Sweetgreen (NYSE:SG) Posts Quarterly Earnings Results, Misses Expectations By $0.04 EPS

Sweetgreen (NYSE:SG) announced its quarterly earnings data on Thursday. The company reported ($0.27) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.23) by ($0.04), Zacks reports. Sweetgreen had a net margin of 2.49% and a negative return on equity of 35.14%. The company had revenue of $161.52 million for the quarter, compared to analysts’ expectations of $163.95 million. During the same period last year, the firm earned ($0.21) earnings per share. Sweetgreen’s quarterly revenue was down 2.9% compared to the same quarter last year.

Here are the key takeaways from Sweetgreen’s conference call:

• Quarter results were pressured with revenue of $161.5M, comparable sales down 12.8%, restaurant-level margin at 10%, and adjusted EBITDA a loss of $8.1M.
• Cost pressures remain meaningful as food, beverage & packaging rose to 29% of revenue (+250 bps) and labor increased to 31.4% of revenue (+250 bps), driven by higher ingredient usage, wage inflation and weather-related produce costs.
• Management launched wraps nationwide after multi-market tests that drove incremental traffic, showed ~85% positive social sentiment and entry price points of $10.45–$14.95, and expects wraps to help rebuild traffic in Q2.
• Operational initiatives (Project One Best Way, head coach summits and field training) produced early lift — improved throughput, fewer quality complaints and ingredient availability — with transactions improving into April (management cited ~100 bps improvement in March and ~-8% in April).
• Sweetgreen reiterated FY26 targets calling for same-store sales down -4% to -2%, restaurant-level margin of 14.2%–14.7%, adjusted EBITDA of $1M–$6M, and ~13 net new restaurants, reflecting a paced recovery plan with continued execution risk.

Sweetgreen Stock Up 2.4%

Shares of Sweetgreen stock traded up $0.16 during mid-day trading on Friday, reaching $7.03. 9,353,722 shares of the stock traded hands, compared to its average volume of 4,153,303. The stock has a market capitalization of $835.64 million, a PE ratio of 58.62 and a beta of 2.03. The business has a 50-day moving average of $5.91 and a 200 day moving average of $6.36. Sweetgreen has a fifty-two week low of $4.49 and a fifty-two week high of $17.27.

Insider Buying and Selling at Sweetgreen

In related news, insider Nicolas Jammet acquired 4,428 shares of the stock in a transaction on Thursday, March 5th. The shares were bought at an average price of $5.71 per share, with a total value of $25,283.88. Following the completion of the purchase, the insider owned 22,543 shares of the company’s stock, valued at approximately $128,720.53. This represents a 24.44% increase in their position. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, major shareholder Goldman Sachs Group Inc purchased 594,553 shares of the stock in a transaction dated Tuesday, April 7th. The shares were purchased at an average cost of $5.69 per share, for a total transaction of $3,383,006.57. Following the transaction, the insider owned 11,900,255 shares in the company, valued at approximately $67,712,450.95. The trade was a 5.26% increase in their position. The disclosure for this purchase is available in the SEC filing. Insiders own 19.78% of the company’s stock.

Hedge Funds Weigh In On Sweetgreen

Several large investors have recently modified their holdings of the business. Woodson Capital Management LP boosted its position in shares of Sweetgreen by 152.6% during the fourth quarter. Woodson Capital Management LP now owns 6,000,000 shares of the company’s stock worth $40,560,000 after buying an additional 3,625,000 shares during the period. Marshall Wace LLP raised its holdings in shares of Sweetgreen by 1,428.8% in the 3rd quarter. Marshall Wace LLP now owns 3,923,973 shares of the company’s stock valued at $31,313,000 after buying an additional 3,667,306 shares during the period. Federated Hermes Inc. lifted its stake in Sweetgreen by 366.8% during the 4th quarter. Federated Hermes Inc. now owns 2,647,899 shares of the company’s stock worth $17,900,000 after acquiring an additional 2,080,628 shares in the last quarter. Geode Capital Management LLC boosted its holdings in Sweetgreen by 0.7% during the 4th quarter. Geode Capital Management LLC now owns 2,453,564 shares of the company’s stock valued at $16,589,000 after acquiring an additional 16,281 shares during the period. Finally, Goldman Sachs Group Inc. boosted its holdings in Sweetgreen by 38.5% during the 4th quarter. Goldman Sachs Group Inc. now owns 1,861,413 shares of the company’s stock valued at $12,583,000 after acquiring an additional 517,901 shares during the period. Institutional investors and hedge funds own 95.75% of the company’s stock.

Sweetgreen News Roundup

Here are the key news stories impacting Sweetgreen this week:

• Positive Sentiment: Sweetgreen is rolling out its new under-$15 wraps nationally, which could help broaden its menu appeal and support traffic if customers respond well. Sweetgreen reiterates FY2026 same-store sales outlook of (-4%) to (-2%) as Wraps roll out nationally
• Neutral Sentiment: BNP Paribas Exane raised its price target on Sweetgreen to $5.00 from $4.50, but kept an underperform rating, signaling the firm still expects meaningful downside from current levels. Benzinga report on BNP Paribas Exane price target change
• Negative Sentiment: The company missed Q1 estimates, posting a loss of $0.27 per share versus expectations for a $0.23 loss, while revenue of $161.5 million also came in below forecasts and declined 2.9% year over year. Sweetgreen, Inc. Announces First Quarter 2026 Financial Results
• Negative Sentiment: Same-store sales fell 12.8% in the quarter, and Sweetgreen reiterated FY2026 same-store sales guidance of down 4% to down 2%, reinforcing concerns about weakening demand. Sweetgreen reiterates FY2026 same-store sales outlook of (-4%) to (-2%) as Wraps roll out nationally

Analyst Upgrades and Downgrades

SG has been the topic of a number of research reports. Morgan Stanley cut their price objective on shares of Sweetgreen from $10.00 to $9.00 and set an “equal weight” rating on the stock in a research note on Tuesday, January 20th. Citizens Jmp started coverage on shares of Sweetgreen in a report on Monday, March 30th. They issued a “mkt underperform” rating and a $4.50 price target on the stock. JPMorgan Chase & Co. increased their price target on Sweetgreen from $6.00 to $8.00 and gave the stock a “neutral” rating in a research report on Tuesday, January 20th. Weiss Ratings reiterated a “sell (e+)” rating on shares of Sweetgreen in a research note on Friday, March 27th. Finally, Oppenheimer decreased their price objective on Sweetgreen from $10.00 to $9.00 and set an “outperform” rating for the company in a report on Friday, February 27th. Three analysts have rated the stock with a Buy rating, thirteen have given a Hold rating and three have assigned a Sell rating to the company. According to data from MarketBeat.com, Sweetgreen has a consensus rating of “Hold” and an average price target of $7.51.

About Sweetgreen

Sweetgreen, Inc is a fast-casual restaurant chain specializing in salads, grain bowls and warm bowls that emphasize fresh, locally sourced ingredients. Since its founding in 2007 by Jonathan Neman, Nicolas Jammet and Nathaniel Ru, Sweetgreen has focused on sustainable agriculture, working with regional farmers across the United States to provide seasonal produce and promote environmentally responsible sourcing practices. The company’s menu features a variety of plant-forward options, including custom-build salads, chef-curated bowls and limited-time offerings that reflect changing harvests.

Sweetgreen operates a technology-driven service model that combines in-store experiences with digital ordering through its mobile app and website.