Sweetgreen (NYSE:SG) Stock Price Up 6.1% – Should You Buy?

Sweetgreen, Inc. (NYSE:SG)’s share price shot up 6.1% during trading on Tuesday . The stock traded as high as $7.97 and last traded at $7.9370. 890,093 shares traded hands during trading, a decline of 82% from the average session volume of 5,070,188 shares. The stock had previously closed at $7.48.

Analyst Ratings Changes

A number of research analysts have issued reports on the company. Citigroup cut their price objective on Sweetgreen from $10.00 to $8.00 and set a “buy” rating for the company in a report on Friday, August 7th. DA Davidson cut their price target on shares of Sweetgreen from $7.00 to $5.50 and set a “neutral” rating for the company in a report on Monday, August 10th. Wall Street Zen raised shares of Sweetgreen from a “strong sell” rating to a “sell” rating in a research note on Sunday, August 16th. Wells Fargo & Company cut their target price on shares of Sweetgreen from $7.00 to $6.00 and set an “equal weight” rating for the company in a research note on Friday, August 7th. Finally, TD Cowen raised their target price on Sweetgreen from $5.00 to $6.00 and gave the company a “hold” rating in a research note on Friday, September 11th. Five analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and three have issued a Sell rating to the stock. According to MarketBeat.com, Sweetgreen presently has a consensus rating of “Hold” and an average target price of $7.27.

Sweetgreen Trading Up 4.3%

The stock has a market cap of $928.39 million, a price-to-earnings ratio of 77.50 and a beta of 2.20. The firm has a fifty day simple moving average of $6.52 and a 200-day simple moving average of $6.99.

Sweetgreen (NYSE:SG) last released its earnings results on Thursday, August 6th. The company reported ($0.22) EPS for the quarter, missing the consensus estimate of ($0.13) by ($0.09). The firm had revenue of $192.66 million during the quarter, compared to analyst estimates of $194.50 million. Sweetgreen had a net margin of 2.01% and a negative return on equity of 32.94%. The firm’s quarterly revenue was up 3.8% on a year-over-year basis. During the same period last year, the business posted ($0.20) earnings per share. On average, equities analysts predict that Sweetgreen, Inc. will post -1.03 earnings per share for the current fiscal year.

Insider Transactions at Sweetgreen

In related news, CFO Jamie McConnell sold 15,033 shares of Sweetgreen stock in a transaction dated Monday, August 17th. The stock was sold at an average price of $6.21, for a total value of $93,354.93. Following the completion of the sale, the chief financial officer directly owned 210,489 shares in the company, valued at $1,307,136.69. This trade represents a 6.67% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, COO Jason Miles Cochran sold 4,809 shares of the business’s stock in a transaction dated Monday, August 17th. The stock was sold at an average price of $6.21, for a total value of $29,863.89. Following the sale, the chief operating officer directly owned 207,076 shares of the company’s stock, valued at $1,285,941.96. This represents a 2.27% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. 18.19% of the stock is owned by company insiders.

Hedge Funds Weigh In On Sweetgreen

Several large investors have recently bought and sold shares of the business. Fifth Third Bancorp bought a new position in Sweetgreen in the first quarter valued at approximately $38,000. Onyx Bridge Wealth Group LLC bought a new stake in shares of Sweetgreen during the 1st quarter valued at $56,000. PSI Advisors LLC acquired a new position in shares of Sweetgreen in the 4th quarter valued at $83,000. Sequoia Financial Advisors LLC acquired a new position in shares of Sweetgreen in the 2nd quarter valued at $90,000. Finally, Caitong International Asset Management Co. Ltd boosted its position in shares of Sweetgreen by 548.2% in the 4th quarter. Caitong International Asset Management Co. Ltd now owns 13,437 shares of the company’s stock worth $91,000 after purchasing an additional 11,364 shares during the last quarter. 95.75% of the stock is currently owned by institutional investors and hedge funds.

About Sweetgreen

Sweetgreen, Inc operates a fast-casual restaurant chain focused on fresh, plant-forward meals. Its menu includes salads, grain bowls, warm bowls, sides, beverages and seasonal offerings prepared with a focus on whole ingredients and customizable combinations.

The company serves customers through company-operated restaurants and digital channels, including its website and mobile application for ordering, pickup and delivery. Sweetgreen has also developed automated restaurant technology, including its Infinite Kitchen platform, which is designed to support food preparation and restaurant operations.

Sweetgreen was founded in 2007 in Washington, DC, by Jonathan Neman, Nicolas Jammet and Nathaniel Ru.