Sweetgreen (NYSE:SG) Shares Gap Up – Here’s What Happened

Sweetgreen, Inc. (NYSE:SG) gapped up before the market opened on Monday. The stock had previously closed at $8.24, but opened at $8.57. Sweetgreen shares last traded at $8.6710, with a volume of 834,881 shares.

Wall Street Analyst Weigh In

A number of research analysts recently commented on the company. UBS Group upgraded Sweetgreen from a “neutral” rating to a “buy” rating in a report on Friday, August 7th. Citigroup cut their target price on Sweetgreen from $10.00 to $8.00 and set a “buy” rating for the company in a research note on Friday, August 7th. DA Davidson reduced their target price on Sweetgreen from $7.00 to $5.50 and set a “neutral” rating on the stock in a research report on Monday, August 10th. Wall Street Zen raised Sweetgreen from a “strong sell” rating to a “sell” rating in a research note on Sunday, August 16th. Finally, Royal Bank Of Canada lowered their price target on Sweetgreen from $7.00 to $6.50 and set an “outperform” rating for the company in a report on Friday, August 7th. Six investment analysts have rated the stock with a Buy rating, ten have given a Hold rating and three have issued a Sell rating to the company. According to data from MarketBeat.com, Sweetgreen currently has an average rating of “Hold” and a consensus target price of $7.56.

Sweetgreen Stock Performance

The stock’s 50-day moving average is $6.61 and its two-hundred day moving average is $7.05. The stock has a market cap of $1.00 billion, a PE ratio of 84.16 and a beta of 2.20.

Sweetgreen (NYSE:SG) last announced its earnings results on Thursday, August 6th. The company reported ($0.22) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.13) by ($0.09). Sweetgreen had a net margin of 2.01% and a negative return on equity of 32.94%. The firm had revenue of $192.66 million during the quarter, compared to analysts’ expectations of $194.50 million. During the same period in the previous year, the firm earned ($0.20) EPS. The firm’s revenue for the quarter was up 3.8% compared to the same quarter last year. Analysts forecast that Sweetgreen, Inc. will post -1.03 EPS for the current year.

Insider Buying and Selling at Sweetgreen

In related 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 transaction of $93,354.93. Following the completion of the transaction, the chief financial officer directly owned 210,489 shares of the company’s stock, valued at $1,307,136.69. The trade was a 6.67% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. 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 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 $29,863.89. Following the transaction, the chief operating officer directly owned 207,076 shares of the company’s stock, valued at $1,285,941.96. The trade was a 2.27% decrease in their ownership of the stock. 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. Insiders own 18.19% of the company’s stock.

Institutional Investors Weigh In On Sweetgreen

Hedge funds have recently bought and sold shares of the stock. BNP Paribas Financial Markets grew its position in shares of Sweetgreen by 35.6% during the fourth quarter. BNP Paribas Financial Markets now owns 2,295,867 shares of the company’s stock worth $15,520,000 after buying an additional 603,029 shares in the last quarter. Ibex Investors LLC raised its holdings in Sweetgreen by 5,058.7% in the fourth quarter. Ibex Investors LLC now owns 825,400 shares of the company’s stock valued at $5,580,000 after acquiring an additional 809,400 shares in the last quarter. Wellington Management Group LLP purchased a new position in Sweetgreen in the second quarter worth approximately $4,557,000. Bank of New York Mellon Corp purchased a new position in Sweetgreen in the second quarter worth approximately $2,792,000. Finally, Granahan Investment Management LLC purchased a new position in Sweetgreen in the first quarter worth approximately $1,472,000. Institutional investors and hedge funds own 95.75% of the company’s stock.

About Sweetgreen

Sweetgreen, Inc operates a fast-casual restaurant chain focused on fresh, plant-forward meals. Its menu includes salads, grain bowls, warm bowls, sides, beverages and seasonal offerings prepared with a focus on whole ingredients and customizable combinations.

The company serves customers through company-operated restaurants and digital channels, including its website and mobile application for ordering, pickup and delivery. Sweetgreen has also developed automated restaurant technology, including its Infinite Kitchen platform, which is designed to support food preparation and restaurant operations.

Sweetgreen was founded in 2007 in Washington, DC, by Jonathan Neman, Nicolas Jammet and Nathaniel Ru.