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

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

GO has been the topic of several recent analyst reports. UBS Group reiterated a “neutral” rating and set a $11.50 target price on shares of Grocery Outlet in a research report on Thursday, December 18th. Wells Fargo & Company cut their price objective on Grocery Outlet from $10.50 to $7.00 and set an “equal weight” rating on the stock in a report on Thursday, March 5th. Deutsche Bank Aktiengesellschaft set a $11.00 price objective on Grocery Outlet in a report on Thursday, January 8th. Weiss Ratings restated a “sell (d)” rating on shares of Grocery Outlet in a report on Thursday, January 22nd. Finally, Craig Hallum downgraded Grocery Outlet from a “strong-buy” rating to a “hold” rating in a report on Thursday, March 5th.

Grocery Outlet Stock Performance

NASDAQ GO opened at $6.99 on Friday. The business’s 50-day moving average price is $8.23 and its 200 day moving average price is $10.79. Grocery Outlet has a twelve month low of $5.66 and a twelve month high of $19.41. The company has a market capitalization of $686.07 million, a PE ratio of -3.05, a price-to-earnings-growth ratio of 2.10 and a beta of 0.63. The company has a current ratio of 1.37, a quick ratio of 0.32 and a debt-to-equity ratio of 0.49.

Grocery Outlet (NASDAQ:GO) last released its earnings results on Wednesday, March 4th. The company reported $0.19 earnings per share for the quarter, missing the consensus estimate of $0.21 by ($0.02). Grocery Outlet had a positive return on equity of 5.93% and a negative net margin of 4.80%.The business had revenue of $1.22 billion for the quarter, compared to analysts’ expectations of $1.23 billion. During the same quarter last year, the company posted $0.15 earnings per share. The business’s quarterly revenue was up 10.7% compared to the same quarter last year. Grocery Outlet has set its FY 2026 guidance at 0.450-0.550 EPS. On average, research analysts predict that Grocery Outlet will post 0.63 earnings per share for the current year.

Insider Transactions at Grocery Outlet

In other news, Director Jeffrey York acquired 120,000 shares of the business’s stock in a transaction dated Monday, March 9th. The shares were bought at an average cost of $5.82 per share, for a total transaction of $698,400.00. Following the acquisition, the director directly owned 120,000 shares in the company, valued at $698,400. This trade represents a ∞ increase in their position. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Carey F. Jaros acquired 40,000 shares of the business’s stock in a transaction dated Tuesday, March 10th. The stock was purchased at an average price of $6.26 per share, for a total transaction of $250,400.00. Following the completion of the acquisition, the director owned 76,066 shares in the company, valued at approximately $476,173.16. This trade represents a 110.91% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. In the last 90 days, insiders have purchased 899,905 shares of company stock valued at $5,396,307 and have sold 89,493 shares valued at $524,431. 4.50% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Grocery Outlet

Large investors have recently modified their holdings of the company. Bayforest Capital Ltd purchased a new position in shares of Grocery Outlet in the 3rd quarter worth about $29,000. Hantz Financial Services Inc. raised its holdings in shares of Grocery Outlet by 591.5% during the 3rd quarter. Hantz Financial Services Inc. now owns 2,033 shares of the company’s stock valued at $33,000 after buying an additional 1,739 shares during the period. Aster Capital Management DIFC Ltd raised its holdings in shares of Grocery Outlet by 1,030.4% during the 4th quarter. Aster Capital Management DIFC Ltd now owns 2,532 shares of the company’s stock valued at $26,000 after buying an additional 2,308 shares during the period. Kestra Advisory Services LLC purchased a new stake in shares of Grocery Outlet during the 4th quarter valued at about $35,000. Finally, PNC Financial Services Group Inc. raised its holdings in shares of Grocery Outlet by 62.7% during the 3rd quarter. PNC Financial Services Group Inc. now owns 4,788 shares of the company’s stock valued at $77,000 after buying an additional 1,846 shares during the period. 99.87% of the stock is currently owned by hedge funds and other institutional investors.

About Grocery Outlet

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.