Sweetgreen (NYSE:SG) Price Target Cut to $8.00 by Analysts at Citigroup

Key Points

• Citigroup cut Sweetgreen’s price target from $10 to $8 but maintained a “buy” rating, implying roughly 48% upside from the reported $5.39 share price. The broader analyst consensus is “hold,” with an average target of $7.22.
• Sweetgreen shares fell 8.2% to $5.39 after the company reported a second-quarter loss of $0.22 per share, missing expectations, while revenue of $192.66 million also came in slightly below forecasts.
• Operational pressures remain significant: same-store sales declined 6.2%, and management expects full-year comparable sales to fall 7%–8% amid consumer concerns linked to cyclospora fears.

Sweetgreen (NYSE:SG - Get Free Report) had its price target cut by equities research analysts at Citigroup from $10.00 to $8.00 in a report issued on Friday,Benzinga reports. The brokerage currently has a "buy" rating on the stock. Citigroup's price target suggests a potential upside of 48.42% from the stock's current price.

A number of other research firms have also commented on SG. UBS Group reaffirmed a "buy" rating on shares of Sweetgreen in a report on Friday. Oppenheimer dropped their price objective on Sweetgreen from $10.00 to $8.50 and set an "outperform" rating on the stock in a report on Friday. Royal Bank Of Canada cut their target price on Sweetgreen from $7.00 to $6.50 and set an "outperform" rating for the company in a research note on Friday. Weiss Ratings raised Sweetgreen from a "sell (d)" rating to a "sell (d+)" rating in a report on Friday, May 22nd. Finally, Wall Street Zen raised Sweetgreen from a "strong sell" rating to a "sell" rating in a report on Saturday, May 23rd. Five research analysts have rated the stock with a Buy rating, ten have assigned a Hold rating and three have given a Sell rating to the company. According to MarketBeat, the company currently has an average rating of "Hold" and a consensus price target of $7.22.

Sweetgreen Trading Down 8.2%

Shares of NYSE SG traded down $0.48 during midday trading on Friday, hitting $5.39. The company's stock had a trading volume of 17,391,046 shares, compared to its average volume of 5,086,554. The stock has a fifty day moving average price of $7.75 and a 200 day moving average price of $6.86. Sweetgreen has a one year low of $4.49 and a one year high of $10.63. The firm has a market capitalization of $640.49 million, a price-to-earnings ratio of 44.92 and a beta of 2.19.

Sweetgreen (NYSE:SG - Get Free Report) last released its quarterly earnings data on Thursday, August 6th. The company reported ($0.22) EPS for the quarter, missing the consensus estimate of ($0.13) by ($0.09). Sweetgreen had a negative return on equity of 33.07% and a net margin of 2.49%.The business had revenue of $192.66 million during the quarter, compared to the consensus estimate of $194.50 million. During the same period last year, the business posted ($0.20) earnings per share. The firm's quarterly revenue was up 3.8% on a year-over-year basis. On average, equities research analysts predict that Sweetgreen will post -0.52 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Sweetgreen

A number of institutional investors and hedge funds have recently made changes to their positions in SG. Larson Financial Group LLC grew its position in Sweetgreen by 165.8% during the third quarter. Larson Financial Group LLC now owns 3,766 shares of the company's stock worth $30,000 after buying an additional 2,349 shares in the last quarter. Fifth Third Bancorp purchased a new stake in shares of Sweetgreen in the 1st quarter valued at about $38,000. CWM LLC boosted its position in shares of Sweetgreen by 212.2% during the 4th quarter. CWM LLC now owns 7,333 shares of the company's stock valued at $50,000 after acquiring an additional 4,984 shares during the last quarter. Caitong International Asset Management Co. Ltd boosted its position in shares of Sweetgreen by 281.7% during the 4th quarter. Caitong International Asset Management Co. Ltd now owns 7,912 shares of the company's stock valued at $53,000 after acquiring an additional 5,839 shares during the last quarter. Finally, Onyx Bridge Wealth Group LLC purchased a new position in shares of Sweetgreen during the first quarter worth about $56,000. Hedge funds and other institutional investors own 95.75% of the company's stock.

Sweetgreen News Summary

Here are the key news stories impacting Sweetgreen this week:

• Positive Sentiment: Second-quarter revenue increased 3.8% year over year to $192.66 million, indicating continued sales growth despite the challenging environment. Oppenheimer maintained an “outperform” rating, although it reduced its price target from $10 to $8.50. Oppenheimer lowers Sweetgreen price target
• Neutral Sentiment: Sweetgreen said it has not been implicated in the ongoing cyclospora outbreak, but consumer concerns about fresh produce are affecting traffic. The company removed jalapeños from its offerings amid the broader food-safety concerns. Sweetgreen cuts full-year outlook as cyclospora fears weigh on sales
• Negative Sentiment: Sweetgreen reported a second-quarter loss of $0.22 per share, wider than the $0.13 loss analysts expected and worse than the $0.20 loss a year earlier. Revenue also fell slightly short of estimates. Sweetgreen reports second-quarter loss and misses revenue estimates
• Negative Sentiment: Same-store sales declined 6.2% in the quarter, marking the chain’s sixth consecutive comparable-sales decline. Management now expects full-year same-store sales to fall 7%–8%, reflecting weaker customer demand linked to cyclospora fears. Sweetgreen shares slide as cyclosporiasis fears prompt forecast cut
• Negative Sentiment: Analysts lowered their valuations following the earnings release: Wells Fargo cut its target from $7 to $6, while TD Cowen reduced its target from $8 to $5 and assigned a “hold” rating. Analysts lower Sweetgreen price targets

Sweetgreen Company Profile

Sweetgreen, Inc is a fast-casual restaurant chain specializing in salads, grain bowls and warm bowls that emphasize fresh, locally sourced ingredients. Since its founding in 2007 by Jonathan Neman, Nicolas Jammet and Nathaniel Ru, Sweetgreen has focused on sustainable agriculture, working with regional farmers across the United States to provide seasonal produce and promote environmentally responsible sourcing practices. The company's menu features a variety of plant-forward options, including custom-build salads, chef-curated bowls and limited-time offerings that reflect changing harvests.

Sweetgreen operates a technology-driven service model that combines in-store experiences with digital ordering through its mobile app and website.

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