Albertsons Companies (NYSE:ACI) Stock Gets Downgrade from JPMorgan Chase & Co.

Albertsons Companies (NYSE:ACI) was downgraded by JPMorgan Chase & Co. from an “overweight” rating to a “neutral” rating in a research note issued on Thursday, Briefing.com reports. They presently have a $14.00 price objective on the stock. JPMorgan Chase & Co.‘s price target indicates a potential upside of 7.24% from the stock’s previous close.

A number of other analysts also recently commented on ACI. BMO Capital Markets downgraded Albertsons Companies from an “outperform” rating to a “market perform” rating and dropped their price objective for the stock from $23.00 to $12.00 in a research note on Friday, July 24th. Wells Fargo & Company raised their target price on Albertsons Companies from $11.00 to $12.00 and gave the company an “equal weight” rating in a research note on Wednesday. Telsey Advisory Group reaffirmed a “market perform” rating and set a $13.00 target price (down from $22.00) on shares of Albertsons Companies in a research note on Friday, July 24th. Weiss Ratings reaffirmed a “sell (d+)” rating on shares of Albertsons Companies in a report on Wednesday, August 26th. Finally, Bank of America reiterated an “underperform” rating and issued a $12.00 price target (down from $16.00) on shares of Albertsons Companies in a research report on Wednesday. Three analysts have rated the stock with a Buy rating, ten have given a Hold rating and four have assigned a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Reduce” and a consensus target price of $14.62.

Albertsons Companies Price Performance

NYSE ACI opened at $13.05 on Thursday. Albertsons Companies has a 12 month low of $10.86 and a 12 month high of $20.00. The company has a debt-to-equity ratio of 5.89, a current ratio of 0.82 and a quick ratio of 0.21. The firm has a market capitalization of $6.34 billion, a PE ratio of -118.68, a P/E/G ratio of 2.17 and a beta of 0.40. The company’s 50 day simple moving average is $12.20 and its 200 day simple moving average is $14.20.

Albertsons Companies (NYSE:ACI) last released its earnings results on Tuesday, October 13th. The company reported $0.36 earnings per share for the quarter, topping analysts’ consensus estimates of $0.33 by $0.03. The firm had revenue of $18.89 billion during the quarter, compared to the consensus estimate of $18.87 billion. Albertsons Companies had a positive return on equity of 52.17% and a negative net margin of 0.06%. The firm’s revenue for the quarter was down .1% compared to the same quarter last year. During the same period in the prior year, the firm posted $0.30 earnings per share. As a group, equities research analysts forecast that Albertsons Companies will post 1.65 EPS for the current fiscal year.

Insider Activity

In related news, EVP Thomas M. Moriarty bought 170,500 shares of the firm’s stock in a transaction that occurred on Monday, July 27th. The shares were acquired at an average cost of $11.51 per share, for a total transaction of $1,962,455.00. Following the acquisition, the executive vice president directly owned 308,946 shares of the company’s stock, valued at $3,555,968.46. The trade was a 123.15% increase in their position. The transaction was disclosed in a document filed with the SEC, which is available through this link. Also, CFO Sharon Mccollam bought 9,000 shares of the firm’s stock in a transaction that occurred on Friday, July 31st. The stock was bought at an average price of $11.48 per share, for a total transaction of $103,320.00. Following the completion of the acquisition, the chief financial officer directly owned 567,051 shares in the company, valued at approximately $6,509,745.48. The trade was a 1.61% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. In the last 90 days, insiders purchased 218,909 shares of company stock worth $2,515,826. Insiders own 1.18% of the company’s stock.

Hedge Funds Weigh In On Albertsons Companies

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. Twin Capital Management Inc. raised its holdings in shares of Albertsons Companies by 1.7% during the first quarter. Twin Capital Management Inc. now owns 43,912 shares of the company’s stock valued at $748,000 after acquiring an additional 721 shares during the period. Foster & Motley Inc. boosted its stake in Albertsons Companies by 1.5% in the 1st quarter. Foster & Motley Inc. now owns 61,163 shares of the company’s stock worth $1,042,000 after purchasing an additional 917 shares during the period. Parallel Advisors LLC boosted its stake in Albertsons Companies by 24.7% in the 1st quarter. Parallel Advisors LLC now owns 6,713 shares of the company’s stock worth $114,000 after purchasing an additional 1,331 shares during the period. Applied Finance Capital Management LLC boosted its stake in Albertsons Companies by 4.0% in the 1st quarter. Applied Finance Capital Management LLC now owns 35,691 shares of the company’s stock worth $608,000 after purchasing an additional 1,357 shares during the period. Finally, Allworth Financial LP boosted its stake in Albertsons Companies by 144.3% in the 2nd quarter. Allworth Financial LP now owns 3,767 shares of the company’s stock worth $51,000 after purchasing an additional 2,225 shares during the period. Institutional investors and hedge funds own 71.35% of the company’s stock.

Key Headlines Impacting Albertsons Companies

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

• Positive Sentiment: Albertsons beat second-quarter fiscal 2026 adjusted earnings expectations, reporting $0.36 per share versus the $0.33 consensus, while revenue of $18.89 billion was slightly above forecasts. Management also outlined an expanded cost-reduction program targeting approximately $2 billion in savings and plans to hold an investor day in spring 2027. Albertsons Second-Quarter Fiscal 2026 Results
• Positive Sentiment: Royal Bank of Canada raised its price target from $13 to $16 and upgraded the stock to “outperform,” signaling confidence that the ACI Edge turnaround strategy and business review could unlock value.
• Positive Sentiment: The company declared a quarterly dividend of $0.17 per share, equivalent to $0.68 annually and an approximately 5.2% yield, which may support income-oriented investors.
• Positive Sentiment: Albertsons announced plans for a new store in Valley Center, California, expected to open in spring 2028. The location should add long-term sales, pharmacy revenue and local jobs, though the financial effect is distant. Albertsons Valley Center Store Announcement
• Neutral Sentiment: New executive chair Meg Whitman is taking a more active role as Albertsons reviews its strategy, cost structure and business portfolio. The review could lead to asset sales or other strategic changes, but its outcome remains uncertain.
• Negative Sentiment: Albertsons withdrew its fiscal 2026 outlook while conducting the review, reducing visibility for investors. The company cited the need to move faster on its turnaround as it addresses mixed margins and weaker consumer spending.
• Negative Sentiment: Despite the adjusted earnings beat, reported profit declined sharply year over year, revenue was essentially flat, and the company posted a negative net margin. Bank of America reaffirmed its “underperform” rating and cut its price target from $16 to $12, warning of near-term earnings pressure.

Albertsons Companies Company Profile

Albertsons Companies, Inc is a U.S. food and drug retailer headquartered in Boise, Idaho. The company operates supermarkets, pharmacies and related retail businesses under banners including Albertsons, Safeway, Vons, Jewel-Osco, Shaw’s, ACME, Tom Thumb, Randalls, United Supermarkets, Pavilions, Carrs and Haggen.

Its stores offer groceries, fresh produce, meat and seafood, bakery and deli items, household products, health and beauty products, and pharmacy services. Albertsons also provides private-label products, fuel at select locations, grocery delivery and pickup, digital shopping tools, and customer loyalty programs.

The company’s history traces to 1939, when Joe Albertson opened the first Albertsons store in Boise.