First Watch Restaurant Group (NASDAQ:FWRG) Earns "Overweight" Rating from Stephens

First Watch Restaurant Group (NASDAQ:FWRG - Get Free Report)'s stock had its "overweight" rating reiterated by equities research analysts at Stephens in a research report issued on Wednesday,Benzinga reports. They presently have a $21.00 target price on the stock. Stephens' price objective suggests a potential upside of 72.41% from the stock's previous close.

FWRG has been the subject of a number of other reports. DA Davidson reaffirmed a "buy" rating and issued a $17.00 price objective on shares of First Watch Restaurant Group in a research note on Tuesday, April 28th. TD Cowen lowered their price objective on shares of First Watch Restaurant Group from $18.00 to $17.00 and set a "buy" rating for the company in a research note on Tuesday. Stifel Nicolaus set a $14.00 price objective on shares of First Watch Restaurant Group in a research note on Tuesday. Zacks Research raised shares of First Watch Restaurant Group from a "strong sell" rating to a "hold" rating in a research note on Tuesday, February 10th. Finally, Guggenheim lowered their price objective on shares of First Watch Restaurant Group from $23.00 to $21.00 and set a "buy" rating for the company in a research note on Wednesday, February 25th. One research analyst has rated the stock with a Strong Buy rating, ten have issued a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the company's stock. According to data from MarketBeat.com, First Watch Restaurant Group has a consensus rating of "Moderate Buy" and an average price target of $19.25.

First Watch Restaurant Group Stock Down 0.2%

Shares of FWRG opened at $12.18 on Wednesday. First Watch Restaurant Group has a 12-month low of $10.09 and a 12-month high of $19.53. The firm has a fifty day moving average price of $12.12 and a 200-day moving average price of $15.08. The firm has a market capitalization of $750.53 million, a P/E ratio of 39.29, a P/E/G ratio of 3.30 and a beta of 1.11. The company has a current ratio of 0.29, a quick ratio of 0.25 and a debt-to-equity ratio of 0.43.

First Watch Restaurant Group (NASDAQ:FWRG - Get Free Report) last released its quarterly earnings data on Tuesday, May 5th. The company reported ($0.04) earnings per share for the quarter, missing analysts' consensus estimates of ($0.02) by ($0.02). First Watch Restaurant Group had a return on equity of 3.20% and a net margin of 1.59%.The business had revenue of $330.96 million during the quarter, compared to analysts' expectations of $329.35 million. During the same period last year, the company earned ($0.01) earnings per share. The firm's revenue was up 17.3% compared to the same quarter last year. Equities research analysts expect that First Watch Restaurant Group will post 0.24 earnings per share for the current year.

Insider Activity

In other news, CEO Christopher Anthony Tomasso sold 25,062 shares of the company's stock in a transaction dated Tuesday, March 17th. The shares were sold at an average price of $12.52, for a total transaction of $313,776.24. Following the transaction, the chief executive officer owned 957,315 shares in the company, valued at $11,985,583.80. This represents a 2.55% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, CFO H Melville Hope III sold 7,358 shares of the company's stock in a transaction dated Tuesday, March 10th. The shares were sold at an average price of $12.59, for a total transaction of $92,637.22. Following the transaction, the chief financial officer owned 115,665 shares in the company, valued at approximately $1,456,222.35. This trade represents a 5.98% decrease in their position. The SEC filing for this sale provides additional information. Over the last quarter, insiders have sold 68,013 shares of company stock valued at $853,606. 6.10% of the stock is owned by company insiders.

Hedge Funds Weigh In On First Watch Restaurant Group

Hedge funds have recently modified their holdings of the stock. Bank of New York Mellon Corp increased its holdings in First Watch Restaurant Group by 96.7% in the 1st quarter. Bank of New York Mellon Corp now owns 3,957,697 shares of the company's stock worth $41,477,000 after buying an additional 1,946,084 shares during the period. Vanguard Group Inc. increased its holdings in First Watch Restaurant Group by 15.0% in the 4th quarter. Vanguard Group Inc. now owns 3,320,929 shares of the company's stock worth $50,080,000 after buying an additional 432,634 shares during the period. Dimensional Fund Advisors LP increased its holdings in First Watch Restaurant Group by 5.5% in the 4th quarter. Dimensional Fund Advisors LP now owns 2,576,182 shares of the company's stock worth $38,849,000 after buying an additional 133,402 shares during the period. The Manufacturers Life Insurance Company increased its holdings in First Watch Restaurant Group by 51.7% in the 2nd quarter. The Manufacturers Life Insurance Company now owns 2,335,883 shares of the company's stock worth $37,468,000 after buying an additional 796,191 shares during the period. Finally, Lazard Asset Management LLC increased its holdings in First Watch Restaurant Group by 13.4% in the 2nd quarter. Lazard Asset Management LLC now owns 2,281,137 shares of the company's stock worth $36,589,000 after buying an additional 269,726 shares during the period. Institutional investors and hedge funds own 96.11% of the company's stock.

Key Stories Impacting First Watch Restaurant Group

Here are the key news stories impacting First Watch Restaurant Group this week:

• Positive Sentiment: Company reiterated its same-restaurant sales growth outlook of 1%–3% and raised full-year adjusted EBITDA guidance to $133M–$140M, signaling better-than-expected operating leverage for the year. First Watch reiterates 1%-3% same-restaurant sales growth outlook while raising adjusted EBITDA guide to $133M-$140M
• Positive Sentiment: Q1 revenue came in about in line/beat expectations at $330.96M (up 17.3% YoY) and management reaffirmed full-year revenue guidance, supporting growth durability. The company reported Adjusted EBITDA of $27.8M for the quarter. First Watch Restaurant Group, Inc. Reports Q1 2026 Financial Results
• Positive Sentiment: Management’s earnings call emphasized a path to profitable growth (unit openings plus margin expansion) which supports the thesis that scale and operating improvements can drive future earnings. First Watch (FWRG) Earnings Call Signals Profitable Growth
• Neutral Sentiment: TD Cowen trimmed its price target from $18 to $17 but kept a Buy rating — a modest analyst pullback that still implies significant upside from current levels, leaving the stock’s medium-term outlook intact. TD Cowen lowers price target to $17
• Neutral Sentiment: Company continues expansion: opened 16 new system-wide restaurants in Q1 across 11 states, showing ongoing unit growth that supports longer-term revenue trajectory but increases near-term investment. First Watch Restaurant Group, Inc. Reports Q1 2026 Financial Results
• Negative Sentiment: Q1 EPS missed estimates: GAAP loss of ($0.04) vs. consensus of ($0.02), and a reported net loss of $2.7M, which highlights near-term margin pressure despite revenue growth. First Watch Q1 Earnings Details
• Negative Sentiment: Analyst and market attention on earnings-per-share misses and low current/quick ratios may keep downward pressure on the stock until consistent GAAP profitability or higher-margin leverage is demonstrated. First Watch Reports Q1 Earnings: What Key Metrics Have to Say

First Watch Restaurant Group Company Profile

First Watch Restaurant Group, Inc NASDAQ: FWRG operates a specialty daytime dining concept focused on breakfast, brunch and lunch. The company's casual, full-service cafés emphasize fresh ingredients, made-to-order entrées and a seasonally driven menu that ranges from omelets and Benedicts to salads, skillets and afternoon sandwiches. First Watch positions itself as a daytime-only destination, with most locations opening early morning and closing by mid-afternoon.

Founded in 1983 by Ken Pendery and John Sullivan in Pacific Grove, California, First Watch began as a single café and gradually expanded through company-owned and select franchised locations.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.