Albertsons Companies (NYSE:ACI) Posts Earnings Results, Misses Estimates By $0.13 EPS

Albertsons Companies (NYSE:ACI) released its quarterly earnings results on Thursday. The company reported $0.42 EPS for the quarter, missing analysts’ consensus estimates of $0.55 by ($0.13), Briefing.com reports. The firm had revenue of $24.94 billion for the quarter, compared to analysts’ expectations of $24.88 billion. Albertsons Companies had a return on equity of 42.75% and a net margin of 0.26%.Albertsons Companies’s revenue for the quarter was up .2% on a year-over-year basis. During the same period in the prior year, the firm posted $0.55 earnings per share. Albertsons Companies updated its FY 2026 guidance to 1.750-1.850 EPS.

Here are the key takeaways from Albertsons Companies’ conference call:

• Albertsons reported identical sales down 0.8%, with adjusted EBITDA of $1.013 billion and adjusted EPS of $0.42, and management said results fell short of expectations.
• The company is launching the ACI Edge operating model, cutting from 11 divisions to four regions and centralizing Center Store merchandising to improve speed, accountability, and execution.
• Albertsons expects the ACI Edge and related productivity actions to generate about $200 million in annual incremental benefits, with most savings realized in fiscal 2027, helping fund reinvestment in value and personalization.
• Digital sales grew 13% and penetration reached nearly 10.5%, while management said e-commerce was profitable in the quarter, supported by better fulfillment productivity and stronger customer engagement.
• The company lowered its fiscal 2026 outlook, now expecting adjusted EBITDA of $3.55 billion-$3.625 billion and EPS of $1.75-$1.85, citing softer unit trends, lower-income consumer pressure, and higher customer-value investments.

Albertsons Companies Trading Down 21.5%

NYSE:ACI traded down $3.14 during midday trading on Thursday, hitting $11.46. The stock had a trading volume of 8,824,051 shares, compared to its average volume of 7,236,342. The stock has a 50-day moving average of $15.04 and a 200 day moving average of $16.43. The company has a market capitalization of $5.61 billion, a price-to-earnings ratio of 35.78, a PEG ratio of 1.68 and a beta of 0.42. Albertsons Companies has a one year low of $11.50 and a one year high of $20.81. The company has a quick ratio of 0.20, a current ratio of 0.86 and a debt-to-equity ratio of 4.58.

Albertsons Companies Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, August 7th. Investors of record on Friday, July 24th will be paid a $0.17 dividend. The ex-dividend date of this dividend is Friday, July 24th. This represents a $0.68 annualized dividend and a yield of 5.9%. Albertsons Companies’s dividend payout ratio is 212.50%.

Institutional Investors Weigh In On Albertsons Companies

Several hedge funds have recently made changes to their positions in ACI. Atlas Capital Advisors Inc. bought a new position in shares of Albertsons Companies during the 4th quarter worth $84,000. Parallel Advisors LLC increased its stake in shares of Albertsons Companies by 44.2% during the fourth quarter. Parallel Advisors LLC now owns 5,382 shares of the company’s stock valued at $92,000 after buying an additional 1,650 shares during the period. Aster Capital Management DIFC Ltd bought a new stake in shares of Albertsons Companies in the fourth quarter valued at about $93,000. Smartleaf Asset Management LLC lifted its stake in Albertsons Companies by 1,728.3% in the second quarter. Smartleaf Asset Management LLC now owns 6,582 shares of the company’s stock worth $139,000 after acquiring an additional 6,222 shares during the period. Finally, Northwestern Mutual Wealth Management Co. lifted its stake in Albertsons Companies by 11.8% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 7,326 shares of the company’s stock worth $126,000 after acquiring an additional 774 shares during the period. 71.35% of the stock is currently owned by hedge funds and other institutional investors.

Key Albertsons Companies News

Here are the key news stories impacting Albertsons Companies this week:

• Negative Sentiment: Albertsons reported first-quarter fiscal 2026 EPS of $0.42, missing analyst expectations of $0.55 and down from $0.55 a year ago, signaling weaker-than-expected earnings performance. View Press Release
• Negative Sentiment: The company cut its fiscal 2026 sales outlook, saying grocery shoppers are becoming more cautious and are tightening budgets, which raises concern about near-term revenue growth. Albertsons Cuts FY Sales View as Grocery Shoppers Grow Cautious
• Negative Sentiment: Albertsons also lowered FY 2026 EPS guidance to $1.75-$1.85, below the $2.14 consensus estimate, which suggests analysts and investors may need to reset expectations lower.
• Neutral Sentiment: The company announced a new regional operating model and an updated Merch United merchandising approach, which could support longer-term efficiency but does not appear to offset the weaker earnings and guidance in the near term. Albertsons® Companies Advances the ACI Edge with New Regional Operating Model and Merch United
• Neutral Sentiment: President and CFO Sharon McCollam plans to retire later this year, creating an executive transition that investors may watch for signs of continuity in financial strategy. Albertsons® Companies Announces Retirement of President and Chief Financial Officer Sharon McCollam

Analyst Ratings Changes

Several analysts have issued reports on the stock. UBS Group decreased their price objective on shares of Albertsons Companies from $23.00 to $20.00 and set a “buy” rating for the company in a research note on Wednesday, April 15th. Wells Fargo & Company reduced their price target on Albertsons Companies from $21.00 to $18.00 and set an “overweight” rating on the stock in a report on Monday, June 29th. Weiss Ratings downgraded Albertsons Companies from a “hold (c-)” rating to a “sell (d+)” rating in a report on Friday, May 29th. Royal Bank Of Canada reissued an “outperform” rating and set a $21.00 price target on shares of Albertsons Companies in a research note on Monday, April 6th. Finally, Citigroup dropped their price objective on Albertsons Companies from $22.00 to $17.00 and set a “buy” rating for the company in a report on Monday, June 29th. Nine analysts have rated the stock with a Buy rating, four have assigned a Hold rating and three have issued a Sell rating to the company’s stock. According to MarketBeat.com, the stock currently has a consensus rating of “Hold” and a consensus target price of $20.25.

Albertsons Companies Company Profile

Albertsons Companies, Inc (NYSE: ACI) is one of the largest food and drug retailers in the United States, operating a diversified portfolio of grocery store banners. Founded in 1939 by Joe Albertson in Boise, Idaho, the company has grown through both organic expansion and strategic acquisitions. Its core business activities encompass the sale of fresh produce, meat, bakery items, deli offerings, pharmacy services, and general merchandise. The company’s retail operations are complemented by an in-house private-label program, featuring brands such as O Organics, Open Nature, and Lucerne, which cater to a range of customer preferences and price points.

Throughout its history, Albertsons Companies has pursued growth via mergers and partnerships.