Grocery Outlet Holding Corp. (NASDAQ:GO) Given Consensus Rating of “Reduce” by Analysts

Grocery Outlet Holding Corp. (NASDAQ:GO) has earned an average rating of “Reduce” from the thirteen ratings firms that are covering the stock, MarketBeat reports. Two equities research analysts have rated the stock with a sell rating and eleven have assigned a hold rating to the company. The average 1-year target price among brokerages that have issued ratings on the stock in the last year is $10.3182.

GO has been the topic of several recent analyst reports. The Goldman Sachs Group cut their price target on Grocery Outlet from $12.00 to $9.00 and set a “sell” rating on the stock in a research note on Thursday, February 19th. Craig Hallum cut Grocery Outlet from a “strong-buy” rating to a “hold” rating in a research note on Thursday, March 5th. Wells Fargo & Company boosted their price target on Grocery Outlet from $7.00 to $9.00 and gave the stock an “equal weight” rating in a research note on Thursday, May 14th. Morgan Stanley cut their price target on Grocery Outlet from $11.00 to $7.00 and set an “equal weight” rating on the stock in a research note on Thursday, March 5th. Finally, Weiss Ratings upgraded Grocery Outlet from a “sell (d-)” rating to a “sell (d)” rating in a research note on Friday, June 5th.

Insider Activity

In other Grocery Outlet news, Director Erik D. Ragatz purchased 50,000 shares of the business’s stock in a transaction that occurred on Thursday, March 19th. The shares were acquired at an average price of $5.75 per share, for a total transaction of $287,500.00. Following the completion of the purchase, the director owned 526,500 shares in the company, valued at $3,027,375. The trade was a 10.49% increase in their position. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CEO Jason J. N. Potter purchased 286,097 shares of the business’s stock in a transaction that occurred on Thursday, March 19th. The stock was acquired at an average price of $5.90 per share, for a total transaction of $1,687,972.30. Following the purchase, the chief executive officer owned 574,366 shares of the company’s stock, valued at approximately $3,388,759.40. This represents a 99.25% increase in their position. The SEC filing for this purchase provides additional information. In the last quarter, insiders purchased 448,905 shares of company stock worth $2,692,647. Insiders own 4.50% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the business. Aster Capital Management DIFC Ltd raised its stake in Grocery Outlet by 1,030.4% during the fourth quarter. Aster Capital Management DIFC Ltd now owns 2,532 shares of the company’s stock valued at $26,000 after buying an additional 2,308 shares in the last quarter. Kestra Advisory Services LLC acquired a new stake in Grocery Outlet during the fourth quarter valued at approximately $35,000. PNC Financial Services Group Inc. raised its stake in Grocery Outlet by 62.7% during the third quarter. PNC Financial Services Group Inc. now owns 4,788 shares of the company’s stock valued at $77,000 after buying an additional 1,846 shares in the last quarter. State of Wyoming raised its stake in Grocery Outlet by 96.9% during the fourth quarter. State of Wyoming now owns 7,886 shares of the company’s stock valued at $80,000 after buying an additional 3,880 shares in the last quarter. Finally, Bayforest Capital Ltd raised its stake in Grocery Outlet by 427.0% during the fourth quarter. Bayforest Capital Ltd now owns 9,465 shares of the company’s stock valued at $96,000 after buying an additional 7,669 shares in the last quarter. Institutional investors and hedge funds own 99.87% of the company’s stock.

Grocery Outlet Price Performance

Shares of NASDAQ GO opened at $9.88 on Wednesday. Grocery Outlet has a 1-year low of $5.66 and a 1-year high of $19.41. The business has a 50-day moving average of $8.03 and a 200-day moving average of $8.80. 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 company has a market capitalization of $977.33 million, a price-to-earnings ratio of -2.55, a PEG ratio of 14.89 and a beta of 0.67.

Grocery Outlet (NASDAQ:GO) last issued its earnings results on Wednesday, May 13th. The company reported $0.05 earnings per share for the quarter, topping the consensus estimate of $0.02 by $0.03. Grocery Outlet had a positive return on equity of 5.69% and a negative net margin of 8.08%.The company had revenue of $1.17 billion during the quarter, compared to the consensus estimate of $1.15 billion. During the same quarter in the prior year, the business earned $0.13 earnings per share. The company’s revenue was up 3.6% compared to the same quarter last year. Grocery Outlet has set its FY 2026 guidance at 0.450-0.550 EPS. On average, equities analysts anticipate that Grocery Outlet will post 0.38 EPS for the current fiscal year.

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.