Morgan Stanley Boosts Grocery Outlet (NASDAQ:GO) Price Target to $11.00

Grocery Outlet (NASDAQ:GO) had its price target raised by Morgan Stanley from $7.00 to $11.00 in a report issued on Thursday,Benzinga reports. The firm currently has an “equal weight” rating on the stock. Morgan Stanley’s target price suggests a potential upside of 4.02% from the company’s current price.

Several other research firms have also issued reports on GO. DA Davidson set a $12.00 target price on Grocery Outlet in a research note on Thursday. TD Cowen lifted their target price on Grocery Outlet from $6.00 to $8.00 and gave the company a “hold” rating in a research report on Thursday, May 14th. Telsey Advisory Group set a $12.00 price target on shares of Grocery Outlet in a research note on Thursday. Roth Capital reissued a “neutral” rating on shares of Grocery Outlet in a research report on Thursday. Finally, Wells Fargo & Company raised their price objective on shares of Grocery Outlet from $9.00 to $11.00 and gave the company an “equal weight” rating in a research note on Thursday. Twelve investment analysts have rated the stock with a Hold rating and two have assigned a Sell rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of “Reduce” and a consensus target price of $10.85.

Grocery Outlet Trading Up 4.0%

Shares of NASDAQ:GO traded up $0.41 during mid-day trading on Thursday, reaching $10.57. 1,981,055 shares of the company were exchanged, compared to its average volume of 3,136,484. Grocery Outlet has a 1 year low of $5.66 and a 1 year high of $19.23. The company has a debt-to-equity ratio of 0.59, a current ratio of 1.28 and a quick ratio of 0.27. The firm’s 50-day simple moving average is $9.59 and its 200 day simple moving average is $8.63. The firm has a market cap of $1.05 billion, a price-to-earnings ratio of -2.74, a P/E/G ratio of 15.51 and a beta of 0.65.

Grocery Outlet (NASDAQ:GO) last announced its earnings results on Wednesday, August 12th. The company reported $0.20 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.13 by $0.07. Grocery Outlet had a positive return on equity of 5.69% and a negative net margin of 8.08%.The company had revenue of $1.19 billion for the quarter, compared to analyst estimates of $1.17 billion. During the same quarter in the previous year, the company earned $0.23 earnings per share. The firm’s quarterly revenue was up 1.1% compared to the same quarter last year. Equities research analysts forecast that Grocery Outlet will post 0.37 EPS for the current year.

Insider Transactions at Grocery Outlet

In related news, insider Paul Blaine Miller purchased 5,000 shares of Grocery Outlet stock in a transaction on Thursday, June 25th. The shares were bought at an average price of $9.50 per share, with a total value of $47,500.00. Following the transaction, the insider directly owned 64,171 shares of the company’s stock, valued at approximately $609,624.50. This trade represents a 8.45% increase in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. 5.60% of the stock is owned by corporate insiders.

Institutional Trading of Grocery Outlet

Several hedge funds have recently added to or reduced their stakes in the company. Quantbot Technologies LP purchased a new position in Grocery Outlet in the second quarter worth approximately $46,000. Ieq Capital LLC purchased a new stake in shares of Grocery Outlet in the 2nd quarter valued at approximately $267,000. Heartland Advisors Inc. acquired a new stake in shares of Grocery Outlet in the 2nd quarter valued at $6,606,000. Allworth Financial LP acquired a new stake in shares of Grocery Outlet in the 2nd quarter valued at $40,000. Finally, BlackRock Inc. acquired a new stake in shares of Grocery Outlet in the 2nd quarter valued at $152,440,000. Institutional investors and hedge funds own 99.87% of the company’s stock.

Grocery Outlet News Roundup

Here are the key news stories impacting Grocery Outlet this week:

• Positive Sentiment: Grocery Outlet reported adjusted earnings of $0.20 per share, above the $0.12–$0.13 analyst consensus, while revenue of $1.19 billion also topped estimates of approximately $1.17 billion. Grocery Outlet Q2 Earnings and Revenues Top Estimates
• Positive Sentiment: Management raised fiscal 2026 net-sales guidance to $4.70 billion–$4.72 billion, reportedly above the Street’s prior view. The improved outlook supports the bullish reaction despite modest year-over-year growth. Grocery Outlet Beats Q2 Estimates and Raises FY26 Outlook
• Positive Sentiment: Net income increased to $5.6 million from $5.0 million a year earlier, and several company insiders have made substantial open-market purchases over the past six months. A valuation article also characterized GO as potentially undervalued, with a GF Score of 66/100. Grocery Outlet Q2 Net Sales Rise Grocery Outlet Stock Up and Still Undervalued
• Neutral Sentiment: On the earnings call, management provided additional commentary on the quarter, its value-focused strategy and the updated outlook. Investors will likely focus on whether these initiatives can accelerate sales and improve margins. Grocery Outlet Q2 2026 Earnings Call Transcript
• Negative Sentiment: Comparable-store sales declined 0.3%, revenue rose only 1.1% year over year, and the company opened 10 stores while closing 12. Reported diluted EPS was $0.06, below the $0.23 achieved in the prior-year quarter, highlighting continued earnings-quality and margin concerns. Grocery Outlet Announces Second Quarter Fiscal 2026 Results

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.