Albertsons Companies (NYSE:ACI – Get Free Report) issued its earnings results on Thursday. The company reported $0.42 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.54 by ($0.12), Briefing.com reports. Albertsons Companies had a net margin of 0.26% and a return on equity of 42.75%. The business had revenue of $24.94 billion during the quarter, compared to the consensus estimate of $24.84 billion. During the same period last year, the business posted $0.55 EPS. The firm’s revenue for the quarter was up .2% compared to the same quarter last year. Albertsons Companies updated its FY 2026 guidance to 1.750-1.850 EPS.
Here are the key takeaways from Albertsons Companies’ conference call:
- Albertsons reported identical sales down 0.8%, with adjusted EBITDA of $1.013 billion and adjusted EPS of $0.42, and management said results fell short of expectations.
- The company is launching the ACI Edge operating model, cutting from 11 divisions to four regions and centralizing Center Store merchandising to improve speed, accountability, and execution.
- Albertsons expects the ACI Edge and related productivity actions to generate about $200 million in annual incremental benefits, with most savings realized in fiscal 2027, helping fund reinvestment in value and personalization.
- Digital sales grew 13% and penetration reached nearly 10.5%, while management said e-commerce was profitable in the quarter, supported by better fulfillment productivity and stronger customer engagement.
- The company lowered its fiscal 2026 outlook, now expecting adjusted EBITDA of $3.55 billion-$3.625 billion and EPS of $1.75-$1.85, citing softer unit trends, lower-income consumer pressure, and higher customer-value investments.
Albertsons Companies Stock Down 21.9%
Shares of ACI stock opened at $11.40 on Friday. The company has a market capitalization of $5.59 billion, a price-to-earnings ratio of 35.64, a P/E/G ratio of 1.67 and a beta of 0.42. The firm has a fifty day moving average of $14.94 and a 200-day moving average of $16.39. Albertsons Companies has a 12-month low of $11.02 and a 12-month high of $20.81. The company has a quick ratio of 0.20, a current ratio of 0.86 and a debt-to-equity ratio of 4.58.
Albertsons Companies Dividend Announcement
Trending Headlines about Albertsons Companies
Here are the key news stories impacting Albertsons Companies this week:
- Positive Sentiment: Revenue came in slightly ahead of expectations, and Albertsons continues to show strong cash generation and relatively modest leverage versus peers.
- Positive Sentiment: The company highlighted growth in digital and pharmacy businesses, which may help offset weakness in core grocery traffic over time.
- Neutral Sentiment: Albertsons launched its new ACI Edge transformation effort, including a new regional operating model and merchandising changes, aimed at improving efficiency and reversing sales declines. Article Title
- Neutral Sentiment: President and CFO Sharon McCollam plans to retire later this year, adding an executive transition during a period of strategic change. Article Title
- Negative Sentiment: Management cut fiscal 2026 guidance, including a lowered sales outlook and EPS range of 1.75 to 1.85, well below prior expectations, signaling margin pressure and softer consumer demand.
- Negative Sentiment: Wells Fargo downgraded Albertsons from overweight to equal weight and reduced its price target to $11, reinforcing sentiment that near-term upside is limited.
Wall Street Analyst Weigh In
Several research firms have recently issued reports on ACI. Citigroup reduced their price target on Albertsons Companies from $22.00 to $17.00 and set a “buy” rating on the stock in a research report on Monday, June 29th. Weiss Ratings cut shares of Albertsons Companies from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Friday, May 29th. Telsey Advisory Group reiterated a “market perform” rating and set a $13.00 target price (down from $22.00) on shares of Albertsons Companies in a report on Friday. Royal Bank Of Canada reiterated an “outperform” rating and set a $21.00 target price on shares of Albertsons Companies in a report on Monday, April 6th. Finally, Wells Fargo & Company downgraded Albertsons Companies from an “overweight” rating to an “equal weight” rating and lowered their price target for the stock from $18.00 to $11.00 in a report on Thursday. Six equities research analysts have rated the stock with a Buy rating, seven have issued a Hold rating and three have issued a Sell rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of “Hold” and a consensus price target of $18.00.
Get Our Latest Stock Report on Albertsons Companies
Institutional Inflows and Outflows
Several large investors have recently added to or reduced their stakes in the business. Atlas Capital Advisors Inc. acquired a new stake in Albertsons Companies in the 4th quarter valued at $84,000. Parallel Advisors LLC boosted its stake in shares of Albertsons Companies by 44.2% during the 4th quarter. Parallel Advisors LLC now owns 5,382 shares of the company’s stock worth $92,000 after buying an additional 1,650 shares during the last quarter. Aster Capital Management DIFC Ltd bought a new position in shares of Albertsons Companies in the 4th quarter valued at about $93,000. Smartleaf Asset Management LLC increased its position in shares of Albertsons Companies by 1,728.3% in the second quarter. Smartleaf Asset Management LLC now owns 6,582 shares of the company’s stock valued at $139,000 after acquiring an additional 6,222 shares during the last quarter. Finally, Northwestern Mutual Wealth Management Co. increased its position in shares of Albertsons Companies by 11.8% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 7,326 shares of the company’s stock valued at $126,000 after acquiring an additional 774 shares during the last quarter. Institutional investors and hedge funds own 71.35% of the company’s stock.
About Albertsons Companies
Albertsons Companies, Inc (NYSE: ACI) is one of the largest food and drug retailers in the United States, operating a diversified portfolio of grocery store banners. Founded in 1939 by Joe Albertson in Boise, Idaho, the company has grown through both organic expansion and strategic acquisitions. Its core business activities encompass the sale of fresh produce, meat, bakery items, deli offerings, pharmacy services, and general merchandise. The company’s retail operations are complemented by an in-house private-label program, featuring brands such as O Organics, Open Nature, and Lucerne, which cater to a range of customer preferences and price points.
Throughout its history, Albertsons Companies has pursued growth via mergers and partnerships.
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