Sweetgreen, Inc. (NYSE:SG) Stock Now Rated "Hold" by Sell-Side Analysts

Key Points

• Analysts rate Sweetgreen “Hold” on average: 11 of 19 analysts recommend holding, compared with three sell and five buy ratings. The average 12-month price target is $7.27.
• Recent financial results fell short of expectations: Sweetgreen reported a quarterly loss of $0.22 per share versus the expected $0.13 loss, while revenue of $192.66 million missed estimates and rose 3.8% year over year.
• The stock opened at $8.24 and was up 6.9%: Sweetgreen has a $981.48 million market capitalization, with shares ranging from $4.49 to $10.63 over the past year. Insiders own 18.19% of the company, while institutional investors own 95.75%.

Sweetgreen, Inc. (NYSE:SG - Get Free Report) has been assigned an average rating of "Hold" from the nineteen brokerages that are presently covering the company, Marketbeat.com reports. Three research analysts have rated the stock with a sell recommendation, eleven have issued a hold recommendation and five have assigned a buy recommendation to the company. The average twelve-month price target among analysts that have covered the stock in the last year is $7.27.

A number of equities analysts have recently commented on the company. UBS Group upgraded Sweetgreen from a "neutral" rating to a "buy" rating in a report on Friday, August 7th. Wall Street Zen upgraded Sweetgreen from a "strong sell" rating to a "sell" rating in a report on Sunday, August 16th. TD Cowen raised their price target on Sweetgreen from $5.00 to $6.00 and gave the stock a "hold" rating in a research report on Friday, September 11th. Royal Bank Of Canada dropped their price objective on shares of Sweetgreen from $7.00 to $6.50 and set an "outperform" rating for the company in a research note on Friday, August 7th. Finally, DA Davidson cut their price objective on shares of Sweetgreen from $7.00 to $5.50 and set a "neutral" rating on the stock in a research report on Monday, August 10th.

Sweetgreen Stock Up 6.9%

Sweetgreen stock opened at $8.24 on Friday. Sweetgreen has a 52-week low of $4.49 and a 52-week high of $10.63. The firm's fifty day moving average is $6.59 and its 200 day moving average is $7.04. The company has a market cap of $981.48 million, a price-to-earnings ratio of 82.46 and a beta of 2.20.

Sweetgreen (NYSE:SG - Get Free Report) last posted its earnings results on Thursday, August 6th. The company reported ($0.22) earnings per share for the quarter, missing analysts' consensus estimates of ($0.13) by ($0.09). Sweetgreen had a negative return on equity of 32.94% and a net margin of 2.01%.The business had revenue of $192.66 million during the quarter, compared to the consensus estimate of $194.50 million. During the same quarter last year, the firm earned ($0.20) earnings per share. The business's quarterly revenue was up 3.8% on a year-over-year basis. On average, equities research analysts anticipate that Sweetgreen will post -1.03 earnings per share for the current fiscal year.

Insider Transactions at Sweetgreen

In related news, CFO Jamie McConnell sold 15,033 shares of the company's stock in a transaction dated Monday, August 17th. The shares were sold at an average price of $6.21, for a total transaction of $93,354.93. Following the transaction, the chief financial officer directly owned 210,489 shares in the company, valued at approximately $1,307,136.69. This represents a 6.67% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, COO Jason Miles Cochran sold 4,809 shares of the firm's stock in a transaction dated Monday, August 17th. The stock was sold at an average price of $6.21, for a total transaction of $29,863.89. Following the completion of the sale, the chief operating officer directly owned 207,076 shares of the company's stock, valued at approximately $1,285,941.96. The trade was a 2.27% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. 18.19% of the stock is currently owned by insiders.

Institutional Trading of Sweetgreen

A number of hedge funds and other institutional investors have recently bought and sold shares of SG. BNP Paribas Financial Markets grew its holdings in shares of Sweetgreen by 35.6% in the fourth quarter. BNP Paribas Financial Markets now owns 2,295,867 shares of the company's stock worth $15,520,000 after purchasing an additional 603,029 shares during the last quarter. Ibex Investors LLC lifted its holdings in Sweetgreen by 5,058.7% during the 4th quarter. Ibex Investors LLC now owns 825,400 shares of the company's stock valued at $5,580,000 after buying an additional 809,400 shares in the last quarter. Wellington Management Group LLP purchased a new stake in Sweetgreen in the 2nd quarter valued at about $4,557,000. Bank of New York Mellon Corp purchased a new stake in Sweetgreen in the 2nd quarter valued at about $2,792,000. Finally, Granahan Investment Management LLC bought a new position in Sweetgreen in the 1st quarter worth about $1,472,000. Hedge funds and other institutional investors own 95.75% of the company's stock.

Sweetgreen Company Profile

Sweetgreen, Inc operates a fast-casual restaurant chain focused on fresh, plant-forward meals. Its menu includes salads, grain bowls, warm bowls, sides, beverages and seasonal offerings prepared with a focus on whole ingredients and customizable combinations.

The company serves customers through company-operated restaurants and digital channels, including its website and mobile application for ordering, pickup and delivery. Sweetgreen has also developed automated restaurant technology, including its Infinite Kitchen platform, which is designed to support food preparation and restaurant operations.

Sweetgreen was founded in 2007 in Washington, DC, by Jonathan Neman, Nicolas Jammet and Nathaniel Ru.

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