Sweetgreen (NYSE:SG) Trading 7.6% Higher – Should You Buy?

Sweetgreen, Inc. (NYSE:SG) shares shot up 7.6% during mid-day trading on Friday . The stock traded as high as $8.00 and last traded at $7.9290. 703,619 shares traded hands during mid-day trading, a decline of 85% from the average session volume of 4,727,197 shares. The stock had previously closed at $7.37.

Analyst Upgrades and Downgrades

Several research firms recently issued reports on SG. UBS Group upped their price target on shares of Sweetgreen from $6.50 to $7.00 and gave the company a “neutral” rating in a report on Friday, May 8th. Wall Street Zen raised shares of Sweetgreen from a “strong sell” rating to a “sell” rating in a report on Saturday, May 23rd. BNP Paribas Exane upped their price target on shares of Sweetgreen from $4.50 to $5.00 and gave the company an “underperform” rating in a report on Friday, May 8th. DA Davidson upped their price target on shares of Sweetgreen from $5.50 to $7.00 and gave the company a “neutral” rating in a report on Monday, May 11th. Finally, Piper Sandler cut their price target on shares of Sweetgreen from $9.00 to $7.00 and set a “neutral” rating on the stock in a report on Friday, March 27th. Four investment analysts have rated the stock with a Buy rating, twelve have assigned a Hold rating and three have assigned a Sell rating to the company. According to MarketBeat.com, Sweetgreen currently has a consensus rating of “Hold” and a consensus target price of $8.04.

Sweetgreen Price Performance

The company has a market capitalization of $915.94 million, a price-to-earnings ratio of 65.03 and a beta of 2.16. The stock’s fifty day simple moving average is $7.07 and its two-hundred day simple moving average is $6.62.

Sweetgreen (NYSE:SG) last issued its earnings results on Thursday, May 7th. The company reported ($0.27) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.23) by ($0.04). The business had revenue of $161.52 million for the quarter, compared to analyst estimates of $163.95 million. Sweetgreen had a negative return on equity of 33.07% and a net margin of 2.49%.The firm’s revenue for the quarter was down 2.9% on a year-over-year basis. During the same period last year, the company posted ($0.21) earnings per share. On average, sell-side analysts predict that Sweetgreen, Inc. will post -0.76 EPS for the current year.

Insider Buying and Selling at Sweetgreen

In other Sweetgreen news, major shareholder Goldman Sachs Group Inc bought 594,553 shares of the company’s stock in a transaction on Tuesday, April 7th. The shares were bought at an average cost of $5.69 per share, with a total value of $3,383,006.57. Following the completion of the acquisition, the insider owned 11,900,255 shares of the company’s stock, valued at approximately $67,712,450.95. This trade represents a 5.26% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Company insiders own 18.19% of the company’s stock.

Institutional Trading of Sweetgreen

A number of institutional investors and hedge funds have recently modified their holdings of SG. Larson Financial Group LLC raised its holdings in shares of 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 purchasing an additional 2,349 shares during the period. Fifth Third Bancorp acquired a new stake in shares of Sweetgreen during the first quarter worth $38,000. Skandinaviska Enskilda Banken AB publ raised its holdings in shares of Sweetgreen by 124.1% during the third quarter. Skandinaviska Enskilda Banken AB publ now owns 6,292 shares of the company’s stock worth $50,000 after purchasing an additional 3,484 shares during the period. CWM LLC raised its holdings in shares of Sweetgreen by 212.2% during the fourth quarter. CWM LLC now owns 7,333 shares of the company’s stock worth $50,000 after purchasing an additional 4,984 shares during the period. Finally, Caitong International Asset Management Co. Ltd raised its holdings in shares of Sweetgreen by 281.7% during the fourth quarter. Caitong International Asset Management Co. Ltd now owns 7,912 shares of the company’s stock worth $53,000 after purchasing an additional 5,839 shares during the period. 95.75% of the stock is owned by institutional investors and hedge funds.

About Sweetgreen

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.