First Watch Restaurant Group (NASDAQ:FWRG) Given New $17.00 Price Target at TD Cowen

Key Points

• TD Cowen cut its price target on First Watch to $17 (from $18) but kept a "buy" rating, implying roughly 39.8% upside$19.50 with a consensus "Moderate Buy".
• In Q1 the company posted revenue up 17.3%, same‑restaurant sales +2.8%, 16 new openings and positive adjusted EBITDA of $27.8M, but missed GAAP EPS (reported ($0.04) vs. consensus ($0.02)) and reported a ~$2.7M net loss; management reaffirmed full‑year revenue guidance of ~$1.3–$1.4B.
• Company insiders have been net sellers—about 68,013 shares sold (~$853K) over the last 90 days—even as institutional ownership remains very high at roughly 96%.

First Watch Restaurant Group (NASDAQ:FWRG - Get Free Report) had its target price reduced by equities research analysts at TD Cowen from $18.00 to $17.00 in a research report issued on Tuesday,Benzinga reports. The firm presently has a "buy" rating on the stock. TD Cowen's price target points to a potential upside of 39.83% from the company's previous close.

Several other brokerages have also recently weighed in on FWRG. DA Davidson restated a "buy" rating and set a $17.00 target price on shares of First Watch Restaurant Group in a report on Tuesday, April 28th. Zacks Research raised First Watch Restaurant Group from a "strong sell" rating to a "hold" rating in a research note on Tuesday, February 10th. Barclays reduced their target price on shares of First Watch Restaurant Group from $19.00 to $17.00 and set an "overweight" rating on the stock in a report on Wednesday, February 25th. Piper Sandler restated an "overweight" rating and issued a $19.00 price target on shares of First Watch Restaurant Group in a research note on Tuesday, February 24th. Finally, Benchmark cut their price objective on First Watch Restaurant Group from $24.00 to $22.00 and set a "buy" rating on the stock in a research report on Monday, April 20th. One research analyst has rated the stock with a Strong Buy rating, ten have issued a Buy rating, one has given a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and an average target price of $19.50.

First Watch Restaurant Group Price Performance

FWRG traded down $0.05 during midday trading on Tuesday, hitting $12.16. 1,554,553 shares of the company traded hands, compared to its average volume of 1,664,216. The business has a 50 day simple moving average of $12.19 and a two-hundred day simple moving average of $15.12. First Watch Restaurant Group has a 52-week low of $10.09 and a 52-week high of $19.53. The company has a market capitalization of $749.18 million, a price-to-earnings ratio of 39.22, a PEG ratio of 3.53 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 issued its earnings results on Tuesday, May 5th. The company reported ($0.04) EPS for the quarter, missing analysts' consensus estimates of ($0.02) by ($0.02). First Watch Restaurant Group had a net margin of 1.59% and a return on equity of 3.20%. The firm's quarterly revenue was up 17.3% compared to the same quarter last year. During the same quarter last year, the firm earned ($0.01) earnings per share. On average, equities analysts forecast that First Watch Restaurant Group will post 0.24 earnings per share for the current fiscal year.

Insider Transactions at First Watch Restaurant Group

In related news, insider Jay Anthony Wolszczak sold 6,998 shares of the business's stock in a transaction that occurred on Tuesday, March 10th. The stock was sold at an average price of $12.59, for a total transaction of $88,104.82. Following the completion of the sale, the insider owned 232,091 shares in the company, valued at $2,922,025.69. The trade was a 2.93% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Matthew Eisenacher sold 6,070 shares of the company's stock in a transaction that occurred on Tuesday, March 10th. The shares were sold at an average price of $12.59, for a total value of $76,421.30. Following the completion of the transaction, the insider directly owned 69,983 shares of the company's stock, valued at $881,085.97. This trade represents a 7.98% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 68,013 shares of company stock valued at $853,606 over the last ninety days. Company insiders own 6.10% of the company's stock.

Institutional Investors Weigh In On First Watch Restaurant Group

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Sanctuary Advisors LLC lifted its position in First Watch Restaurant Group by 25.3% in the first quarter. Sanctuary Advisors LLC now owns 13,462 shares of the company's stock valued at $141,000 after acquiring an additional 2,714 shares during the last quarter. Fifth Third Bancorp grew its holdings in shares of First Watch Restaurant Group by 702.9% during the first quarter. Fifth Third Bancorp now owns 13,618 shares of the company's stock worth $143,000 after purchasing an additional 11,922 shares during the last quarter. Kornitzer Capital Management Inc. KS increased its position in shares of First Watch Restaurant Group by 0.5% during the first quarter. Kornitzer Capital Management Inc. KS now owns 310,837 shares of the company's stock worth $3,258,000 after purchasing an additional 1,450 shares in the last quarter. Sumitomo Mitsui Trust Group Inc. increased its position in shares of First Watch Restaurant Group by 108.5% during the first quarter. Sumitomo Mitsui Trust Group Inc. now owns 62,393 shares of the company's stock worth $654,000 after purchasing an additional 32,462 shares in the last quarter. Finally, Hodges Capital Management Inc. lifted its holdings in shares of First Watch Restaurant Group by 113.7% in the 1st quarter. Hodges Capital Management Inc. now owns 1,481,777 shares of the company's stock valued at $15,529,000 after purchasing an additional 788,436 shares during the last quarter. 96.11% of the stock is currently owned by institutional investors and hedge funds.

Key Headlines Impacting First Watch Restaurant Group

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

• Positive Sentiment: Revenue up 17.3% year‑over‑year and management reported positive adjusted EBITDA of $27.8M, signaling healthy operating cash flow despite the GAAP loss. First Watch Restaurant Group, Inc. Reports Q1 2026 Financial Results
• Positive Sentiment: Management reaffirmed full‑year revenue guidance (range of ~$1.3B–$1.4B) on the earnings call, giving investors more confidence in the growth outlook. First Watch gains after backing its full-year revenue guidance
• Positive Sentiment: Same‑restaurant sales rose 2.8% and the company continues unit expansion (16 new system‑wide openings in Q1), supporting continued top‑line momentum and scale benefits. First Watch Restaurant Group, Inc. Reports Q1 2026 Financial Results
• Neutral Sentiment: The reiterated revenue range ($1.3B–$1.4B) matches consensus only at the high end, so the midpoint leaves some uncertainty about whether the company will hit street expectations. Investors will watch cadence of comps and unit economics through the year. First Watch Restaurant Group (FWRG) Reports Q1 Earnings
• Negative Sentiment: GAAP EPS missed estimates: reported loss of ($0.04) vs. consensus of ($0.02) and a net loss of ~$2.7M, which keeps near‑term profitability a focus for skeptics. First Watch Restaurant Group, Inc. (FWRG) Reports Q1 Loss, Beats Revenue Estimates

About First Watch Restaurant Group

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.