Grocery Outlet (NASDAQ:GO) Stock Price Up 4.9% After Insider Buying Activity

Grocery Outlet Holding Corp. (NASDAQ:GO)’s stock price rose 4.9% during trading on Friday after an insider bought additional shares in the company. The stock traded as high as $6.43 and last traded at $6.3750. Approximately 2,145,209 shares traded hands during mid-day trading, a decline of 33% from the average daily volume of 3,212,685 shares. The stock had previously closed at $6.08.

Specifically, Director Erik D. Ragatz purchased 125,000 shares of the firm’s stock in a transaction on Wednesday, March 11th. The shares were acquired at an average cost of $6.00 per share, for a total transaction of $750,000.00. Following the completion of the transaction, the director owned 326,500 shares of the company’s stock, valued at approximately $1,959,000. The trade was a 62.03% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Jeffrey York acquired 120,000 shares of the business’s stock in a transaction dated Monday, March 9th. The shares were acquired at an average cost of $5.82 per share, with a total value of $698,400.00. Following the transaction, the director owned 120,000 shares in the company, valued at approximately $698,400. This trade represents a ∞ increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. In related news, Director Carey F. Jaros bought 40,000 shares of the firm’s stock in a transaction that occurred on Tuesday, March 10th. The shares were bought at an average cost of $6.26 per share, with a total value of $250,400.00. Following the acquisition, the director owned 76,066 shares in the company, valued at $476,173.16. This trade represents a 110.91% increase in their ownership of the stock. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website.

Wall Street Analysts Forecast Growth

A number of analysts have commented on the company. UBS Group restated a “neutral” rating and issued a $11.50 price target on shares of Grocery Outlet in a research report on Thursday, December 18th. Morgan Stanley cut their price objective on Grocery Outlet from $11.00 to $7.00 and set an “equal weight” rating for the company in a research note on Thursday, March 5th. Deutsche Bank Aktiengesellschaft set a $11.00 target price on shares of Grocery Outlet in a report on Thursday, January 8th. TD Cowen reaffirmed a “hold” rating on shares of Grocery Outlet in a report on Thursday, March 5th. Finally, The Goldman Sachs Group dropped their price target on shares of Grocery Outlet from $12.00 to $9.00 and set a “sell” rating for the company in a research report on Thursday, February 19th. Eleven equities research analysts have rated the stock with a Hold rating and two have assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the company presently has an average rating of “Reduce” and a consensus price target of $10.68.

Grocery Outlet News Roundup

Here are the key news stories impacting Grocery Outlet this week:

• Positive Sentiment: Company directors bought sizable blocks of stock in the last few days, which can be read as a signal of insider confidence: Director Erik Ragatz purchased 125,000 shares at an average $6.00. Insider Buying: Grocery Outlet (NASDAQ:GO) Director Purchases 125,000 Shares of Stock
• Positive Sentiment: Additional insider buys this week: Director Carey Jaros bought 40,000 shares at about $6.26 and director Jeffrey York bought 120,000 shares at about $5.82 — more insider accumulation that likely supported the intraday rally. Director Purchases / Insider Filings
• Neutral Sentiment: Large institutional holders remain dominant (T. Rowe Price, Vanguard among the largest owners), which can stabilize trading but also concentrate downside if institutions sell. See the MarketBeat company page for institutional holdings and analyst consensus. Grocery Outlet (GO) — MarketBeat
• Negative Sentiment: Multiple law firms (Holzer & Holzer, Pomerantz, Glancy Prongay Wolke & Rotter, The Law Offices of Frank R. Cruz) have launched securities‑fraud investigations tied to the company’s March 4 quarter results; such probes increase legal uncertainty and headline risk. Holzer & Holzer Investigation Notice
• Negative Sentiment: The company reported a large operating loss for the fiscal year that included significant non‑cash charges (long‑lived asset impairments, restructuring charges and goodwill impairment). Those items materially depressed earnings and sparked the investigations and the prior selloff. Details on Impairments (Holzer & Holzer)
• Negative Sentiment: Analysts have trimmed ratings and price targets in recent weeks (several “hold/market perform” or “sell” views and lower targets), reinforcing downside pressure until clarity on results and legal exposure improves. Analyst notes and consensus (MarketBeat)

Grocery Outlet Stock Performance

The firm’s 50 day simple moving average is $9.25 and its 200 day simple moving average is $12.20. The firm has a market cap of $628.16 million, a PE ratio of -2.79, a PEG ratio of 1.75 and a beta of 0.50. The company has a current ratio of 1.37, a quick ratio of 0.32 and a debt-to-equity ratio of 0.49.

Grocery Outlet (NASDAQ:GO) last issued its quarterly earnings data on Wednesday, March 4th. The company reported $0.19 earnings per share for the quarter, missing analysts’ consensus estimates of $0.21 by ($0.02). The firm had revenue of $1.22 billion for the quarter, compared to analysts’ expectations of $1.23 billion. Grocery Outlet had a negative net margin of 4.80% and a positive return on equity of 5.93%. The company’s revenue for the quarter was up 10.7% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.15 EPS. Grocery Outlet has set its FY 2026 guidance at 0.450-0.550 EPS. On average, research analysts forecast that Grocery Outlet Holding Corp. will post 0.63 EPS for the current fiscal year.

Hedge Funds Weigh In On Grocery Outlet

Several institutional investors have recently added to or reduced their stakes in the company. T. Rowe Price Investment Management Inc. increased its stake in Grocery Outlet by 54.0% in the 4th quarter. T. Rowe Price Investment Management Inc. now owns 15,763,945 shares of the company’s stock worth $159,216,000 after acquiring an additional 5,528,722 shares during the last quarter. Vanguard Group Inc. boosted its position in shares of Grocery Outlet by 1.9% during the 4th quarter. Vanguard Group Inc. now owns 11,255,936 shares of the company’s stock valued at $113,685,000 after acquiring an additional 213,325 shares during the last quarter. Mackenzie Financial Corp grew its holdings in shares of Grocery Outlet by 0.5% in the fourth quarter. Mackenzie Financial Corp now owns 4,709,721 shares of the company’s stock valued at $47,757,000 after purchasing an additional 22,418 shares in the last quarter. Dimensional Fund Advisors LP increased its position in Grocery Outlet by 5.0% in the third quarter. Dimensional Fund Advisors LP now owns 4,619,851 shares of the company’s stock worth $74,149,000 after purchasing an additional 221,693 shares during the last quarter. Finally, Marshall Wace LLP increased its position in Grocery Outlet by 0.5% in the third quarter. Marshall Wace LLP now owns 4,577,371 shares of the company’s stock worth $73,467,000 after purchasing an additional 20,819 shares during the last quarter. Hedge funds and other institutional investors own 99.87% of the company’s stock.

About Grocery Outlet

Grocery Outlet Holding Corp. (NASDAQ: GO) is a specialty discount retailer that offers consumers deeply discounted groceries by purchasing excess inventory, closeouts, and overstocks from manufacturers and distributors. Headquartered in Emeryville, California, the company operates two primary banners—Grocery Outlet and Fresh2Go—with a combined footprint of more than 400 stores. Its product assortment spans fresh produce, meat, dairy, bakery items, household staples, natural and organic offerings, and select specialty products, all sold at significant markdowns compared to conventional supermarkets.

The company’s unique buying model enables it to source inventory through opportunistic purchases of surplus freight, discontinued items, and closeout deals, which it then passes on as savings to its customers.