Sweetgreen (NYSE:SG) Shares Up 7.7% – Time to Buy?

Sweetgreen, Inc. (NYSE:SG)’s stock price shot up 7.7% during trading on Wednesday. The stock traded as high as $10.83 and last traded at $11.1030. 411,415 shares were traded during mid-day trading, a decline of 92% from the average session volume of 5,049,663 shares. The stock had previously closed at $10.31.

Analysts Set New Price Targets

Several brokerages have recently weighed in on SG. KeyCorp upped their target price on Sweetgreen from $9.00 to $12.00 and gave the stock an “overweight” rating in a research report on Friday, October 23rd. TD Cowen boosted their price target on Sweetgreen from $6.00 to $9.00 and gave the stock a “hold” rating in a research report on Wednesday, October 21st. Morgan Stanley upped their price target on Sweetgreen from $7.00 to $8.00 and gave the stock an “equal weight” rating in a report on Thursday, October 15th. UBS Group reaffirmed a “neutral” rating and issued a $11.00 price objective on shares of Sweetgreen in a research report on Wednesday. Finally, Wells Fargo & Company upgraded shares of Sweetgreen from an “equal weight” rating to an “overweight” rating and lifted their price objective for the company from $6.00 to $11.00 in a research note on Monday, September 28th. Six analysts have rated the stock with a Buy rating, nine have given a Hold rating and three have issued a Sell rating to the company. According to data from MarketBeat, the company presently has an average rating of “Hold” and a consensus price target of $8.63.

Sweetgreen Price Performance

The firm’s 50-day moving average price is $8.16 and its 200 day moving average price is $7.16. The firm has a market cap of $1.36 billion, a P/E ratio of 115.16 and a beta of 2.16.

Sweetgreen (NYSE:SG) last announced its quarterly earnings results on Thursday, August 6th. The company reported ($0.22) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.13) by ($0.09). The firm had revenue of $192.66 million for the quarter, compared to the consensus estimate of $194.50 million. The business’s revenue for the quarter was up 3.8% on a year-over-year basis. During the same period last year, the business posted ($0.20) earnings per share. Analysts forecast that Sweetgreen, Inc. will post -1.04 earnings per share for the current year.

Insider Buying and Selling

In other news, CFO Jamie McConnell sold 15,033 shares of the business’s stock in a transaction on Monday, August 17th. The stock was sold at an average price of $6.21, for a total value of $93,354.93. Following the sale, the chief financial officer owned 210,489 shares of the company’s stock, valued at approximately $1,307,136.69. The trade was a 6.67% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, COO Jason Miles Cochran sold 4,809 shares of the company’s stock in a transaction on Monday, August 17th. The shares were sold at an average price of $6.21, for a total value of $29,863.89. Following the completion of the sale, the chief operating officer owned 207,076 shares of the company’s stock, valued at approximately $1,285,941.96. This trade represents a 2.27% decrease in their position. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Corporate insiders own 18.19% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors have recently made changes to their positions in SG. Wellington Management Group LLP acquired a new position in Sweetgreen in the 2nd quarter worth approximately $4,557,000. Bank of New York Mellon Corp acquired a new stake in shares of Sweetgreen during the second quarter worth approximately $2,792,000. Granahan Investment Management LLC purchased a new position in Sweetgreen during the first quarter valued at approximately $1,472,000. Quantinno Capital Management LP increased its stake in Sweetgreen by 495.3% in the 1st quarter. Quantinno Capital Management LP now owns 193,757 shares of the company’s stock valued at $1,006,000 after buying an additional 161,209 shares during the period. Finally, Curated Wealth Partners LLC purchased a new stake in Sweetgreen in the 3rd quarter worth approximately $480,000. 95.75% of the stock is owned by hedge funds and other institutional investors.

Sweetgreen Company Profile

Sweetgreen, Inc operates a fast-casual restaurant company focused on fresh, customizable meals. Its menu includes salads, grain bowls, protein plates, sides, and beverages made with seasonal produce and other ingredients. Customers can order in restaurants or through Sweetgreen’s website and mobile application, with options for pickup and delivery.

Founded in 2007 by Nicolas Jammet, Jonathan Neman, and Nathaniel Ru, Sweetgreen began as a single restaurant in Washington, DC The company has expanded its restaurant network across metropolitan areas in the United States, with locations concentrated in major markets on the East and West coasts and in other regions.