Simply Good Foods (NASDAQ:SMPL) Releases Earnings Results, Beats Estimates By $0.03 EPS

Simply Good Foods (NASDAQ:SMPL) announced its quarterly earnings results on Thursday. The financial services provider reported $0.39 EPS for the quarter, topping the consensus estimate of $0.36 by $0.03, FiscalAI reports. Simply Good Foods had a net margin of 6.26% and a return on equity of 9.56%. The firm had revenue of $340.20 million for the quarter, compared to analyst estimates of $337.64 million. During the same period last year, the business earned $0.49 EPS. Simply Good Foods’s revenue for the quarter was down .3% compared to the same quarter last year.

Here are the key takeaways from Simply Good Foods’ conference call:

• Quest remained the growth engine with consumption up ~12% and net sales nearly +10%, led by salty snacks (+40%), rising household penetration (~20%), and notable distribution and merchandising gains.
• Management reaffirmed its full-year outlook for net sales and Adjusted EBITDA, cautioned Q2 will be the weakest quarter (net sales down ~3.5–4.5%) and expects a second-half inflection with Q4 as the strongest period for profit growth.
• Q1 gross margin declined roughly 540–590 basis points YoY (Adjusted EBITDA down ~20%), driven by elevated input costs (notably cocoa and whey) and ~$4M of tariffs, though pricing, productivity programs and newly secured cocoa supply are expected to help starting in Q4 and into FY27.
• OWYN showed consumption growth (+18%) but sales were held back by product-quality issues and retailer destocking; management reports improved product ratings, a formula fix, and plans higher marketing to rebuild awareness and align shipments with consumption.
• The company borrowed $150M to accelerate buybacks, repurchased >7% of shares (~$150M YTD), and the board added $200M to the repurchase program, while net debt sits near 0.8x trailing Adjusted EBITDA, reflecting aggressive capital return supported by a strong balance sheet.

Simply Good Foods Stock Performance

Shares of SMPL stock opened at $21.40 on Friday. The stock has a fifty day moving average price of $19.59 and a 200 day moving average price of $25.14. The company has a debt-to-equity ratio of 0.23, a quick ratio of 2.30 and a current ratio of 5.01. The stock has a market cap of $2.03 billion, a PE ratio of 23.78, a P/E/G ratio of 5.18 and a beta of 0.27. Simply Good Foods has a 1 year low of $18.45 and a 1 year high of $40.01.

Insider Activity

In other Simply Good Foods news, CFO Christopher J. Bealer bought 9,946 shares of the company’s stock in a transaction on Thursday, November 6th. The stock was purchased at an average cost of $20.01 per share, for a total transaction of $199,019.46. Following the acquisition, the chief financial officer owned 32,966 shares of the company’s stock, valued at $659,649.66. The trade was a 43.21% increase in their position. The acquisition was disclosed in a document filed with the SEC, which is available through the SEC website. Also, insider Michael L. Clawson acquired 5,000 shares of the company’s stock in a transaction that occurred on Monday, November 17th. The shares were bought at an average price of $20.00 per share, with a total value of $100,000.00. Following the transaction, the insider owned 37,620 shares in the company, valued at $752,400. This represents a 15.33% increase in their position. The disclosure for this purchase is available in the SEC filing. Company insiders own 8.76% of the company’s stock.

Institutional Trading of Simply Good Foods

Several institutional investors have recently made changes to their positions in SMPL. California State Teachers Retirement System grew its stake in Simply Good Foods by 0.4% during the second quarter. California State Teachers Retirement System now owns 88,477 shares of the financial services provider’s stock worth $2,795,000 after buying an additional 383 shares during the period. EverSource Wealth Advisors LLC boosted its position in Simply Good Foods by 125.4% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 967 shares of the financial services provider’s stock worth $31,000 after purchasing an additional 538 shares during the period. AQR Capital Management LLC increased its holdings in Simply Good Foods by 3.4% in the 1st quarter. AQR Capital Management LLC now owns 19,018 shares of the financial services provider’s stock valued at $656,000 after purchasing an additional 617 shares in the last quarter. Gamco Investors INC. ET AL raised its position in Simply Good Foods by 3.4% in the second quarter. Gamco Investors INC. ET AL now owns 23,120 shares of the financial services provider’s stock valued at $730,000 after purchasing an additional 750 shares during the period. Finally, Osaic Holdings Inc. raised its position in Simply Good Foods by 12.7% in the second quarter. Osaic Holdings Inc. now owns 9,284 shares of the financial services provider’s stock valued at $293,000 after purchasing an additional 1,048 shares during the period. 88.45% of the stock is owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

Several equities research analysts have recently weighed in on SMPL shares. Morgan Stanley set a $24.00 target price on shares of Simply Good Foods in a research note on Monday, October 27th. Sanford C. Bernstein reaffirmed an “outperform” rating on shares of Simply Good Foods in a research note on Friday. Stifel Nicolaus set a $32.00 price objective on Simply Good Foods in a research report on Friday, October 24th. UBS Group reiterated a “neutral” rating on shares of Simply Good Foods in a research note on Friday. Finally, Weiss Ratings restated a “sell (d)” rating on shares of Simply Good Foods in a research note on Monday, December 29th. Four investment analysts have rated the stock with a Buy rating, six have given a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, Simply Good Foods presently has an average rating of “Hold” and a consensus target price of $30.22.

More Simply Good Foods News

Here are the key news stories impacting Simply Good Foods this week:

• Positive Sentiment: Adjusted EPS and sales beat analyst expectations, which is the main near-term bullish driver: adjusted EPS $0.39 vs. consensus $0.36 and reported net sales roughly in line with/slightly above some estimates. This helped lift investor sentiment. SMPL Stock Jumps 7% After Posting Earnings & Sales Beat in Q1
• Positive Sentiment: Growth in key brands (Quest and OWYN) was highlighted as a driver of revenue momentum and investor optimism about longer-term top-line recovery. Management emphasized these brands on the call. SMPL Q4 CY2025 Deep Dive: Quest and OWYN Power Growth as Margin Pressure Persists
• Positive Sentiment: Company reaffirmed its FY2026 outlook and flagged targeted share repurchases plus margin-improvement initiatives — actions investors view as shareholder-friendly and supportive of near-term valuation. Simply Good Foods reaffirms 2026 outlook
• Neutral Sentiment: Management held an earnings call and issued slides/metrics; analysts and investors will parse cadence and color from the transcript and deck for guidance details and margin timing. Q1 2026 Earnings Call Transcript
• Negative Sentiment: Material margin pressure: gross profit fell sharply year-over-year and management warned FY26 gross margins could decline 100–150 bps; adjusted EBITDA is expected in a range that includes declines, creating near-term profitability concern. Q1 results & outlook
• Negative Sentiment: GAAP profitability showed weakness (lower net income and a GAAP EPS figure cited by some reports), and one data vendor flagged a GAAP EPS miss — a reminder that adjusted beats mask underlying margin and operating declines. QuiverQuant Q1 earnings summary
• Negative Sentiment: Institutional rebalancing remains mixed — notable hedge fund position reductions have been reported historically, which could cap upside until clearer margin recovery is visible. QuiverQuant institutional moves

About Simply Good Foods

Simply Good Foods Co (NASDAQ: SMPL) is a North American consumer packaged foods company specializing in better-for-you nutrition products. The company’s portfolio centers on two well-established brands, Atkins and Quest, which offer a range of low-carbohydrate, high-protein bars, powders, shakes, and snacks. Simply Good Foods aims to support consumers’ health and wellness goals by delivering convenient, nutrient-dense options without added sugars or artificial sweeteners.

Under the Atkins brand, the company produces meal replacements, snack bars, and ready-to-drink shakes designed for low-carb dieters.