Why Sweetgreen Shares Are Dipping Today
Portfolio Pulse from Lekha Gupta
Sweetgreen, Inc. (NYSE:SG) shares dropped by around 10% following the release of its Q2 2023 results. The company reported a 22% Y/Y increase in revenues to $152.5 million, falling short of the consensus estimate of $156.7 million. Adjusted EBITDA was $3.3 million, compared to $(7.8) million a year ago, and adjusted EPS of $(0.20) missed the consensus of $(0.16). The company reaffirmed its revenue guidance for the year and raised its outlook for adjusted EBITDA and restaurant-level profit margin.
July 28, 2023 | 10:30 am
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Sweetgreen's shares fell after its Q2 2023 results missed estimates. The company reaffirmed its revenue guidance and raised its outlook for adjusted EBITDA and profit margin.
Sweetgreen's shares fell due to the company's Q2 2023 results missing estimates. Despite the increase in revenues and adjusted EBITDA, the company fell short of the consensus estimates, leading to a negative market reaction. The reaffirmation of its revenue guidance and the raised outlook for adjusted EBITDA and profit margin may help to mitigate some of the negative impact, but the immediate reaction is likely to be negative.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100