Sweetgreen (NYSE:SG) Reaches New 52-Week Low – Here’s Why

Sweetgreen, Inc. (NYSE:SG) shares hit a new 52-week low during mid-day trading on Tuesday . The company traded as low as $4.49 and last traded at $4.7920, with a volume of 4403786 shares trading hands. The stock had previously closed at $4.70.

Analysts Set New Price Targets

A number of analysts recently commented on the stock. Royal Bank Of Canada lowered their target price on shares of Sweetgreen from $8.00 to $7.00 and set an “outperform” rating on the stock in a research report on Friday, February 27th. Piper Sandler reduced their price target on shares of Sweetgreen from $9.00 to $7.00 and set a “neutral” rating for the company in a research report on Friday, March 27th. UBS Group decreased their price target on Sweetgreen from $7.50 to $6.50 and set a “neutral” rating on the stock in a research note on Monday, February 23rd. The Goldman Sachs Group upped their price target on Sweetgreen from $5.00 to $5.60 and gave the stock a “sell” rating in a report on Wednesday, January 28th. Finally, Morgan Stanley dropped their price objective on Sweetgreen from $10.00 to $9.00 and set an “equal weight” rating for the company in a research note on Tuesday, January 20th. Three equities research analysts have rated the stock with a Buy rating, thirteen have assigned a Hold rating and three have given a Sell rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of “Hold” and a consensus target price of $7.84.

Sweetgreen Stock Performance

The stock has a market capitalization of $642.63 million, a PE ratio of -4.76 and a beta of 1.89. The company’s fifty day simple moving average is $5.68 and its two-hundred day simple moving average is $6.65.

Sweetgreen (NYSE:SG) last announced its quarterly earnings results on Thursday, February 26th. The company reported ($0.42) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.31) by ($0.11). Sweetgreen had a negative net margin of 19.73% and a negative return on equity of 32.26%. The business had revenue of $155.19 million during the quarter, compared to analysts’ expectations of $159.59 million. During the same period last year, the company earned ($0.25) EPS. The firm’s revenue for the quarter was down 3.5% on a year-over-year basis. Sell-side analysts forecast that Sweetgreen, Inc. will post -0.74 EPS for the current fiscal year.

Insider Transactions at Sweetgreen

In related news, insider Nicolas Jammet bought 4,428 shares of the stock in a transaction on Thursday, March 5th. The shares were purchased at an average price of $5.71 per share, for a total transaction of $25,283.88. Following the acquisition, the insider owned 22,543 shares in the company, valued at $128,720.53. This represents a 24.44% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the SEC, which is available through the SEC website. Insiders own 19.78% of the company’s stock.

Hedge Funds Weigh In On Sweetgreen

A number of institutional investors have recently made changes to their positions in SG. Caitong International Asset Management Co. Ltd lifted its position in shares of Sweetgreen by 548.2% in the fourth quarter. Caitong International Asset Management Co. Ltd now owns 13,437 shares of the company’s stock valued at $91,000 after acquiring an additional 11,364 shares in the last quarter. Alpine Global Management LLC purchased a new stake in Sweetgreen during the 4th quarter worth about $92,000. Aristides Capital LLC acquired a new position in Sweetgreen in the 4th quarter valued at about $185,000. Virtu Financial LLC acquired a new position in Sweetgreen in the 4th quarter valued at about $674,000. Finally, Invesco Ltd. lifted its holdings in Sweetgreen by 23.9% in the 4th quarter. Invesco Ltd. now owns 134,511 shares of the company’s stock valued at $909,000 after purchasing an additional 25,921 shares in 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.