First Watch Restaurant Group (NASDAQ:FWRG) Upgraded by Wall Street Zen to "Hold" Rating

Key Points

• First Watch Restaurant Group has been upgraded from a "sell" to a "hold" rating by Wall Street Zen, indicating a more stable investment outlook.
• Several analysts have increased their target prices for the stock, with Barclays raising it to $21.00 and Benchmark to $24.00, reflecting growing confidence in the company's performance.
• The company reported a 19.1% increase in revenue year-over-year, although earnings per share fell short of expectations, suggesting mixed performance amid growth.

First Watch Restaurant Group (NASDAQ:FWRG - Get Free Report) was upgraded by research analysts at Wall Street Zen from a "sell" rating to a "hold" rating in a research report issued to clients and investors on Friday.

A number of other equities research analysts also recently weighed in on FWRG. Barclays raised their target price on shares of First Watch Restaurant Group from $20.00 to $21.00 and gave the company an "overweight" rating in a research note on Thursday, July 17th. Stephens raised their target price on shares of First Watch Restaurant Group from $23.00 to $24.00 and gave the company an "overweight" rating in a research note on Wednesday, August 6th. Raymond James Financial raised their target price on shares of First Watch Restaurant Group from $21.00 to $22.00 and gave the company a "strong-buy" rating in a research note on Thursday, July 17th. Benchmark raised their target price on shares of First Watch Restaurant Group from $22.00 to $24.00 and gave the company a "buy" rating in a research note on Wednesday, August 6th. Finally, Bank of America decreased their price target on shares of First Watch Restaurant Group from $23.00 to $21.00 and set a "buy" rating on the stock in a research note on Friday, July 18th. One equities research analyst has rated the stock with a Strong Buy rating, eight have assigned a Buy rating and one has given a Hold rating to the company's stock. According to data from MarketBeat.com, the stock presently has a consensus rating of "Buy" and an average target price of $21.09.

First Watch Restaurant Group Price Performance

Shares of NASDAQ:FWRG opened at $16.00 on Friday. The company has a quick ratio of 0.23, a current ratio of 0.27 and a debt-to-equity ratio of 0.42. The firm has a market capitalization of $976.38 million, a PE ratio of 266.71, a P/E/G ratio of 5.58 and a beta of 0.92. First Watch Restaurant Group has a twelve month low of $12.90 and a twelve month high of $22.71. The company has a 50-day moving average price of $17.55 and a two-hundred day moving average price of $17.10.

First Watch Restaurant Group (NASDAQ:FWRG - Get Free Report) last released its quarterly earnings data on Tuesday, August 5th. The company reported $0.03 EPS for the quarter, missing analysts' consensus estimates of $0.07 by ($0.04). First Watch Restaurant Group had a net margin of 0.37% and a return on equity of 0.69%. The firm had revenue of $307.89 million during the quarter, compared to the consensus estimate of $304.94 million. During the same quarter last year, the business posted $0.14 earnings per share. First Watch Restaurant Group's revenue was up 19.1% compared to the same quarter last year. First Watch Restaurant Group has set its FY 2025 guidance at EPS. Equities analysts forecast that First Watch Restaurant Group will post 0.32 EPS for the current year.

Insider Activity at First Watch Restaurant Group

In related news, major shareholder International L.P. Advent sold 5,000,000 shares of First Watch Restaurant Group stock in a transaction on Friday, August 8th. The shares were sold at an average price of $17.70, for a total value of $88,500,000.00. Following the transaction, the insider directly owned 9,689,784 shares of the company's stock, valued at $171,509,176.80. The trade was a 34.04% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Corporate insiders own 6.00% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in FWRG. Riverbridge Partners LLC purchased a new position in shares of First Watch Restaurant Group in the second quarter worth $20,524,000. Loomis Sayles & Co. L P purchased a new position in shares of First Watch Restaurant Group in the second quarter worth $18,350,000. MetLife Investment Management LLC increased its stake in shares of First Watch Restaurant Group by 3,919.8% in the first quarter. MetLife Investment Management LLC now owns 834,830 shares of the company's stock worth $13,900,000 after buying an additional 814,062 shares during the period. The Manufacturers Life Insurance Company increased its stake in shares of First Watch Restaurant Group by 51.7% in the second 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, Emerald Advisers LLC purchased a new position in shares of First Watch Restaurant Group in the second quarter worth $6,173,000. 96.11% of the stock is owned by hedge funds and other institutional investors.

About First Watch Restaurant Group

First Watch Restaurant Group, Inc, through its subsidiaries, operates and franchises restaurants under the First Watch trade name in the United States. The company was formerly known as AI Fresh Super Holdco, Inc and changed its name to First Watch Restaurant Group, Inc in December 2019. First Watch Restaurant Group, Inc was founded in 1983 and is based in Bradenton, Florida.

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