Albertsons Companies (NYSE:ACI) Posts Quarterly Earnings Results, Misses Expectations By $0.13 EPS

Albertsons Companies (NYSE:ACI) issued its earnings results on Thursday. The company reported $0.42 EPS for the quarter, missing analysts’ consensus estimates of $0.55 by ($0.13), Briefing.com reports. The firm had revenue of $24.94 billion during the quarter, compared to the consensus estimate of $24.88 billion. Albertsons Companies had a net margin of 0.26% and a return on equity of 42.75%. The business’s quarterly revenue was up .2% on a year-over-year basis. During the same period in the previous year, the firm earned $0.55 earnings per share. Albertsons Companies updated its FY 2026 guidance to 1.750-1.850 EPS.

Here are the key takeaways from Albertsons Companies’ conference call:

• Albertsons reported identical sales down 0.8%, with adjusted EBITDA of $1.013 billion and adjusted EPS of $0.42, and management said results fell short of expectations.
• The company is launching the ACI Edge operating model, cutting from 11 divisions to four regions and centralizing Center Store merchandising to improve speed, accountability, and execution.
• Albertsons expects the ACI Edge and related productivity actions to generate about $200 million in annual incremental benefits, with most savings realized in fiscal 2027, helping fund reinvestment in value and personalization.
• Digital sales grew 13% and penetration reached nearly 10.5%, while management said e-commerce was profitable in the quarter, supported by better fulfillment productivity and stronger customer engagement.
• The company lowered its fiscal 2026 outlook, now expecting adjusted EBITDA of $3.55 billion-$3.625 billion and EPS of $1.75-$1.85, citing softer unit trends, lower-income consumer pressure, and higher customer-value investments.

Albertsons Companies Trading Down 19.9%

Albertsons Companies stock traded down $2.91 during mid-day trading on Thursday, hitting $11.69. The stock had a trading volume of 4,933,392 shares, compared to its average volume of 7,228,108. The stock has a 50-day simple moving average of $15.04 and a two-hundred day simple moving average of $16.43. Albertsons Companies has a 12 month low of $11.68 and a 12 month high of $20.81. The stock has a market capitalization of $5.73 billion, a PE ratio of 36.50, a P/E/G ratio of 1.68 and a beta of 0.42. The company has a current ratio of 0.86, a quick ratio of 0.20 and a debt-to-equity ratio of 4.58.

Albertsons Companies Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, August 7th. Investors of record on Friday, July 24th will be issued a dividend of $0.17 per share. This represents a $0.68 dividend on an annualized basis and a yield of 5.8%. The ex-dividend date of this dividend is Friday, July 24th. Albertsons Companies’s dividend payout ratio (DPR) is currently 212.50%.

Albertsons Companies News Summary

Here are the key news stories impacting Albertsons Companies this week:

• Negative Sentiment: Albertsons reported first-quarter fiscal 2026 EPS of $0.42, missing analyst expectations of $0.55 and down from $0.55 a year ago, signaling weaker-than-expected earnings performance. View Press Release
• Negative Sentiment: The company cut its fiscal 2026 sales outlook, saying grocery shoppers are becoming more cautious and are tightening budgets, which raises concern about near-term revenue growth. Albertsons Cuts FY Sales View as Grocery Shoppers Grow Cautious
• Negative Sentiment: Albertsons also lowered FY 2026 EPS guidance to $1.75-$1.85, below the $2.14 consensus estimate, which suggests analysts and investors may need to reset expectations lower.
• Neutral Sentiment: The company announced a new regional operating model and an updated Merch United merchandising approach, which could support longer-term efficiency but does not appear to offset the weaker earnings and guidance in the near term. Albertsons® Companies Advances the ACI Edge with New Regional Operating Model and Merch United
• Neutral Sentiment: President and CFO Sharon McCollam plans to retire later this year, creating an executive transition that investors may watch for signs of continuity in financial strategy. Albertsons® Companies Announces Retirement of President and Chief Financial Officer Sharon McCollam

Wall Street Analysts Forecast Growth

Several brokerages have recently issued reports on ACI. UBS Group decreased their target price on Albertsons Companies from $23.00 to $20.00 and set a “buy” rating for the company in a research report on Wednesday, April 15th. Citigroup decreased their price target on Albertsons Companies from $22.00 to $17.00 and set a “buy” rating for the company in a research note on Monday, June 29th. Weiss Ratings cut Albertsons Companies from a “hold (c-)” rating to a “sell (d+)” rating in a report on Friday, May 29th. Royal Bank Of Canada reiterated an “outperform” rating and issued a $21.00 target price on shares of Albertsons Companies in a report on Monday, April 6th. Finally, Wells Fargo & Company cut their price target on shares of Albertsons Companies from $21.00 to $18.00 and set an “overweight” rating for the company in a report on Monday, June 29th. Nine research analysts have rated the stock with a Buy rating, four have issued a Hold rating and three have issued a Sell rating to the company. According to MarketBeat, the company currently has a consensus rating of “Hold” and a consensus target price of $20.25.

Hedge Funds Weigh In On Albertsons Companies

Several hedge funds have recently bought and sold shares of the company. Dimensional Fund Advisors LP lifted its position in shares of Albertsons Companies by 62.4% in the 4th quarter. Dimensional Fund Advisors LP now owns 13,429,784 shares of the company’s stock worth $230,595,000 after purchasing an additional 5,159,905 shares during the period. Morgan Stanley raised its stake in shares of Albertsons Companies by 101.0% during the fourth quarter. Morgan Stanley now owns 11,687,694 shares of the company’s stock valued at $200,678,000 after acquiring an additional 5,873,759 shares during the last quarter. AQR Capital Management LLC lifted its holdings in shares of Albertsons Companies by 2.2% during the 4th quarter. AQR Capital Management LLC now owns 6,423,513 shares of the company’s stock valued at $110,292,000 after buying an additional 139,929 shares during the period. Arrowstreet Capital Limited Partnership boosted its holdings in Albertsons Companies by 113.0% in the 4th quarter. Arrowstreet Capital Limited Partnership now owns 4,749,331 shares of the company’s stock worth $81,546,000 after buying an additional 2,519,432 shares during the period. Finally, Invesco Ltd. increased its stake in Albertsons Companies by 20.8% in the 3rd quarter. Invesco Ltd. now owns 3,919,604 shares of the company’s stock worth $68,632,000 after buying an additional 673,798 shares during the period. 71.35% of the stock is owned by institutional investors.

Albertsons Companies Company Profile

Albertsons Companies, Inc (NYSE: ACI) is one of the largest food and drug retailers in the United States, operating a diversified portfolio of grocery store banners. Founded in 1939 by Joe Albertson in Boise, Idaho, the company has grown through both organic expansion and strategic acquisitions. Its core business activities encompass the sale of fresh produce, meat, bakery items, deli offerings, pharmacy services, and general merchandise. The company’s retail operations are complemented by an in-house private-label program, featuring brands such as O Organics, Open Nature, and Lucerne, which cater to a range of customer preferences and price points.

Throughout its history, Albertsons Companies has pursued growth via mergers and partnerships.