Grocery Outlet (NASDAQ:GO) Releases FY 2025 Earnings Guidance

Key Points

• Grocery Outlet has updated its FY 2025 earnings guidance, projecting earnings per share (EPS) between 0.750 and 0.800, slightly above the consensus estimate of 0.741, with revenue expectations set at $4.7 billion to $4.8 billion.
• Despite recent ups and downs in share price, analysts from Jefferies and Wells Fargo have expressed optimism by upgrading their ratings and increasing price targets for Grocery Outlet's stock.
• Director Erik D. Ragatz has significantly increased his stake in Grocery Outlet by purchasing 19,000 shares, valued at approximately $274,740, indicating insider confidence in the company's future performance.

Grocery Outlet (NASDAQ:GO - Get Free Report) updated its FY 2025 earnings guidance on Tuesday. The company provided earnings per share guidance of 0.750-0.800 for the period, compared to the consensus earnings per share estimate of 0.741. The company issued revenue guidance of $4.7 billion-$4.8 billion, compared to the consensus revenue estimate of $4.7 billion.

Analyst Upgrades and Downgrades

GO has been the subject of several recent research reports. Wells Fargo & Company lifted their price objective on Grocery Outlet from $18.00 to $19.00 and gave the company an "overweight" rating in a report on Wednesday, May 7th. Telsey Advisory Group reissued a "market perform" rating and set a $16.00 price target on shares of Grocery Outlet in a research report on Wednesday. UBS Group upped their price objective on shares of Grocery Outlet from $14.50 to $17.00 and gave the stock a "neutral" rating in a report on Wednesday, May 7th. Craig Hallum upgraded shares of Grocery Outlet from a "hold" rating to a "buy" rating and set a $17.00 price target for the company in a research report on Wednesday. Finally, Jefferies Financial Group upgraded shares of Grocery Outlet from a "hold" rating to a "buy" rating and lifted their target price for the company from $13.00 to $18.00 in a research note on Wednesday, April 16th. One research analyst has rated the stock with a sell rating, nine have assigned a hold rating, three have given a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat, Grocery Outlet presently has an average rating of "Hold" and a consensus price target of $16.08.

Grocery Outlet Trading Up 1.5%

Grocery Outlet stock traded up $0.27 during trading hours on Thursday, reaching $18.85. 3,129,592 shares of the company's stock traded hands, compared to its average volume of 3,248,949. The firm's 50 day moving average is $13.48 and its 200-day moving average is $14.20. The firm has a market capitalization of $1.85 billion, a price-to-earnings ratio of 269.71, a PEG ratio of 4.18 and a beta of 0.27. The company has a debt-to-equity ratio of 0.39, a quick ratio of 0.25 and a current ratio of 1.25. Grocery Outlet has a fifty-two week low of $10.26 and a fifty-two week high of $21.67.

Grocery Outlet (NASDAQ:GO - Get Free Report) last released its quarterly earnings results on Tuesday, August 5th. The company reported $0.23 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.17 by $0.06. The company had revenue of $1.18 billion during the quarter, compared to the consensus estimate of $1.20 billion. Grocery Outlet had a net margin of 0.18% and a return on equity of 6.32%. Grocery Outlet's revenue was up 4.5% on a year-over-year basis. During the same period in the prior year, the firm earned $0.25 earnings per share. On average, analysts predict that Grocery Outlet will post 0.63 earnings per share for the current year.

Insider Buying and Selling

In other Grocery Outlet news, Director Erik D. Ragatz purchased 19,000 shares of the firm's stock in a transaction on Friday, May 9th. The shares were acquired at an average cost of $14.46 per share, for a total transaction of $274,740.00. Following the completion of the transaction, the director owned 19,000 shares of the company's stock, valued at approximately $274,740. The trade was a ∞ increase in their ownership of the stock. The acquisition was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Company insiders own 4.50% of the company's stock.

Institutional Trading of Grocery Outlet

An institutional investor recently raised its position in Grocery Outlet stock. Royal Bank of Canada lifted its position in Grocery Outlet Holding Corp. (NASDAQ:GO - Free Report) by 5.8% during the 1st quarter, according to the company in its most recent Form 13F filing with the SEC. The firm owned 122,565 shares of the company's stock after purchasing an additional 6,736 shares during the quarter. Royal Bank of Canada owned about 0.13% of Grocery Outlet worth $1,713,000 at the end of the most recent quarter. 99.87% of the stock is currently owned by institutional investors.

Grocery Outlet Company Profile

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.