Grocery Outlet (NASDAQ:GO) Trading Down 4.9% – Time to Sell?

Shares of Grocery Outlet Holding Corp. (NASDAQ:GO) dropped 4.9% during trading on Monday . The stock traded as low as $15.85 and last traded at $15.91. Approximately 294,305 shares changed hands during mid-day trading, a decline of 84% from the average daily volume of 1,829,454 shares. The stock had previously closed at $16.73.

Analyst Upgrades and Downgrades

Several research firms have recently issued reports on GO. Wells Fargo & Company decreased their price objective on shares of Grocery Outlet from $26.00 to $23.00 and set an “overweight” rating for the company in a research report on Wednesday, November 6th. Roth Mkm lowered their price target on Grocery Outlet from $20.00 to $16.00 and set a “neutral” rating on the stock in a report on Wednesday, November 6th. TD Cowen lowered Grocery Outlet from a “buy” rating to a “hold” rating and lowered their price objective for the company from $25.00 to $16.00 in a report on Wednesday, November 6th. Bank of America cut shares of Grocery Outlet from a “buy” rating to a “neutral” rating and lowered their price target for the stock from $29.00 to $17.00 in a research note on Wednesday, October 30th. Finally, Melius Research assumed coverage on shares of Grocery Outlet in a research report on Monday, September 23rd. They set a “hold” rating and a $17.00 target price on the stock. One investment analyst has rated the stock with a sell rating, eight have given a hold rating, two have issued a buy rating and one has issued a strong buy rating to the company’s stock. According to MarketBeat.com, the stock currently has an average rating of “Hold” and an average price target of $18.00.

Grocery Outlet Price Performance

The firm has a market cap of $1.54 billion, a price-to-earnings ratio of 31.12, a price-to-earnings-growth ratio of 4.74 and a beta of 0.25. The company has a debt-to-equity ratio of 0.34, a quick ratio of 0.33 and a current ratio of 1.46. The company’s fifty day moving average is $17.87 and its two-hundred day moving average is $18.69.

Grocery Outlet (NASDAQ:GO) last released its quarterly earnings results on Tuesday, November 5th. The company reported $0.28 EPS for the quarter, topping the consensus estimate of $0.27 by $0.01. The firm had revenue of $1.11 billion for the quarter, compared to analyst estimates of $1.10 billion. Grocery Outlet had a return on equity of 5.25% and a net margin of 1.20%. Grocery Outlet’s revenue for the quarter was up 10.4% on a year-over-year basis. During the same period in the previous year, the company posted $0.25 EPS. Equities research analysts forecast that Grocery Outlet Holding Corp. will post 0.63 EPS for the current year.

Insiders Place Their Bets

In related news, Director Erik D. Ragatz purchased 110,000 shares of Grocery Outlet stock in a transaction dated Friday, November 15th. The shares were acquired at an average price of $18.25 per share, with a total value of $2,007,500.00. Following the completion of the transaction, the director now owns 539,785 shares of the company’s stock, valued at approximately $9,851,076.25. This trade represents a 25.59 % increase in their position. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. 4.50% of the stock is owned by company insiders.

Institutional Trading of Grocery Outlet

Several institutional investors have recently added to or reduced their stakes in the business. Blue Trust Inc. raised its position in shares of Grocery Outlet by 76.6% during the 3rd quarter. Blue Trust Inc. now owns 1,665 shares of the company’s stock worth $29,000 after purchasing an additional 722 shares during the period. Capital Performance Advisors LLP bought a new position in Grocery Outlet in the 3rd quarter worth approximately $32,000. Innealta Capital LLC acquired a new position in Grocery Outlet during the 2nd quarter worth $38,000. True Wealth Design LLC acquired a new position in shares of Grocery Outlet during the third quarter valued at $75,000. Finally, Canada Pension Plan Investment Board bought a new stake in shares of Grocery Outlet during the second quarter valued at about $82,000. Institutional investors own 99.87% of the company’s stock.

About Grocery Outlet

Grocery Outlet Holding Corp. operates as a retailer of consumables and fresh products sold through independently operated stores in the United States. Its stores offer products in various categories, such as dairy and deli, produce, floral, fresh meat, seafood products, grocery, general merchandise, health and beauty care, frozen food, beer and wine, and ethnic products.