The Goldman Sachs Group Has Lowered Expectations for Grocery Outlet (NASDAQ:GO) Stock Price

Grocery Outlet (NASDAQ:GO) had its price target lowered by research analysts at The Goldman Sachs Group from $12.00 to $9.00 in a note issued to investors on Thursday,Benzinga reports. The firm presently has a “sell” rating on the stock. The Goldman Sachs Group’s target price points to a potential downside of 13.50% from the stock’s current price.

A number of other research firms have also commented on GO. Wells Fargo & Company decreased their price objective on Grocery Outlet from $19.00 to $16.00 and set an “overweight” rating on the stock in a research note on Friday, December 19th. DA Davidson reaffirmed a “neutral” rating and set a $15.00 price target on shares of Grocery Outlet in a research note on Thursday, December 4th. Zacks Research downgraded shares of Grocery Outlet from a “strong-buy” rating to a “hold” rating in a report on Friday, November 14th. Morgan Stanley cut their price objective on shares of Grocery Outlet from $14.00 to $11.00 and set an “equal weight” rating for the company in a research report on Thursday, January 15th. Finally, TD Cowen decreased their target price on shares of Grocery Outlet from $18.00 to $16.00 and set a “hold” rating on the stock in a research report on Wednesday, November 5th. Four investment analysts have rated the stock with a Buy rating, seven have issued a Hold rating and two have assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock has a consensus rating of “Hold” and an average price target of $14.14.

Grocery Outlet Stock Performance

NASDAQ GO traded up $0.09 on Thursday, hitting $10.41. 942,508 shares of the company’s stock were exchanged, compared to its average volume of 2,261,189. The firm has a market cap of $1.02 billion, a price-to-earnings ratio of -208.10, a P/E/G ratio of 2.00 and a beta of 0.49. The firm’s 50-day moving average price is $9.92 and its two-hundred day moving average price is $13.27. Grocery Outlet has a fifty-two week low of $8.96 and a fifty-two week high of $19.41. The company has a debt-to-equity ratio of 0.40, a current ratio of 1.30 and a quick ratio of 0.25.

Institutional Investors Weigh In On Grocery Outlet

A number of large investors have recently bought and sold shares of the business. Bayforest Capital Ltd acquired a new stake in Grocery Outlet during the third quarter worth about $29,000. Hantz Financial Services Inc. grew its holdings in shares of Grocery Outlet by 591.5% during the third quarter. Hantz Financial Services Inc. now owns 2,033 shares of the company’s stock worth $33,000 after purchasing an additional 1,739 shares during the last quarter. Aster Capital Management DIFC Ltd increased its stake in shares of Grocery Outlet by 1,030.4% in the fourth quarter. Aster Capital Management DIFC Ltd now owns 2,532 shares of the company’s stock valued at $26,000 after buying an additional 2,308 shares in the last quarter. PNC Financial Services Group Inc. raised its holdings in shares of Grocery Outlet by 32.3% in the second quarter. PNC Financial Services Group Inc. now owns 2,942 shares of the company’s stock valued at $37,000 after buying an additional 719 shares during the last quarter. Finally, Kestra Advisory Services LLC acquired a new position in Grocery Outlet during the 4th quarter worth about $35,000. 99.87% of the stock is currently owned by institutional investors.

Grocery Outlet Company Profile

Grocery Outlet Holding Corp. (NASDAQ: GO) is a specialty discount retailer that offers consumers deeply discounted groceries by purchasing excess inventory, closeouts, and overstocks from manufacturers and distributors. Headquartered in Emeryville, California, the company operates two primary banners—Grocery Outlet and Fresh2Go—with a combined footprint of more than 400 stores. Its product assortment spans fresh produce, meat, dairy, bakery items, household staples, natural and organic offerings, and select specialty products, all sold at significant markdowns compared to conventional supermarkets.

The company’s unique buying model enables it to source inventory through opportunistic purchases of surplus freight, discontinued items, and closeout deals, which it then passes on as savings to its customers.