Sweetgreen (NYSE:SG) Shares Gap Up – Here’s What Happened

Sweetgreen, Inc. (NYSE:SG) gapped up prior to trading on Tuesday . The stock had previously closed at $6.84, but opened at $7.29. Sweetgreen shares last traded at $6.8750, with a volume of 929,162 shares changing hands.

Analysts Set New Price Targets

A number of research firms recently weighed in on SG. Wall Street Zen upgraded shares of Sweetgreen from a “strong sell” rating to a “sell” rating in a research note on Sunday, August 16th. UBS Group raised shares of Sweetgreen from a “neutral” rating to a “buy” rating in a research report on Friday, August 7th. DA Davidson reduced their price objective on shares of Sweetgreen from $7.00 to $5.50 and set a “neutral” rating on the stock in a report on Monday, August 10th. Citigroup decreased their price objective on shares of Sweetgreen from $10.00 to $8.00 and set a “buy” rating for the company in a research report on Friday, August 7th. Finally, JPMorgan Chase & Co. raised Sweetgreen from a “neutral” rating to an “overweight” rating and increased their target price for the company from $8.00 to $13.00 in a report on Friday, May 22nd. Five investment analysts have rated the stock with a Buy rating, eleven have given a Hold rating and three have given a Sell rating to the stock. Based on data from MarketBeat.com, the company currently has an average rating of “Hold” and an average target price of $7.21.

Sweetgreen Price Performance

The stock has a market cap of $798.04 million, a price-to-earnings ratio of 67.05 and a beta of 2.20. The company’s 50 day moving average is $6.71 and its 200 day moving average is $6.91.

Sweetgreen (NYSE:SG) last posted its quarterly earnings results on Thursday, August 6th. The company reported ($0.22) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.13) by ($0.09). The company had revenue of $192.66 million for the quarter, compared to analyst estimates of $194.50 million. Sweetgreen had a net margin of 2.01% and a negative return on equity of 32.94%. Sweetgreen’s revenue was up 3.8% on a year-over-year basis. During the same quarter in the previous year, the business posted ($0.20) earnings per share. Sell-side analysts predict that Sweetgreen, Inc. will post -0.98 earnings per share for the current year.

Insider Buying and Selling at Sweetgreen

In other Sweetgreen news, CFO Jamie McConnell sold 15,033 shares of Sweetgreen stock in a transaction dated Monday, August 17th. The shares were sold at an average price of $6.21, for a total transaction of $93,354.93. Following the completion of the transaction, the chief financial officer owned 210,489 shares in the company, valued at approximately $1,307,136.69. The trade was a 6.67% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, COO Jason Miles Cochran sold 4,809 shares of Sweetgreen stock in a transaction that occurred on Monday, August 17th. The stock was sold at an average price of $6.21, for a total value of $29,863.89. Following the transaction, the chief operating officer owned 207,076 shares of the company’s stock, valued at $1,285,941.96. This represents a 2.27% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders own 18.19% of the company’s stock.

Hedge Funds Weigh In On Sweetgreen

A number of institutional investors have recently made changes to their positions in the stock. Sequoia Financial Advisors LLC purchased a new position in Sweetgreen in the 2nd quarter valued at about $90,000. Integrated Wealth Concepts LLC purchased a new stake in shares of Sweetgreen during the second quarter worth about $112,000. California State Teachers Retirement System raised its position in shares of Sweetgreen by 959.9% in the second quarter. California State Teachers Retirement System now owns 1,070,820 shares of the company’s stock valued at $9,434,000 after buying an additional 969,790 shares during the last quarter. Proficio Capital Partners LLC acquired a new position in shares of Sweetgreen in the second quarter valued at approximately $99,000. Finally, Wellington Management Group LLP purchased a new position in shares of Sweetgreen during the second quarter valued at approximately $4,557,000. 95.75% of the stock is owned by institutional investors and hedge funds.

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.