Zacks Research Lowers Earnings Estimates for Grocery Outlet

Grocery Outlet Holding Corp. (NASDAQ:GO) – Equities research analysts at Zacks Research cut their Q3 2026 earnings estimates for Grocery Outlet in a research report issued to clients and investors on Wednesday, August 26th. Zacks Research analyst Team now anticipates that the company will earn $0.11 per share for the quarter, down from their previous forecast of $0.16. The consensus estimate for Grocery Outlet’s current full-year earnings is $0.42 per share. Zacks Research also issued estimates for Grocery Outlet’s FY2026 earnings at $0.41 EPS, Q1 2027 earnings at $0.03 EPS, Q3 2027 earnings at $0.16 EPS, Q1 2028 earnings at $0.04 EPS and FY2028 earnings at $0.56 EPS.

Several other equities research analysts have also recently commented on GO. Wells Fargo & Company boosted their target price on Grocery Outlet from $9.00 to $11.00 and gave the stock an “equal weight” rating in a report on Thursday, August 13th. Morgan Stanley lifted their price target on Grocery Outlet from $7.00 to $11.00 and gave the company an “equal weight” rating in a research report on Thursday, August 13th. TD Cowen reissued a “hold” rating on shares of Grocery Outlet in a research note on Tuesday, August 18th. Telsey Advisory Group restated a “market perform” rating on shares of Grocery Outlet in a report on Thursday, August 13th. Finally, UBS Group raised their target price on Grocery Outlet from $10.00 to $11.50 and gave the company a “neutral” rating in a research note on Monday, August 17th. Twelve research analysts have rated the stock with a Hold rating and two have issued a Sell rating to the company. Based on data from MarketBeat, the stock has an average rating of “Reduce” and an average price target of $10.59.

Grocery Outlet Trading Down 4.2%

Grocery Outlet stock opened at $11.70 on Friday. The firm has a 50 day simple moving average of $10.10 and a 200-day simple moving average of $8.77. The company has a debt-to-equity ratio of 0.60, a current ratio of 1.29 and a quick ratio of 0.30. The stock has a market capitalization of $1.16 billion, a PE ratio of -3.02, a price-to-earnings-growth ratio of 8.61 and a beta of 0.65. Grocery Outlet has a 12-month low of $5.66 and a 12-month high of $18.79.

Grocery Outlet (NASDAQ:GO) last released its earnings results on Wednesday, August 12th. The company reported $0.20 EPS for the quarter, beating the consensus estimate of $0.13 by $0.07. Grocery Outlet had a negative net margin of 8.04% and a positive return on equity of 5.84%. The firm had revenue of $1.19 billion for the quarter, compared to analysts’ expectations of $1.17 billion. During the same quarter last year, the company earned $0.23 EPS. Grocery Outlet’s quarterly revenue was up 1.1% on a year-over-year basis.

Insiders Place Their Bets

In other Grocery Outlet news, insider Paul Blaine Miller purchased 8,000 shares of the firm’s stock in a transaction on Thursday, August 20th. The shares were purchased at an average price of $10.90 per share, for a total transaction of $87,200.00. Following the completion of the transaction, the insider owned 72,171 shares in the company, valued at $786,663.90. This represents a 12.47% increase in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Insiders have purchased 23,000 shares of company stock worth $228,400 in the last ninety days. Company insiders own 5.60% of the company’s stock.

Institutional Investors Weigh In On Grocery Outlet

A number of institutional investors and hedge funds have recently modified their holdings of the stock. Thrivent Financial for Lutherans raised its position in shares of Grocery Outlet by 1.0% during the second quarter. Thrivent Financial for Lutherans now owns 72,087 shares of the company’s stock worth $895,000 after purchasing an additional 739 shares during the period. HighTower Advisors LLC boosted its position in shares of Grocery Outlet by 2.3% in the 2nd quarter. HighTower Advisors LLC now owns 50,377 shares of the company’s stock valued at $503,000 after purchasing an additional 1,144 shares during the period. Natixis Advisors LLC boosted its position in shares of Grocery Outlet by 5.5% in the 3rd quarter. Natixis Advisors LLC now owns 30,320 shares of the company’s stock valued at $487,000 after purchasing an additional 1,591 shares during the period. Rafferty Asset Management LLC increased its stake in Grocery Outlet by 7.4% in the 2nd quarter. Rafferty Asset Management LLC now owns 27,017 shares of the company’s stock worth $336,000 after purchasing an additional 1,852 shares in the last quarter. Finally, CANADA LIFE ASSURANCE Co increased its stake in Grocery Outlet by 1.7% in the 2nd quarter. CANADA LIFE ASSURANCE Co now owns 115,509 shares of the company’s stock worth $1,435,000 after purchasing an additional 1,957 shares in the last quarter. Institutional investors and hedge funds own 99.87% of the company’s stock.

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.