Sweetgreen (NYSE:SG) Trading Down 7.7% – Time to Sell?

Sweetgreen, Inc. (NYSE:SG) fell 7.7% on Monday . The stock traded as low as $9.29 and last traded at $9.1950. 2,744,808 shares were traded during mid-day trading, a decline of 41% from the average session volume of 4,666,392 shares. The stock had previously closed at $9.96.

Analyst Ratings Changes

Several research firms recently weighed in on SG. Wall Street Zen raised Sweetgreen from a “strong sell” rating to a “sell” rating in a research note on Saturday, May 23rd. DA Davidson raised their price objective on Sweetgreen from $5.50 to $7.00 and gave the company a “neutral” rating in a research note on Monday, May 11th. Wolfe Research began coverage on Sweetgreen in a research note on Monday, March 9th. They issued a “peer perform” rating for the company. JPMorgan Chase & Co. raised Sweetgreen from a “neutral” rating to an “overweight” rating and raised their price objective for the company from $8.00 to $13.00 in a research note on Friday, May 22nd. Finally, TD Cowen raised their price objective on Sweetgreen from $7.00 to $8.00 and gave the company a “hold” rating in a research note on Wednesday, May 27th. Four investment 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. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and an average price target of $8.04.

Sweetgreen Price Performance

The firm has a 50-day simple moving average of $6.91 and a two-hundred day simple moving average of $6.58. The company has a market cap of $1.01 billion, a PE ratio of 70.80 and a beta of 2.15.

Sweetgreen (NYSE:SG) last released its quarterly earnings results on Thursday, May 7th. The company reported ($0.27) earnings per share for the quarter, missing the consensus estimate of ($0.23) by ($0.04). The company had revenue of $161.52 million for the quarter, compared to analysts’ expectations of $163.95 million. Sweetgreen had a negative return on equity of 33.07% and a net margin of 2.49%.The business’s quarterly revenue was down 2.9% on a year-over-year basis. During the same period in the previous year, the business posted ($0.21) EPS. Equities research analysts forecast that Sweetgreen, Inc. will post -0.76 EPS for the current year.

Insider Buying and Selling at Sweetgreen

In related news, major shareholder Goldman Sachs Group Inc purchased 594,553 shares of the company’s stock in a transaction on Tuesday, April 7th. The stock was bought at an average price of $5.69 per share, with a total value of $3,383,006.57. Following the completion of the transaction, the insider owned 11,900,255 shares of the company’s stock, valued at approximately $67,712,450.95. This represents a 5.26% increase in their position. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Nicolas Jammet acquired 4,428 shares of the stock in a transaction dated Thursday, March 5th. The stock was acquired at an average cost of $5.71 per share, with a total value of $25,283.88. Following the transaction, the insider owned 22,543 shares of the company’s stock, valued at approximately $128,720.53. This trade represents a 24.44% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. Company insiders own 18.19% of the company’s stock.

Institutional Investors Weigh In On Sweetgreen

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. Larson Financial Group LLC grew its position in shares of Sweetgreen by 165.8% in the third 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 during the period. Certuity LLC grew its position in shares of Sweetgreen by 0.8% in the fourth quarter. Certuity LLC now owns 302,500 shares of the company’s stock valued at $2,045,000 after purchasing an additional 2,500 shares during the period. Kingswood Wealth Advisors LLC grew its position in shares of Sweetgreen by 18.7% in the fourth quarter. Kingswood Wealth Advisors LLC now owns 17,202 shares of the company’s stock valued at $116,000 after purchasing an additional 2,715 shares during the period. Tower Research Capital LLC TRC grew its position in shares of Sweetgreen by 26.3% in the second quarter. Tower Research Capital LLC TRC now owns 14,362 shares of the company’s stock valued at $214,000 after purchasing an additional 2,987 shares during the period. Finally, Skandinaviska Enskilda Banken AB publ grew its position in shares of Sweetgreen by 124.1% in the third quarter. Skandinaviska Enskilda Banken AB publ now owns 6,292 shares of the company’s stock valued at $50,000 after purchasing an additional 3,484 shares during the period. Hedge funds and other institutional investors own 95.75% of the company’s stock.

Sweetgreen Company Profile

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.