Sweetgreen (NYSE:SG) Stock Rating Lowered by Wall Street Zen

Sweetgreen (NYSE:SG) was downgraded by Wall Street Zen from a “sell” rating to a “strong sell” rating in a research note issued to investors on Saturday.

Several other research analysts also recently commented on the company. Citigroup reduced their price objective on Sweetgreen from $10.00 to $8.00 and set a “buy” rating on the stock in a report on Friday. JPMorgan Chase & Co. raised Sweetgreen from a “neutral” rating to an “overweight” rating and increased their price target for the stock from $8.00 to $13.00 in a research report on Friday, May 22nd. Oppenheimer cut their price target on Sweetgreen from $10.00 to $8.50 and set an “outperform” rating on the stock in a research note on Friday. Weiss Ratings upgraded Sweetgreen from a “sell (d)” rating to a “sell (d+)” rating in a report on Friday, May 22nd. Finally, Wells Fargo & Company lowered their price objective on shares of Sweetgreen from $7.00 to $6.00 and set an “equal weight” rating for the company in a research note on Friday. Four research analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and three have issued a Sell rating to the company. According to MarketBeat.com, the stock presently has an average rating of “Hold” and an average target price of $7.19.

Sweetgreen Stock Performance

Shares of NYSE:SG opened at $5.39 on Friday. The firm has a market cap of $640.49 million, a PE ratio of 53.91 and a beta of 2.20. The firm’s 50 day simple moving average is $7.66 and its 200-day simple moving average is $6.84. Sweetgreen has a one year low of $4.49 and a one year high of $10.63.

Sweetgreen (NYSE:SG) last posted its quarterly earnings results on Thursday, August 6th. The company reported ($0.22) earnings per share for the quarter, missing the consensus estimate of ($0.13) by ($0.09). The company had revenue of $192.66 million for the quarter, compared to the consensus estimate of $194.50 million. Sweetgreen had a net margin of 2.01% and a negative return on equity of 34.03%. The business’s revenue was up 3.8% on a year-over-year basis. During the same period in the prior year, the firm posted ($0.20) EPS. Equities research analysts predict that Sweetgreen will post -0.52 EPS for the current fiscal year.

Hedge Funds Weigh In On Sweetgreen

A number of large investors have recently bought and sold shares of SG. Larson Financial Group LLC lifted its holdings 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 during the period. Fifth Third Bancorp purchased a new position in shares of Sweetgreen in the 1st quarter valued at $38,000. CWM LLC increased its holdings in shares of Sweetgreen by 212.2% in 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 period. Caitong International Asset Management Co. Ltd raised its position in shares of Sweetgreen by 281.7% in the 4th quarter. Caitong International Asset Management Co. Ltd now owns 7,912 shares of the company’s stock worth $53,000 after acquiring an additional 5,839 shares in the last quarter. Finally, Onyx Bridge Wealth Group LLC bought a new position in shares of Sweetgreen in the 1st quarter worth $56,000. Institutional investors own 95.75% of the company’s stock.

Key Sweetgreen News

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.