shares of the company's stock valued at $37,000 after purchasing an additional 719 shares during the last quarter. Aster Capital Management DIFC Ltd bought a new position in shares of Grocery Outlet during the 4th quarter valued at about $41,000. US Bancorp DE grew its position in Grocery Outlet by 64.2% during the 1st quarter. US Bancorp DE now owns 3,024 shares of the company's stock worth $42,000 after acquiring an additional 1,182 shares during the last quarter. Finally, Quadrant Capital Group LLC grew its position in Grocery Outlet by 276.3% during the 4th quarter. Quadrant Capital Group LLC now owns 2,773 shares of the company's stock worth $43,000 after acquiring an additional 2,036 shares during the last quarter. Hedge funds and other institutional investors own 99.87% of the company's stock.

Insiders Place Their Bets

In related news, EVP Steven K. Wilson sold 20,000 shares of Grocery Outlet stock in a transaction that occurred on Friday, August 8th. The stock was sold at an average price of $19.20, for a total transaction of $384,000.00. Following the transaction, the executive vice president owned 146,923 shares of the company's stock, valued at $2,820,921.60. The trade was a 11.98% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Insiders own 4.50% of the company's stock.

About Grocery Outlet

Grocery Outlet Holding Corp. operates as a retailer of consumables and fresh products sold through independently operated stores in the United States. Its stores offer products in various categories, such as dairy and deli, produce, floral, fresh meat, seafood products, grocery, general merchandise, health and beauty care, frozen food, beer and wine, and ethnic products.