Sweetgreen Analysts Lower Projections Following Disappointing Q3 Performance
Written by Emily J. Thompson, Senior Investment Analyst
Source: Benzinga
Updated: Nov 07 20250mins
Financial Performance: Sweetgreen, Inc. reported a quarterly loss of 31 cents per share, missing the analyst consensus estimate of 18 cents, and sales of $172.4 million, below the expected $179.6 million.
Sales Guidance Cut: The company reduced its FY2025 sales guidance from a range of $700 million-$715 million to $682 million-$688 million.
CEO's Statement: CEO Jonathan Neman emphasized the company's focus on operational excellence, menu innovation, and disciplined growth despite a challenging macroeconomic environment.
Stock Reaction and Analyst Ratings: Following the earnings announcement, Sweetgreen's shares fell 10.8% to $5.57, with analysts adjusting their price targets downward, maintaining various ratings from Neutral to Outperform.
SG.N
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Analyst Views on SG
Wall Street analysts forecast SG stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for SG is 8.25 USD with a low forecast of 5.00 USD and a high forecast of 12.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
13 Analyst Rating
5 Buy
7 Hold
1 Sell
Moderate Buy
Current: 6.900
Low
5.00
Averages
8.25
High
12.00
Current: 6.900
Low
5.00
Averages
8.25
High
12.00
Citi
Jon Tower
Buy
maintain
2025-11-12
Reason
Citi
Jon Tower
Price Target
2025-11-12
maintain
Buy
Reason
Citi analyst Jon Tower placed an "upside 90-day catalyst watch" on Sweetgreen while keeping a Buy rating on the shares. The firm sees the company's sales improving as the U.S. government reopens in the coming weeks given its exposure to markets in and around Washington D.C.
BofA
Neutral
downgrade
2025-11-07
Reason
BofA
Price Target
2025-11-07
downgrade
Neutral
Reason
BofA lowered the firm's price target on Sweetgreen to $7.75 from $9.50 and keeps a Neutral rating on the shares. The firm lowered its same-store sales growth and EBITDA estimates "sharply" as it anticipates continued pressure across the system owing to broader industry headwinds, the analyst tells investors in a post-earnings note.
Goldman Sachs
Neutral -> Sell
downgrade
$10 -> $5
2025-11-07
Reason
Goldman Sachs
Price Target
$10 -> $5
2025-11-07
downgrade
Neutral -> Sell
Reason
Goldman Sachs downgraded Sweetgreen to Sell from Neutral with a price target of $5, down from $10, citing mounting pressures on both the top and bottom line in a challenging operating environment. While operational and menu initiatives are underway, the firm sees limited visibility into notable growth re-acceleration and margin expansion in the near term, the analyst tells investors.
Oppenheimer
Outperform
to
NULL
downgrade
$18 -> $10
2025-11-07
Reason
Oppenheimer
Price Target
$18 -> $10
2025-11-07
downgrade
Outperform
to
NULL
Reason
Oppenheimer lowered the firm's price target on Sweetgreen to $10 from $18 and keeps an Outperform rating on the shares. A reduction to 2025 financial guidance was anticipated, but the reset was out-sized given worsening same-store sales trends into Q4.
See All Ratings
About SG
Sweetgreen, Inc. is a restaurant and lifestyle brand that serves healthy food at scale. The Company has designed its menu to be customizable and convenient to empower its customers to make healthier choices for both lunch and dinner. The Company's core menu features approximately 13 signature items which are offered year-round in all of its locations, including its new steak plate. In addition to its core menu items, its single most popular item is the custom salad or bowl, which can include combinations from 40-plus ingredients as well as its made-from-scratch dressings. On its Owned Digital Channels, it offers exclusive menu items, including seasonal digital exclusives and collections relevant to each customer. It has a five-channel model that is designed to help its customers to order. The Company's five-channel model includes Pick-Up, Native Delivery, Outpost and Catering, In-Store, and Marketplace. It has approximately 250 restaurants across the country.
About the author
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Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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