Shares of Grocery Outlet Holding Corp. (NASDAQ:GO) have received an average rating of “Hold” from thirteen analysts monitoring the company, according to MarketBeat. The ratings reflect a moderate outlook, with two analysts issuing a sell rating, seven recommending a hold, and four providing a buy rating. The average one-year price target set by these analysts stands at approximately $15.73.
Several investment firms have recently adjusted their price targets for Grocery Outlet. On November 5, Bank of America lowered its target from $19.00 to $16.00 while maintaining a “neutral” rating. Similarly, DA Davidson reduced its price objective from $16.00 to $15.00, also assigning a “neutral” rating. UBS Group made a comparable adjustment, decreasing their target price from $18.00 to $16.00.
In a contrasting move, Craig Hallum upgraded Grocery Outlet’s shares from a “hold” to a “buy” rating, setting a price target of $17.00 in a report released on August 6. Meanwhile, TD Cowen reduced their price target from $18.00 to $16.00 while maintaining a “hold” rating on the same day as the other adjustments.
Recent Financial Performance
Grocery Outlet reported its quarterly earnings on November 4, revealing earnings per share (EPS) of $0.21. This figure surpassed the consensus estimate of $0.19 by $0.02. The company had a positive return on equity of 5.86%, although it reported a slight net margin of -0.10%. For the quarter, Grocery Outlet generated revenues of $1.17 billion, which fell short of the expected $1.18 billion. Year-over-year, the revenue increased by 5.4%. The company has set its fiscal year 2025 guidance at an EPS range of $0.78 to $0.80, with analysts forecasting an EPS of $0.63 for the current year.
Recent Insider Transactions and Institutional Holdings
In other company news, executive vice president Steven K. Wilson sold 25,000 shares on November 7 for an average price of $12.53, totaling approximately $313,250. Following this transaction, he directly owns 116,923 shares, valued at around $1.47 million, representing a 17.62% reduction in his position. This sale was disclosed in a filing with the Securities and Exchange Commission (SEC).
Institutional investors have recently modified their holdings of Grocery Outlet stock. Rip Road Capital Partners LP increased its stake by 33.9% in the first quarter, now owning 707,900 shares worth approximately $9.9 million. Other notable changes include Intech Investment Management LLC, which acquired a new position valued at about $3.84 million, and Eisler Capital Management Ltd., which boosted its holdings by 178.5% in the second quarter.
Overall, institutional investors currently hold an impressive 99.87% of Grocery Outlet’s stock, indicating strong confidence in the company’s long-term potential.
Grocery Outlet operates as a retailer of consumables and fresh products through independently operated stores across the United States, offering a diverse range of products that includes dairy, produce, meat, and general merchandise.
