Sweetgreen (NYSE:SG) Shares Down 7.2% – Here’s Why

Sweetgreen, Inc. (NYSE:SG) shares fell 7.2% during mid-day trading on Monday . The company traded as low as $5.88 and last traded at $5.8260. Approximately 417,902 shares traded hands during mid-day trading, a decline of 92% from the average session volume of 5,092,927 shares. The stock had previously closed at $6.28.

Wall Street Analyst Weigh In

Several research firms have recently weighed in on SG. TD Cowen reduced their target price on Sweetgreen from $8.00 to $5.00 and set a “hold” rating for the company in a report on Friday, August 7th. KeyCorp reaffirmed a “sector weight” rating on shares of Sweetgreen in a report on Monday, August 10th. Weiss Ratings lowered Sweetgreen from a “sell (d+)” rating to a “sell (d)” rating in a report on Tuesday, August 11th. Royal Bank Of Canada dropped their target price on shares of Sweetgreen from $7.00 to $6.50 and set an “outperform” rating for the company in a report on Friday, August 7th. Finally, Oppenheimer cut their price target on Sweetgreen from $10.00 to $8.50 and set an “outperform” rating for the company in a research note on Friday, August 7th. Four research analysts have rated the stock with a Buy rating, twelve have assigned a Hold rating and three have issued a Sell rating to the company’s stock. According to data from MarketBeat, Sweetgreen has an average rating of “Hold” and a consensus price target of $7.10.

Sweetgreen Trading Down 8.2%

The business has a 50 day simple moving average of $7.43 and a 200-day simple moving average of $6.80. The stock has a market capitalization of $686.27 million, a price-to-earnings ratio of 57.66 and a beta of 2.20.

Sweetgreen (NYSE:SG) last issued its quarterly earnings results on Thursday, August 6th. The company reported ($0.22) EPS 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 analyst estimates of $194.50 million. Sweetgreen had a negative return on equity of 32.94% and a net margin of 2.01%.The business’s revenue for the quarter was up 3.8% on a year-over-year basis. During the same period last year, the company posted ($0.20) EPS. Research analysts predict that Sweetgreen, Inc. will post -0.98 EPS for the current year.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the company. Larson Financial Group LLC grew its stake in Sweetgreen by 165.8% during the 3rd quarter. Larson Financial Group LLC now owns 3,766 shares of the company’s stock valued at $30,000 after purchasing an additional 2,349 shares in the last quarter. Fifth Third Bancorp acquired a new stake in shares of Sweetgreen during the first quarter worth $38,000. CWM LLC raised its stake in Sweetgreen by 212.2% during the fourth quarter. CWM LLC now owns 7,333 shares of the company’s stock worth $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% during the 4th 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. Finally, Versant Capital Management Inc lifted its stake in Sweetgreen by 241.5% in the second quarter. Versant Capital Management Inc now owns 10,518 shares of the company’s stock valued at $93,000 after buying an additional 7,438 shares during the last quarter. 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.