Grocery Outlet (NASDAQ:GO) Shares Gap Up After Insider Buying Activity

Grocery Outlet Holding Corp. (NASDAQ:GO)’s share price gapped up before the market opened on Tuesday following insider buying activity. The stock had previously closed at $17.86, but opened at $18.65. Grocery Outlet shares last traded at $17.92, with a volume of 371,755 shares traded.

Specifically, Director Erik D. Ragatz acquired 110,000 shares of the stock in a transaction that occurred on Friday, November 15th. The stock was bought at an average cost of $18.25 per share, with a total value of $2,007,500.00. Following the completion of the purchase, the director now directly owns 539,785 shares in the company, valued at $9,851,076.25. The trade was a 25.59 % increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website.

Wall Street Analysts Forecast Growth

GO has been the subject of several recent research reports. Wells Fargo & Company reduced their price target on shares of Grocery Outlet from $26.00 to $23.00 and set an “overweight” rating for the company in a report on Wednesday, November 6th. TD Cowen downgraded shares of Grocery Outlet from a “buy” rating to a “hold” rating and reduced their price objective for the stock from $25.00 to $16.00 in a research note on Wednesday, November 6th. Telsey Advisory Group lowered their target price on Grocery Outlet from $19.00 to $18.00 and set a “market perform” rating for the company in a report on Wednesday, November 6th. Loop Capital assumed coverage on Grocery Outlet in a report on Thursday, October 17th. They issued a “hold” rating and a $17.00 price target on the stock. Finally, The Goldman Sachs Group decreased their price objective on Grocery Outlet from $17.00 to $15.00 and set a “sell” rating for the company in a research note on Friday, November 1st. One research analyst has rated the stock with a sell rating, eight have given a hold rating, two have issued a buy rating and one has assigned a strong buy rating to the company’s stock. According to data from MarketBeat.com, Grocery Outlet presently has an average rating of “Hold” and a consensus target price of $18.00.

Grocery Outlet Stock Up 4.3 %

The company has a 50-day moving average of $16.68 and a 200-day moving average of $19.16. The company has a current ratio of 1.46, a quick ratio of 0.33 and a debt-to-equity ratio of 0.34. The company has a market capitalization of $1.81 billion, a price-to-earnings ratio of 36.53, a price-to-earnings-growth ratio of 4.45 and a beta of 0.13.

Grocery Outlet (NASDAQ:GO) last announced its quarterly earnings data on Tuesday, November 5th. The company reported $0.28 EPS for the quarter, beating the consensus estimate of $0.27 by $0.01. The firm had revenue of $1.11 billion during the quarter, compared to analyst estimates of $1.10 billion. Grocery Outlet had a net margin of 1.20% and a return on equity of 5.25%. Grocery Outlet’s revenue was up 10.4% on a year-over-year basis. During the same period last year, the firm posted $0.25 EPS. On average, equities analysts predict that Grocery Outlet Holding Corp. will post 0.63 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Grocery Outlet

A number of large investors have recently made changes to their positions in the stock. Capital World Investors increased its holdings in Grocery Outlet by 281.4% in the 1st quarter. Capital World Investors now owns 3,579,683 shares of the company’s stock worth $103,023,000 after buying an additional 2,641,016 shares during the period. Millennium Management LLC increased its stake in shares of Grocery Outlet by 677.6% in the second quarter. Millennium Management LLC now owns 1,981,558 shares of the company’s stock worth $43,832,000 after acquiring an additional 1,726,741 shares during the period. Solel Partners LP purchased a new position in shares of Grocery Outlet during the second quarter worth $35,980,000. American Century Companies Inc. lifted its position in Grocery Outlet by 889.9% during the second quarter. American Century Companies Inc. now owns 1,010,785 shares of the company’s stock valued at $22,359,000 after purchasing an additional 908,680 shares during the period. Finally, Point72 Asset Management L.P. boosted its holdings in Grocery Outlet by 159.8% in the third quarter. Point72 Asset Management L.P. now owns 1,235,078 shares of the company’s stock valued at $21,676,000 after purchasing an additional 759,697 shares during the last quarter. 99.87% of the stock is owned by hedge funds and other institutional investors.

Grocery Outlet Company Profile

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.