Sweetgreen (NYSE:SG) Shares Down 6.3% – Should You Sell?

Sweetgreen, Inc. (NYSE:SG) traded down 6.3% during mid-day trading on Monday . The company traded as low as $6.84 and last traded at $6.7070. 769,491 shares traded hands during trading, a decline of 82% from the average session volume of 4,214,543 shares. The stock had previously closed at $7.16.

Wall Street Analyst Weigh In

Several analysts have commented on SG shares. Morgan Stanley reduced their price objective on Sweetgreen from $10.00 to $9.00 and set an “equal weight” rating for the company in a research note on Tuesday, January 20th. Piper Sandler decreased their price target on Sweetgreen from $12.00 to $9.00 and set a “neutral” rating for the company in a report on Friday, November 7th. UBS Group lowered shares of Sweetgreen from a “buy” rating to a “neutral” rating and set a $7.50 price objective on the stock. in a research report on Tuesday, January 6th. Zacks Research raised shares of Sweetgreen from a “strong sell” rating to a “hold” rating in a research note on Wednesday, November 12th. Finally, William Blair reaffirmed a “market perform” rating on shares of Sweetgreen in a report on Friday, November 7th. Three investment analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat.com, the stock has a consensus rating of “Hold” and a consensus target price of $10.79.

Sweetgreen Trading Down 7.1%

The stock has a market cap of $787.19 million, a PE ratio of -6.86 and a beta of 1.93. The business has a 50 day moving average of $6.95 and a 200-day moving average of $8.46.

Sweetgreen (NYSE:SG) last released its earnings results on Friday, November 7th. The company reported ($0.31) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.18) by ($0.13). The firm had revenue of $172.39 million during the quarter, compared to analysts’ expectations of $179.29 million. Sweetgreen had a negative net margin of 16.55% and a negative return on equity of 25.67%. Sweetgreen’s revenue for the quarter was down .6% on a year-over-year basis. During the same quarter last year, the company posted ($0.18) earnings per share. On average, equities research analysts anticipate that Sweetgreen, Inc. will post -0.74 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, insider Nicolas Jammet acquired 18,115 shares of the company’s stock in a transaction dated Wednesday, November 12th. The shares were bought at an average price of $5.51 per share, for a total transaction of $99,813.65. Following the completion of the purchase, the insider directly owned 18,115 shares of the company’s stock, valued at approximately $99,813.65. This trade represents a ∞ increase in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Also, CEO Jonathan Neman acquired 179,800 shares of Sweetgreen stock in a transaction that occurred on Wednesday, November 12th. The shares were purchased at an average price of $5.56 per share, for a total transaction of $999,688.00. Following the completion of the purchase, the chief executive officer directly owned 179,800 shares of the company’s stock, valued at $999,688. The trade was a ∞ increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. 19.78% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Sweetgreen

Several hedge funds have recently modified their holdings of SG. Royal Bank of Canada increased its stake in Sweetgreen by 22.4% in the 1st quarter. Royal Bank of Canada now owns 291,477 shares of the company’s stock worth $7,292,000 after purchasing an additional 53,427 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its holdings in Sweetgreen by 6.2% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 60,572 shares of the company’s stock worth $1,516,000 after buying an additional 3,553 shares during the last quarter. LVW Advisors LLC acquired a new stake in shares of Sweetgreen in the 2nd quarter valued at $159,000. Pinnacle Investment Management Ltd acquired a new stake in shares of Sweetgreen in the second quarter worth about $298,000. Finally, Kingswood Wealth Advisors LLC bought a new stake in Sweetgreen during the second quarter worth approximately $170,000. 95.75% of the stock is currently owned by institutional investors and hedge funds.

About Sweetgreen

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.