Sweetgreen (NYSE:SG) Trading Down 5.4% - Here's Why

Key Points

• Sweetgreen's shares fell 5.4% to $8.45, with a significant decline in trading volume, down 44% from average levels.
• Analyst ratings vary, with TD Securities maintaining a hold rating and lowering their target price, while Goldman Sachs rated it neutral with a target cut to $15.00.
• In its last earnings report, Sweetgreen missed expectations with a reported EPS of ($0.20) against an estimate of ($0.12), and revenue also fell short at $185.58 million.

Sweetgreen, Inc. (NYSE:SG - Get Free Report)'s stock price traded down 5.4% during trading on Monday . The company traded as low as $8.47 and last traded at $8.45. 2,702,992 shares were traded during mid-day trading, a decline of 44% from the average session volume of 4,838,738 shares. The stock had previously closed at $8.93.

Wall Street Analyst Weigh In

A number of equities research analysts recently commented on the stock. TD Cowen reduced their price objective on shares of Sweetgreen from $15.00 to $10.00 and set a "hold" rating for the company in a research report on Friday, August 8th. Morgan Stanley reduced their price objective on shares of Sweetgreen from $22.00 to $17.00 and set an "equal weight" rating for the company in a research report on Monday, July 14th. UBS Group reduced their price objective on shares of Sweetgreen from $19.00 to $13.00 and set a "buy" rating for the company in a research report on Friday, August 8th. Wells Fargo & Company restated an "overweight" rating and issued a $19.00 price objective on shares of Sweetgreen in a research report on Tuesday, July 1st. Finally, Bank of America reduced their price objective on shares of Sweetgreen from $27.00 to $22.00 and set a "buy" rating for the company in a research report on Friday, July 18th. Seven equities research analysts have rated the stock with a Buy rating and eight have given a Hold rating to the company. According to data from MarketBeat, the company has a consensus rating of "Hold" and an average target price of $17.69.

Sweetgreen Trading Down 2.1%

The stock's 50 day moving average price is $11.21 and its two-hundred day moving average price is $15.91. The firm has a market capitalization of $1.01 billion, a PE ratio of -10.13 and a beta of 2.01.

Sweetgreen (NYSE:SG - Get Free Report) last issued its quarterly earnings data on Thursday, August 7th. The company reported ($0.20) earnings per share for the quarter, missing analysts' consensus estimates of ($0.12) by ($0.08). Sweetgreen had a negative return on equity of 22.21% and a negative net margin of 14.29%.The business had revenue of $185.58 million for the quarter, compared to analysts' expectations of $193.47 million. During the same period last year, the business earned ($0.13) earnings per share. The company's revenue for the quarter was up .5% on a year-over-year basis. Sweetgreen has set its FY 2025 guidance at EPS. Analysts expect that Sweetgreen, Inc. will post -0.74 earnings per share for the current year.

Insider Transactions at Sweetgreen

In related news, CFO Mitch Reback sold 11,530 shares of the firm's stock in a transaction that occurred on Monday, August 18th. The shares were sold at an average price of $9.19, for a total transaction of $105,960.70. Following the sale, the chief financial officer owned 322,891 shares in the company, valued at approximately $2,967,368.29. This trade represents a 3.45% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Company insiders own 19.78% of the company's stock.

Institutional Trading of Sweetgreen

A number of hedge funds have recently bought and sold shares of SG. BNP Paribas Financial Markets acquired a new stake in Sweetgreen during the fourth quarter worth approximately $739,000. Bank of America Corp DE boosted its position in Sweetgreen by 46.0% during the fourth quarter. Bank of America Corp DE now owns 883,157 shares of the company's stock worth $28,314,000 after acquiring an additional 278,305 shares during the last quarter. Captrust Financial Advisors acquired a new stake in Sweetgreen during the fourth quarter worth approximately $228,000. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its position in Sweetgreen by 5.5% during the fourth quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 57,019 shares of the company's stock worth $1,828,000 after acquiring an additional 2,947 shares during the last quarter. Finally, Man Group plc acquired a new stake in Sweetgreen during the fourth quarter worth approximately $382,000. Institutional investors and hedge funds own 95.75% of the company's stock.

Sweetgreen Company Profile

Sweetgreen, Inc, together with its subsidiaries, operates fast food restaurants serving healthy foods at scale in the United States. The company also accepts orders through its online and mobile ordering platforms, as well as sells gift cards that do not have an expiration date and can be redeemed. The company was founded in 2006 and is headquartered in Los Angeles, California.