First Watch Restaurant Group (NASDAQ:FWRG) Stock Price Up 4.6% - Still a Buy?

Key Points

• First Watch shares rose 4.6% to about $11.39, although trading volume was dramatically below average at roughly 29,400 shares.
• Analyst sentiment remains broadly positive, with a consensus “Moderate Buy” rating and a $17.90 price target, despite several firms recently lowering their targets and one downgrade to “Sell.”
• The company posted 15.2% year-over-year revenue growth to $354.67 million but slightly missed quarterly EPS estimates. Institutional ownership is high at 96.11%, with several major funds adding or initiating positions.

Shares of First Watch Restaurant Group, Inc. (NASDAQ:FWRG - Get Free Report) traded up 4.6% during trading on Monday. The company traded as high as $11.17 and last traded at $11.3910. Approximately 29,400 shares traded hands during trading, a decline of 98% from the average session volume of 1,435,980 shares. The stock had previously closed at $10.89.

Wall Street Analysts Forecast Growth

FWRG has been the topic of a number of research reports. Raymond James Financial dropped their target price on shares of First Watch Restaurant Group from $20.00 to $18.00 and set a "strong-buy" rating on the stock in a research report on Friday, October 16th. Weiss Ratings lowered shares of First Watch Restaurant Group from a "hold (c-)" rating to a "sell (d+)" rating in a research report on Wednesday, October 14th. Freedom Capital upgraded shares of First Watch Restaurant Group to a "strong-buy" rating in a report on Wednesday, July 1st. Guggenheim cut their price objective on shares of First Watch Restaurant Group from $21.00 to $20.00 and set a "buy" rating for the company in a research report on Friday, August 7th. Finally, Stephens reduced their target price on shares of First Watch Restaurant Group from $21.00 to $18.00 and set an "overweight" rating for the company in a research note on Thursday, October 15th. Two research analysts have rated the stock with a Strong Buy rating, eight have issued a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, First Watch Restaurant Group presently has a consensus rating of "Moderate Buy" and a consensus price target of $17.90.

First Watch Restaurant Group Stock Performance

The stock has a market capitalization of $663.38 million, a P/E ratio of 36.89, a PEG ratio of 18.15 and a beta of 1.05. The firm has a 50-day moving average of $11.42 and a 200 day moving average of $11.82. The company has a quick ratio of 0.22, a current ratio of 0.27 and a debt-to-equity ratio of 0.44.

First Watch Restaurant Group (NASDAQ:FWRG - Get Free Report) last announced its quarterly earnings data on Tuesday, August 4th. The company reported $0.04 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.05 by ($0.01). The business had revenue of $354.67 million during the quarter, compared to analyst estimates of $351.57 million. First Watch Restaurant Group had a net margin of 1.35% and a return on equity of 2.85%. The company's quarterly revenue was up 15.2% compared to the same quarter last year. During the same quarter in the prior year, the company posted $0.03 EPS. Research analysts anticipate that First Watch Restaurant Group, Inc. will post 0.15 EPS for the current fiscal year.

Hedge Funds Weigh In On First Watch Restaurant Group

Several hedge funds and other institutional investors have recently modified their holdings of the stock. BlackRock Inc. acquired a new stake in shares of First Watch Restaurant Group during the 2nd quarter worth approximately $58,445,000. Bank of New York Mellon Corp raised its position in First Watch Restaurant Group by 96.7% during the first quarter. Bank of New York Mellon Corp now owns 3,957,697 shares of the company's stock worth $41,477,000 after acquiring an additional 1,946,084 shares in the last quarter. The Manufacturers Life Insurance Company acquired a new stake in First Watch Restaurant Group during the 2nd quarter valued at $49,291,000. Dimensional Fund Advisors LP boosted its position in shares of First Watch Restaurant Group by 19.7% in the first quarter. Dimensional Fund Advisors LP now owns 3,084,886 shares of the company's stock valued at $32,328,000 after acquiring an additional 508,704 shares during the period. Finally, Lazard Asset Management LLC grew its stake in First Watch Restaurant Group by 9.5% during the first quarter. Lazard Asset Management LLC now owns 1,780,839 shares of the company's stock worth $18,663,000 after buying an additional 154,018 shares in the last quarter. Institutional investors own 96.11% of the company's stock.

About First Watch Restaurant Group

First Watch Restaurant Group, Inc operates a daytime-focused restaurant concept serving breakfast, brunch and lunch. Its restaurants offer made-to-order meals such as omelets, pancakes, French toast, sandwiches, salads and bowls, along with fresh juices, coffee and other beverages. The company generally does not serve dinner, positioning its restaurants around the daytime dining occasion.

First Watch restaurants emphasize fresh preparation and seasonal menu offerings, including items made with eggs, fruits, vegetables and other ingredients prepared in the restaurant.

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.