Is Grocery Outlet Stock a Good Investment?
Grocery Outlet Investment Advice | GO |
- Examine Grocery Outlet's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Grocery Outlet's leadership team and their track record. Good management can help Grocery Outlet navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Consumer Staples Distribution & Retail space and any emerging trends that could impact Grocery Outlet's business and its evolving consumer preferences.
- Compare Grocery Outlet's performance and market position to its competitors. Analyze how Grocery Outlet is positioned in terms of product offerings, innovation, and market share.
- Check if Grocery Outlet pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Grocery Outlet's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Grocery Outlet Holding stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Grocery Outlet Holding is a good investment.
Sell | Buy |
Sell
Market Performance | Very Weak | Details | |
Volatility | Slightly risky | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Slowly supersedes the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Buy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unavailable | Details |
Examine Grocery Outlet Stock
Researching Grocery Outlet's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 96.0% of the company shares are owned by institutional investors. The company has price-to-book (P/B) ratio of 1.04. Some equities with similar Price to Book (P/B) outperform the market in the long run. Grocery Outlet Holding has Price/Earnings To Growth (PEG) ratio of 2.48. The entity had not issued any dividends in recent years.
To determine if Grocery Outlet is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Grocery Outlet's research are outlined below:
| Grocery Outlet generated a negative expected return over the last 90 days | |
| Grocery Outlet has high historical volatility and very poor performance | |
| Over 96.0% of the company shares are owned by institutional investors | |
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Grocery Outlet Quarterly Gross Profit |
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Grocery Outlet uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Grocery Outlet Holding. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Grocery Outlet's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 27th of February 2024 Upcoming Quarterly Report | View | |
| 14th of May 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 27th of February 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Earnings surprises can significantly impact Grocery Outlet's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Grocery Outlet's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2025-02-25 | 2024-12-31 | 0.1672 | 0.15 | -0.0172 | 10 | ||
2024-02-27 | 2023-12-31 | 0.16 | 0.18 | 0.02 | 12 | ||
2022-05-10 | 2022-03-31 | 0.2 | 0.22 | 0.02 | 10 | ||
2020-03-24 | 2019-12-31 | 0.18 | 0.21 | 0.03 | 16 | ||
2019-11-11 | 2019-09-30 | 0.19 | 0.22 | 0.03 | 15 | ||
2023-11-07 | 2023-09-30 | 0.27 | 0.31 | 0.04 | 14 | ||
2023-05-09 | 2023-03-31 | 0.23 | 0.27 | 0.04 | 17 | ||
2024-08-06 | 2024-06-30 | 0.2 | 0.25 | 0.05 | 25 |
Grocery Outlet Target Price Consensus
Grocery target price is determined by taking all analyst projections and averaging them out. There is no one specific way to measure analysts' performance other than comparing it to past results via a very sophisticated attribution analysis. Grocery Outlet's target price projections below should be used in combination with other traditional price prediction techniques such as stock price forecasting, investor sentiment analysis, technical analysis, earnings estimate, and various momentum models.
| 15 | Buy |
Most Grocery analysts issue ratings four times a year, at intervals of three months. Ratings are usually accompanied by a target price to help potential investors understand Grocery stock's fair price compared to its market value. Analysts arrive at stock ratings after researching the public financial statements of Grocery Outlet Holding, talking to its executives and customers, or listening to those companies' conference calls.
Macroaxis Advice Exposure ValuationGrocery Outlet Target Price Projection
Grocery Outlet's current and average target prices are 12.21 and 17.21, respectively. The current price of Grocery Outlet is the price at which Grocery Outlet Holding is currently trading. On the other hand, Grocery Outlet's target price is what analysts think the stock is worth or could sell for in the future. The more significant the discrepancy between the two prices, the more it stimulates investors to act.Current Price
Grocery Outlet Market Quote on 26th of March 2025
Target Price
Analyst Consensus On Grocery Outlet Target Price
Grocery Outlet Analyst Ratings
Grocery Outlet's analyst stock recommendations are determined by taking an average estimate of all analysts we track and classifying them as Strong Buy, Buy, Hold, Strong Sell, or Sell. Ratings generally communicate what analysts sense about Grocery Outlet stock, and they use a lot of effort and time to analyze it and arrive at a rating. That suggests that analyst recommendations are the outcome of an objective and thorough examination of Grocery Outlet's financials, market performance, and future outlook by experienced professionals. Grocery Outlet's historical ratings below, therefore, can serve as a valuable tool for investors.Know Grocery Outlet's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Grocery Outlet is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Grocery Outlet Holding backward and forwards among themselves. Grocery Outlet's institutional investor refers to the entity that pools money to purchase Grocery Outlet's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Junto Capital Management Lp | 2024-12-31 | 2.5 M | Solel Partners Lp | 2024-12-31 | 2.5 M | Jackson Square Partners, Llc | 2024-12-31 | 2.1 M | Aqr Capital Management Llc | 2024-12-31 | 1.8 M | Geode Capital Management, Llc | 2024-12-31 | 1.6 M | Rima Management, Llc | 2024-12-31 | 1.6 M | Geneva Capital Management | 2024-12-31 | 1.5 M | Boston Partners Global Investors, Inc | 2024-12-31 | 1.4 M | Charles Schwab Investment Management Inc | 2024-12-31 | 1.3 M | Blackrock Inc | 2024-12-31 | 11.9 M | Vanguard Group Inc | 2024-12-31 | 10.1 M |
Grocery Outlet's market capitalization trends
The company currently falls under 'Mid-Cap' category with a market capitalization of 1.25 B.Market Cap |
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Grocery Outlet's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.03 | 0.04 | |
| Return On Capital Employed | 0.04 | 0.05 | |
| Return On Assets | 0.02 | 0.02 | |
| Return On Equity | 0.06 | 0.05 |
Determining Grocery Outlet's profitability involves analyzing its financial statements and using various financial metrics to determine if Grocery Outlet is a good buy. For example, gross profit margin measures Grocery Outlet's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Grocery Outlet's profitability and make more informed investment decisions.
Evaluate Grocery Outlet's management efficiency
Grocery Outlet Holding has Return on Asset (ROA) of 0.0209 % which means that for every $100 of assets, it generated a profit of $0.0209. This is way below average. Likewise, it shows a return on total equity (ROE) of 0.0327 %, which means that it produced $0.0327 on every 100 dollars invested by current stockholders. Grocery Outlet's management efficiency ratios could be used to measure how well Grocery Outlet manages its routine affairs as well as how well it operates its assets and liabilities. At this time, Grocery Outlet's Return On Tangible Assets are very stable compared to the past year. As of the 26th of March 2025, Return On Capital Employed is likely to grow to 0.05, while Return On Assets are likely to drop 0.02. At this time, Grocery Outlet's Net Tangible Assets are very stable compared to the past year. As of the 26th of March 2025, Return On Tangible Assets is likely to grow to 0.04, while Total Assets are likely to drop about 2.3 B.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 11.47 | 7.58 | |
| Tangible Book Value Per Share | 3.08 | 3.24 | |
| Enterprise Value Over EBITDA | 23.89 | 26.07 | |
| Price Book Value Ratio | 2.55 | 3.87 | |
| Enterprise Value Multiple | 23.89 | 26.07 | |
| Price Fair Value | 2.55 | 3.87 |
The management team at Grocery Outlet has a track record of steering the company towards sustained growth. Evaluating their strategies helps in understanding the stock's long-term potential.
Beta 0.363 |
Basic technical analysis of Grocery Stock
As of the 26th of March, Grocery Outlet retains the Risk Adjusted Performance of (0.05), market risk adjusted performance of (0.82), and Standard Deviation of 5.07. Grocery Outlet technical analysis makes it possible for you to employ historical prices and volume momentum with the intention to determine a pattern that calculates the direction of the firm's future prices.Grocery Outlet's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Grocery Outlet insiders, such as employees or executives, is commonly permitted as long as it does not rely on Grocery Outlet's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Grocery Outlet insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Grocery Outlet's Outstanding Corporate Bonds
Grocery Outlet issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Grocery Outlet Holding uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Grocery bonds can be classified according to their maturity, which is the date when Grocery Outlet Holding has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| Dana 575 percent Corp BondUS235822AB96 | View | |
| Morgan Stanley 3971 Corp BondUS61744YAL20 | View | |
| AerCap Global Aviation Corp BondUS00773HAA59 | View |
Understand Grocery Outlet's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Grocery Outlet's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | (0.05) | |||
| Market Risk Adjusted Performance | (0.82) | |||
| Mean Deviation | 2.88 | |||
| Coefficient Of Variation | (1,395) | |||
| Standard Deviation | 5.07 | |||
| Variance | 25.67 | |||
| Information Ratio | (0.07) | |||
| Jensen Alpha | (0.37) | |||
| Total Risk Alpha | (0.39) | |||
| Treynor Ratio | (0.83) | |||
| Maximum Drawdown | 38.19 | |||
| Value At Risk | (4.76) | |||
| Potential Upside | 7.64 | |||
| Skewness | (2.73) | |||
| Kurtosis | 18.57 |
| Risk Adjusted Performance | (0.05) | |||
| Market Risk Adjusted Performance | (0.82) | |||
| Mean Deviation | 2.88 | |||
| Coefficient Of Variation | (1,395) | |||
| Standard Deviation | 5.07 | |||
| Variance | 25.67 | |||
| Information Ratio | (0.07) | |||
| Jensen Alpha | (0.37) | |||
| Total Risk Alpha | (0.39) | |||
| Treynor Ratio | (0.83) | |||
| Maximum Drawdown | 38.19 | |||
| Value At Risk | (4.76) | |||
| Potential Upside | 7.64 | |||
| Skewness | (2.73) | |||
| Kurtosis | 18.57 |
Consider Grocery Outlet's intraday indicators
Grocery Outlet intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Grocery Outlet stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
| Accumulation Distribution | 81149.19 | |||
| Daily Balance Of Power | (0.88) | |||
| Rate Of Daily Change | 0.95 | |||
| Day Median Price | 12.55 | |||
| Day Typical Price | 12.43 | |||
| Price Action Indicator | (0.64) | |||
| Period Momentum Indicator | (0.61) | |||
| Relative Strength Index | 42.14 |
Grocery Outlet Corporate Filings
F4 | 11th of March 2025 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
10K | 26th of February 2025 Annual report required by the U.S. Securities and Exchange Commission (SEC) of a company financial performance | ViewVerify |
8K | 25th of February 2025 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
F3 | 11th of February 2025 The report used by insiders such as officers, directors, and major shareholders (beneficial owners holding more than 10% of any class of the company's equity securities) to declare their ownership of a company's stock | ViewVerify |
Grocery Stock media impact
Far too much social signal, news, headlines, and media speculation about Grocery Outlet that are available to investors today. That information is available publicly through Grocery media outlets and privately through word of mouth or via Grocery internal channels. However, regardless of the origin, that massive amount of Grocery data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Grocery Outlet news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Grocery Outlet relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Grocery Outlet's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Grocery Outlet alpha.
Grocery Outlet Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Grocery Outlet can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Grocery Outlet Holding Historical Investor Sentiment
Investor biases related to Grocery Outlet's public news can be used to forecast risks associated with an investment in Grocery. The trend in average sentiment can be used to explain how an investor holding Grocery can time the market purely based on public headlines and social activities around Grocery Outlet Holding. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Grocery Outlet's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Grocery Outlet and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Grocery Outlet news discussions. The higher the estimate score, the more favorable the investor's outlook on Grocery Outlet.
Grocery Outlet Maximum Pain Price Across May 16th 2025 Option Contracts
Grocery Outlet's options can also be used to analyze investors' bias and current market sentiment in the context of behavioral finance. For example, Max pain usually refers to a trading concept that asserts that market manipulation can cause the market price of Grocery Outlet close to the expiration of its current option contract to expire worthlessly. According to most research, about 35% of options are not executed, with roughly 50% traded out before expiration. So, Max pain occurs when market makers reach a net favorable position across all options at a strike price where option holders stand to lose the most money. By contrast, option sellers may reap the most after selling more options than buying, causing them to expire worthlessly. Please continue to view the detailed analysis of Grocery Outlet's options.
Grocery Outlet Corporate Management
| Arvind Bhatia | Vice Relations | Profile | |
| Arvind CFA | Vice Relations | Profile | |
| Pamela Burke | Chief VP | Profile | |
| Hank Holzgrefe | Senior Management | Profile | |
| Harrison Lewis | Senior Officer | Profile | |
| Andrea Bortner | Executive Officer | Profile |
Check out Risk vs Return Analysis to better understand how to build diversified portfolios, which includes a position in Grocery Outlet Holding. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in persons. You can also try the Crypto Correlations module to use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins.
Is Consumer Staples Distribution & Retail space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Grocery Outlet. If investors know Grocery will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Grocery Outlet listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.83) | Earnings Share 0.4 | Revenue Per Share | Quarterly Revenue Growth 0.109 | Return On Assets |
The market value of Grocery Outlet Holding is measured differently than its book value, which is the value of Grocery that is recorded on the company's balance sheet. Investors also form their own opinion of Grocery Outlet's value that differs from its market value or its book value, called intrinsic value, which is Grocery Outlet's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Grocery Outlet's market value can be influenced by many factors that don't directly affect Grocery Outlet's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between Grocery Outlet's value and its price, as these two are different measures arrived at by various means. Investors typically determine if Grocery Outlet is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Grocery Outlet's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.