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

Grocery Outlet Holding Corp. (NASDAQ:GO - Get Free Report) shares gapped up prior to trading on Tuesday after an insider bought additional shares in the company. 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.

Specifically, Director Erik D. Ragatz acquired 110,000 shares of Grocery Outlet stock in a transaction on Friday, November 15th. The shares were purchased 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 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 transaction was disclosed in a document filed with the SEC, which is available at this hyperlink.

Wall Street Analyst Weigh In

Several brokerages have commented on GO. Melius Research initiated coverage on shares of Grocery Outlet in a research note on Monday, September 23rd. They issued a "hold" rating and a $17.00 target price for the company. Deutsche Bank Aktiengesellschaft reduced their target price on Grocery Outlet from $29.00 to $26.00 and set a "buy" rating on the stock in a 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 for the company in a report on Wednesday, November 6th. UBS Group dropped their price target on Grocery Outlet from $21.00 to $16.00 and set a "neutral" rating on the stock in a research report on Wednesday, November 6th. Finally, TD Cowen lowered Grocery Outlet from a "buy" rating to a "hold" rating and decreased their price objective for the company from $25.00 to $16.00 in a research report on Wednesday, November 6th. One equities research analyst has rated the stock with a sell rating, eight have assigned a hold rating, two have given a buy rating and one has given a strong buy rating to the company. Based on data from MarketBeat, Grocery Outlet presently has a consensus rating of "Hold" and a consensus price target of $18.00.

Grocery Outlet Price Performance

The company has a debt-to-equity ratio of 0.34, a current ratio of 1.46 and a quick ratio of 0.33. The company has a fifty day moving average of $16.64 and a 200-day moving average of $19.21. The firm has a market cap of $1.81 billion, a P/E ratio of 36.53, a P/E/G ratio of 4.45 and a beta of 0.13.

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

Hedge Funds Weigh In On Grocery Outlet

Large investors have recently added to or reduced their stakes in the business. Blue Trust Inc. boosted its holdings in shares of Grocery Outlet by 76.6% during the third 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. Allspring Global Investments Holdings LLC bought a new stake in shares of Grocery Outlet in the 1st quarter worth approximately $25,000. Innealta Capital LLC bought a new position in Grocery Outlet in the 2nd quarter worth $38,000. Capital Performance Advisors LLP purchased a new stake in Grocery Outlet in the third quarter worth about $32,000. Finally, Arizona State Retirement System lifted its stake in shares of Grocery Outlet by 7.2% in the 2nd quarter. Arizona State Retirement System now owns 27,779 shares of the company's stock valued at $614,000 after purchasing an additional 1,862 shares during the period. Hedge funds and other institutional investors own 99.87% of the company's stock.

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.