Telsey Advisory Group Downgrades Grocery Outlet (NASDAQ:GO) to Market Perform

Telsey Advisory Group lowered shares of Grocery Outlet (NASDAQ:GO) from an outperform rating to a market perform rating in a research report sent to investors on Wednesday morning, Marketbeat Ratings reports. They currently have $19.00 target price on the stock, down from their previous target price of $27.00. Telsey Advisory Group also issued estimates for Grocery Outlet’s Q3 2024 earnings at $0.21 EPS, Q4 2024 earnings at $0.18 EPS, FY2024 earnings at $0.62 EPS, Q2 2025 earnings at $0.22 EPS, Q3 2025 earnings at $0.22 EPS, Q4 2025 earnings at $0.18 EPS and FY2025 earnings at $0.76 EPS.

GO has been the topic of a number of other reports. Wells Fargo & Company reduced their target price on shares of Grocery Outlet from $28.00 to $26.00 and set an “overweight” rating on the stock in a research report on Wednesday. Bank of America cut shares of Grocery Outlet from a “buy” rating to a “neutral” rating and cut their price objective for the stock from $29.00 to $17.00 in a report on Wednesday. Craig Hallum lowered shares of Grocery Outlet from a “buy” rating to a “hold” rating and lowered their target price for the company from $32.00 to $20.00 in a report on Wednesday, July 31st. Roth Capital upgraded Grocery Outlet from a “hold” rating to a “strong-buy” rating in a research note on Wednesday, August 7th. Finally, Loop Capital initiated coverage on Grocery Outlet in a research report on Thursday, October 17th. They set a “hold” rating and a $17.00 price objective for the company. Two investment analysts have rated the stock with a sell rating, seven have given a hold rating, two have given a buy rating and one has given a strong buy rating to the company. According to data from MarketBeat.com, the company currently has an average rating of “Hold” and an average target price of $19.73.

Grocery Outlet Stock Performance

Shares of GO opened at $15.05 on Wednesday. The company has a 50-day simple moving average of $16.81 and a two-hundred day simple moving average of $20.01. The company has a debt-to-equity ratio of 0.31, a current ratio of 1.29 and a quick ratio of 0.29. The firm has a market capitalization of $1.47 billion, a PE ratio of 27.87, a price-to-earnings-growth ratio of 2.67 and a beta of 0.10. Grocery Outlet has a one year low of $13.60 and a one year high of $29.98.

Grocery Outlet (NASDAQ:GO) last released its earnings results on Tuesday, August 6th. The company reported $0.25 EPS for the quarter, beating analysts’ consensus estimates of $0.20 by $0.05. The company had revenue of $1.13 billion during the quarter, compared to analysts’ expectations of $1.10 billion. Grocery Outlet had a return on equity of 5.18% and a net margin of 1.30%. The firm’s revenue for the quarter was up 11.7% compared to the same quarter last year. During the same quarter last year, the business posted $0.23 EPS. On average, analysts anticipate that Grocery Outlet will post 0.68 EPS for the current fiscal year.

Insider Activity

In other Grocery Outlet news, Director Eric J. Jr. Lindberg sold 100,000 shares of the business’s stock in a transaction dated Friday, August 16th. The stock was sold at an average price of $18.90, for a total value of $1,890,000.00. Following the completion of the transaction, the director now owns 70,938 shares of the company’s stock, valued at approximately $1,340,728.20. The trade was a 0.00 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. In other news, Director Eric J. Jr. Lindberg sold 100,000 shares of the firm’s stock in a transaction dated Friday, August 16th. The shares were sold at an average price of $18.90, for a total transaction of $1,890,000.00. Following the sale, the director now owns 70,938 shares of the company’s stock, valued at $1,340,728.20. This trade represents a 0.00 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, Director Eric J. Jr. Lindberg sold 200,095 shares of the business’s stock in a transaction that occurred on Thursday, September 19th. The shares were sold at an average price of $16.29, for a total transaction of $3,259,547.55. Following the transaction, the director now directly owns 70,938 shares of the company’s stock, valued at $1,155,580.02. The trade was a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 500,095 shares of company stock valued at $8,876,548 over the last ninety days. 4.50% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Grocery Outlet

A number of institutional investors and hedge funds have recently modified their holdings of the company. Allspring Global Investments Holdings LLC purchased a new position in shares of Grocery Outlet in the first quarter worth approximately $25,000. Blue Trust Inc. raised its position in Grocery Outlet by 76.6% in the third quarter. Blue Trust Inc. now owns 1,665 shares of the company’s stock worth $29,000 after acquiring an additional 722 shares during the period. Capital Performance Advisors LLP bought a new stake in shares of Grocery Outlet during the 3rd quarter valued at $32,000. Innealta Capital LLC purchased a new stake in shares of Grocery Outlet in the 2nd quarter worth $38,000. Finally, Canada Pension Plan Investment Board bought a new position in Grocery Outlet in the 2nd quarter worth $82,000. 99.87% of the stock is currently owned by hedge funds and other institutional investors.

About Grocery Outlet

Grocery Outlet Holding Corp. operates as a retailer of consumables and fresh products sold through independently operated stores in the United States. Its stores offer products in various categories, such as dairy and deli, produce, floral, fresh meat, seafood products, grocery, general merchandise, health and beauty care, frozen food, beer and wine, and ethnic products.