Grocery Outlet Holding Corp. (NASDAQ:GO) Given Consensus Rating of “Reduce” by Analysts

Shares of Grocery Outlet Holding Corp. (NASDAQ:GO) have been assigned a consensus rating of “Reduce” from the thirteen brokerages that are presently covering the company, Marketbeat reports. Two analysts have rated the stock with a sell recommendation and eleven have given a hold recommendation to the company. The average 12 month target price among brokers that have issued ratings on the stock in the last year is $10.6818.

Several brokerages have recently commented on GO. Morgan Stanley lowered their price objective on Grocery Outlet from $11.00 to $7.00 and set an “equal weight” rating for the company in a research note on Thursday, March 5th. Craig Hallum downgraded Grocery Outlet from a “strong-buy” rating to a “hold” rating in a research report on Thursday, March 5th. Jefferies Financial Group reaffirmed a “hold” rating and set a $7.00 price target (down from $18.00) on shares of Grocery Outlet in a research report on Thursday, March 5th. Telsey Advisory Group downgraded Grocery Outlet from an “outperform” rating to a “market perform” rating and decreased their price target for the company from $15.00 to $9.00 in a research report on Thursday, March 5th. Finally, Deutsche Bank Aktiengesellschaft set a $11.00 price target on Grocery Outlet in a research report on Thursday, January 8th.

Insider Activity at Grocery Outlet

In other Grocery Outlet news, Director Carey F. Jaros purchased 40,000 shares of the firm’s stock in a transaction that occurred on Tuesday, March 10th. The stock was bought at an average cost of $6.26 per share, with a total value of $250,400.00. Following the completion of the transaction, the director owned 76,066 shares of the company’s stock, valued at $476,173.16. The trade was a 110.91% increase in their position. The purchase was disclosed in a legal filing with the SEC, which is accessible through this link. Also, Director Erik D. Ragatz purchased 50,000 shares of the firm’s stock in a transaction that occurred on Thursday, March 19th. The shares were acquired at an average cost of $5.75 per share, with a total value of $287,500.00. Following the completion of the transaction, the director directly owned 526,500 shares of the company’s stock, valued at $3,027,375. The trade was a 10.49% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. In the last ninety days, insiders bought 899,905 shares of company stock valued at $5,396,307 and sold 89,493 shares valued at $524,431. Insiders own 4.50% of the company’s stock.

Institutional Trading of Grocery Outlet

Institutional investors and hedge funds have recently modified their holdings of the business. Hussman Strategic Advisors Inc. bought a new position in Grocery Outlet during the third quarter valued at $2,696,000. Boothbay Fund Management LLC grew its holdings in Grocery Outlet by 562.1% during the third quarter. Boothbay Fund Management LLC now owns 284,979 shares of the company’s stock valued at $4,574,000 after purchasing an additional 241,936 shares during the period. Heartland Advisors Inc. bought a new position in Grocery Outlet during the third quarter valued at $4,448,000. Van Berkom & Associates Inc. grew its holdings in Grocery Outlet by 16.9% during the third quarter. Van Berkom & Associates Inc. now owns 3,757,022 shares of the company’s stock valued at $60,300,000 after purchasing an additional 543,535 shares during the period. Finally, Dana Investment Advisors Inc. bought a new position in Grocery Outlet during the third quarter valued at $5,925,000. 99.87% of the stock is owned by hedge funds and other institutional investors.

Grocery Outlet Stock Performance

Shares of Grocery Outlet stock opened at $7.96 on Tuesday. The company has a market cap of $787.40 million, a PE ratio of -3.48, a price-to-earnings-growth ratio of 2.45 and a beta of 0.66. Grocery Outlet has a 52 week low of $5.66 and a 52 week high of $19.41. The business has a 50 day moving average price of $7.43 and a 200-day moving average price of $9.80. The company has a quick ratio of 0.32, a current ratio of 1.37 and a debt-to-equity ratio of 0.49.

Grocery Outlet (NASDAQ:GO) last issued its quarterly earnings data on Wednesday, March 4th. The company reported $0.19 EPS for the quarter, missing the consensus estimate of $0.21 by ($0.02). The company had revenue of $1.22 billion during the quarter, compared to analysts’ expectations of $1.23 billion. Grocery Outlet had a positive return on equity of 5.93% and a negative net margin of 4.80%.The business’s revenue for the quarter was up 10.7% compared to the same quarter last year. During the same period last year, the company earned $0.15 earnings per share. Grocery Outlet has set its FY 2026 guidance at 0.450-0.550 EPS. Equities analysts anticipate that Grocery Outlet will post 0.37 earnings per share for the current fiscal year.

Grocery Outlet Company Profile

Grocery Outlet Holding Corp. (NASDAQ: GO) is a specialty discount retailer that offers consumers deeply discounted groceries by purchasing excess inventory, closeouts, and overstocks from manufacturers and distributors. Headquartered in Emeryville, California, the company operates two primary banners—Grocery Outlet and Fresh2Go—with a combined footprint of more than 400 stores. Its product assortment spans fresh produce, meat, dairy, bakery items, household staples, natural and organic offerings, and select specialty products, all sold at significant markdowns compared to conventional supermarkets.

The company’s unique buying model enables it to source inventory through opportunistic purchases of surplus freight, discontinued items, and closeout deals, which it then passes on as savings to its customers.