Grocery Outlet Holding Corp. (NASDAQ:GO) Given Average Recommendation of "Hold" by Brokerages

Key Points

• Grocery Outlet Holding Corp. has received a consensus rating of "Hold" from thirteen brokerage firms, with one sell, nine hold, and three buy recommendations.
• The average 12-month price target among analysts for Grocery Outlet is $16.08, following various adjustments from firms like Morgan Stanley and Craig Hallum.
• The company's recent financial performance includes a quarterly earnings per share (EPS) of $0.23, surpassing analysts' expectations of $0.17, while revenue grew by 4.5% year-over-year to $1.18 billion.

Grocery Outlet Holding Corp. (NASDAQ:GO - Get Free Report) has received a consensus rating of "Hold" from the thirteen ratings firms that are covering the firm, MarketBeat.com reports. One investment analyst has rated the stock with a sell recommendation, nine have given a hold recommendation and three have given a buy recommendation to the company. The average 12-month price objective among brokerages that have updated their coverage on the stock in the last year is $16.0769.

GO has been the subject of several research reports. Morgan Stanley raised shares of Grocery Outlet from an "underweight" rating to an "equal weight" rating and boosted their price objective for the company from $13.00 to $16.00 in a research note on Wednesday, August 6th. Craig Hallum upgraded Grocery Outlet from a "hold" rating to a "buy" rating and set a $17.00 price objective on the stock in a report on Wednesday, August 6th. Finally, Telsey Advisory Group reaffirmed a "market perform" rating and issued a $16.00 price objective on shares of Grocery Outlet in a research note on Wednesday, August 6th.

Insider Transactions at Grocery Outlet

In other Grocery Outlet news, EVP Steven K. Wilson sold 5,000 shares of the business's stock in a transaction that occurred on Friday, August 15th. The shares were sold at an average price of $18.24, for a total transaction of $91,200.00. Following the completion of the sale, the executive vice president directly owned 141,923 shares in the company, valued at $2,588,675.52. The trade was a 3.40% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. 4.50% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Grocery Outlet

Several hedge funds and other institutional investors have recently bought and sold shares of GO. Vanguard Group Inc. raised its stake in shares of Grocery Outlet by 5.8% during the first quarter. Vanguard Group Inc. now owns 10,717,454 shares of the company's stock valued at $149,830,000 after purchasing an additional 582,822 shares during the period. Marshall Wace LLP lifted its holdings in Grocery Outlet by 0.9% in the 2nd quarter. Marshall Wace LLP now owns 4,556,552 shares of the company's stock worth $56,592,000 after buying an additional 40,977 shares in the last quarter. T. Rowe Price Investment Management Inc. boosted its position in Grocery Outlet by 1,577.2% in the 1st quarter. T. Rowe Price Investment Management Inc. now owns 3,262,956 shares of the company's stock valued at $45,617,000 after buying an additional 3,068,405 shares during the last quarter. Wellington Management Group LLP purchased a new position in Grocery Outlet in the 1st quarter valued at about $43,509,000. Finally, Geode Capital Management LLC grew its stake in shares of Grocery Outlet by 41.7% during the second quarter. Geode Capital Management LLC now owns 2,390,051 shares of the company's stock valued at $29,688,000 after acquiring an additional 702,807 shares in the last quarter. 99.87% of the stock is owned by institutional investors and hedge funds.

Grocery Outlet Stock Performance

NASDAQ GO opened at $17.77 on Monday. The business's 50-day moving average price is $16.14 and its 200 day moving average price is $14.57. The company has a current ratio of 1.21, a quick ratio of 0.25 and a debt-to-equity ratio of 0.38. Grocery Outlet has a twelve month low of $10.26 and a twelve month high of $21.67. The company has a market capitalization of $1.74 billion, a PE ratio of 253.89, a price-to-earnings-growth ratio of 3.80 and a beta of 0.32.

Grocery Outlet (NASDAQ:GO - Get Free Report) last posted its quarterly earnings data on Tuesday, August 5th. The company reported $0.23 EPS for the quarter, beating 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 company had revenue of $1.18 billion during the quarter, compared to the consensus estimate of $1.20 billion. During the same quarter in the prior year, the company posted $0.25 EPS. The company's quarterly revenue was up 4.5% compared to the same quarter last year. Grocery Outlet has set its FY 2025 guidance at 0.750-0.800 EPS. On average, research analysts predict that Grocery Outlet will post 0.63 earnings per share for the current year.

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.

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