Sweetgreen (NYSE:SG) Releases Earnings Results, Misses Expectations By $0.11 EPS

Sweetgreen (NYSE:SG) released its earnings results on Thursday. The company reported ($0.42) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.31) by ($0.11), FiscalAI reports. The company had revenue of $155.19 million for the quarter, compared to analyst estimates of $159.59 million. Sweetgreen had a negative return on equity of 25.67% and a negative net margin of 16.55%.The business’s revenue for the quarter was down 3.5% compared to the same quarter last year. During the same period last year, the company posted ($0.25) earnings per share.

Here are the key takeaways from Sweetgreen’s conference call:

• For FY2025 revenue was $679.5M and Q4 sales were $155.2M with comparable sales down 11.5% in Q4 (FY comps -7.9%), restaurant-level margin compressed sharply to 10.4% in Q4 versus 17.4% a year ago, and Q4 adjusted EBITDA was a loss of $13.3M and net loss $49.7M.
• Management is executing a five‑point Sweet Growth Transformation Plan with an emphasis on operational excellence (Project One Best Way), and reports ~two‑thirds of restaurants now meeting their “great” standard with improved throughput and scorecard visibility.
• Product innovation momentum is building — the company has its largest innovation pipeline ever, is testing wraps in a multi‑market pilot (priced under $15) with encouraging early results and a potential mid‑2026 rollout if stage‑gate criteria are met.
• Technology and portfolio moves are intended to boost unit economics — Infinite Kitchen locations are delivering higher AAVs and >700 bps labor savings versus classic stores, and the early 2026 sale of Spyce generated $100M in cash to bolster liquidity.
• 2026 guidance assumes same‑store sales down -4% to -2% with restaurant‑level margin of 14.2%–14.7% and adjusted EBITDA of $1M–$6M, about 15 net new restaurants planned (nearly half with Infinite Kitchen), and management expects trends to improve through the year after a weather‑impacted Q1.

Sweetgreen Stock Performance

NYSE SG opened at $6.15 on Friday. The firm’s fifty day moving average price is $6.55 and its two-hundred day moving average price is $7.27. The stock has a market cap of $727.98 million, a PE ratio of -6.34 and a beta of 1.92. Sweetgreen has a fifty-two week low of $4.99 and a fifty-two week high of $27.15.

Analyst Upgrades and Downgrades

Several equities analysts have commented on SG shares. Weiss Ratings reissued a “sell (e+)” rating on shares of Sweetgreen in a report on Monday, December 29th. Royal Bank Of Canada reiterated an “outperform” rating and set a $8.00 price target on shares of Sweetgreen in a research report on Tuesday, December 9th. JPMorgan Chase & Co. boosted their price objective on shares of Sweetgreen from $6.00 to $8.00 and gave the company a “neutral” rating in a research report on Tuesday, January 20th. Piper Sandler cut their target price on Sweetgreen from $12.00 to $9.00 and set a “neutral” rating for the company in a research note on Friday, November 7th. Finally, The Goldman Sachs Group raised their target price on Sweetgreen from $5.00 to $5.60 and gave the company a “sell” rating in a report on Wednesday, January 28th. Three analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and two have given a Sell rating to the stock. According to MarketBeat.com, the company presently has a consensus rating of “Hold” and an average price target of $8.58.

Sweetgreen News Roundup

Here are the key news stories impacting Sweetgreen this week:

• Positive Sentiment: Management outlined a multi-pronged turnaround — menu innovation, operational transformation and remodels — and gave explicit 2026 same-store-sales guidance (-4% to -2%), which markets interpreted as a credible stabilization path versus the steep Q4 decline. Sweetgreen outlines 2026 guidance
• Positive Sentiment: On the earnings call management emphasized active cost and operational initiatives and called out specific levers to restore traffic and margin, giving investors actionable items to watch in 2026 execution. Sweetgreen Inc (SG) Q4 2026 Earnings Call Highlights
• Neutral Sentiment: The company formally released Q4 and full-year results and provided the full call transcript and investor materials for further detail. These filings supply the metrics investors need to model recovery scenarios. Sweetgreen Announces Fourth-Quarter and Fiscal-Year 2025 Financial Results
• Neutral Sentiment: Full earnings-call transcript is available for investors who want management’s verbatim commentary and Q&A to assess credibility of the turnaround timeline. Q4 2025 Earnings Call Transcript
• Negative Sentiment: Financials disappointed: Q4 EPS of -$0.42 missed consensus (-$0.31), revenue $155.2M missed estimates, and fiscal-year results were below expectations — headwinds for near-term profitability and valuation. Sweetgreen Reports Q4 Loss, Misses Revenue Estimates
• Negative Sentiment: Traffic and comps are the core weakness: same-store sales plunged sharply in Q4 (~-11.5% reported) and management flagged a steep traffic drop — recovery will require successful execution of menu and operational changes. Sweetgreen sees a sharp drop in traffic in Q4
• Negative Sentiment: Press coverage (WSJ, MSN) highlights that sales fell despite price increases, underscoring the risk that pricing alone won’t restore volumes and that the restaurant recovery could be slower than peers. Sweetgreen Sales Fall Despite Price Hikes

Hedge Funds Weigh In On Sweetgreen

Large investors have recently bought and sold shares of the company. Larson Financial Group LLC increased its stake in shares of Sweetgreen by 165.8% in the third quarter. Larson Financial Group LLC now owns 3,766 shares of the company’s stock valued at $30,000 after buying an additional 2,349 shares during the period. Caitong International Asset Management Co. Ltd grew its holdings in Sweetgreen by 281.7% during the 4th quarter. Caitong International Asset Management Co. Ltd now owns 7,912 shares of the company’s stock worth $53,000 after acquiring an additional 5,839 shares during the last quarter. CIBC Bancorp USA Inc. acquired a new position in Sweetgreen in the 3rd quarter valued at approximately $88,000. Dorsey & Whitney Trust CO LLC bought a new position in shares of Sweetgreen during the fourth quarter valued at $77,000. Finally, Caxton Associates LLP acquired a new position in shares of Sweetgreen during the third quarter worth $93,000. 95.75% of the stock is currently owned by institutional investors.

Sweetgreen Company Profile

Sweetgreen, Inc is a fast-casual restaurant chain specializing in salads, grain bowls and warm bowls that emphasize fresh, locally sourced ingredients. Since its founding in 2007 by Jonathan Neman, Nicolas Jammet and Nathaniel Ru, Sweetgreen has focused on sustainable agriculture, working with regional farmers across the United States to provide seasonal produce and promote environmentally responsible sourcing practices. The company’s menu features a variety of plant-forward options, including custom-build salads, chef-curated bowls and limited-time offerings that reflect changing harvests.

Sweetgreen operates a technology-driven service model that combines in-store experiences with digital ordering through its mobile app and website.