A number of stocks jumped in the afternoon session after the major indices rebounded, as Fed Chair Jerome Powell delivered dovish remarks at the much-awaited Jackson Hole symposium. Powell suggested that with inflation risks moderating and unemployment remaining low, the Federal Reserve might consider a shift in its monetary policy stance, including potential interest rate cuts. This outlook eased market concerns about prolonged high interest rates and their impact on economic growth. The prospect of lower borrowing costs bolstered investor confidence, particularly in sectors that have lagged, leading to a broad rally across the market.
Shares of casual salad chain Sweetgreen (NYSE:SG)
fell 3.8% in the morning session after several Wall Street analysts lowered their price targets on the stock, contributing to its slide. The stock has experienced a significant downturn, declining 74% over the past 12 months. The recent pressure follows price target reductions from several financial institutions. For instance, Piper Sandler lowered its price target on Sweetgreen to $12.00 from $20.00, while Barclays cut its objective to $10.00 from $17.00. Morgan Stanley and UBS Group also reduced their price targets. This series of downward revisions from analysts reflects growing concerns on Wall Street about the company's valuation and near-term performance, despite the company reporting revenue growth of 5.74% over the last year.
A number of stocks fell in the afternoon session after the major indices continued to pull back, with technology stocks accounting for most of the market's largest decliners.
Restaurants are starting to see a drop in traffic and pressure from higher commodity prices and labor costs. So, it's no surprise restaurant stocks are down big this year, but the size of the drop in names like Cava and Chipotle are shocking.
Sweetgreen announced the latest installment of its Faces of the Farm original content series, which celebrates the farmers and growers behind its menu of fresh, real ingredients. This new feature spotlights Drake Family Farms, the California-based goat cheese producer and longtime Sweetgreen partner, in honor of National Goat Cheese Month.
The end of the earnings season is always a good time to take a step back and see who shined (and who not so much). Let’s take a look at how modern fast food stocks fared in Q2, starting with Sweetgreen (NYSE:SG).
Investors looking for hidden gems should keep an eye on small-cap stocks because they’re frequently overlooked by Wall Street.
Many opportunities exist in this part of the market, but it is also a high-risk, high-reward environment due to the lack of reliable analyst price targets.
Fast casual dining boom is slowing, bowl brigade (Chipotle, Sweetgreen, CAVA) struggling with stock drops, sales decline due to smaller portions and higher prices.
Shares of casual salad chain Sweetgreen (NYSE:SG)
fell 27.2% in the morning session after the company reported disappointing second-quarter financial results and slashed its full-year guidance. The salad chain missed analyst estimates on both the top and bottom lines, reporting second-quarter revenue of approximately $185.6 million and a loss of $0.20 per share. A key factor in the weak results was a 7.6% year-over-year decline in same-store sales, which measures revenue growth at existing restaurants and reflects weaker customer traffic. Compounding the issue, Sweetgreen significantly cut its full-year 2025 revenue guidance. The company now forecasts revenue between $700 million and $715 million, down from a previous range of $740 million to $760 million.
Looking for insights into the US markets in the middle of the day on Friday? Delve into the top gainers and losers of today's session and gain valuable market intelligence.
Shares of Sweetgreen are trading sharply lower Friday morning. The company reported weaker-than-expected Q2 results and cut its full-year revenue forecast.
Sweetgreen led the chatter on Stocktwits for the most discussed consumer and retail company, with a whopping 4,000% jump in the last 24 hours following its quarterly report.
