Added to YB: 2022-02-11
Pitch date: 2022-02-11
SG [bearish]
Sweetgreen, Inc.
+74.77%
current return
Author Info
No bio for this author
Company Info
Sweetgreen, Inc., together with its subsidiaries, operates fast food restaurants serving healthy food and beverages in the United States.
Market Cap
$814.2M
Pitch Price
$27.55
Price Target
22.70 (+227%)
Dividend
N/A
EV/EBITDA
68.84
P/E
62.08
EV/Sales
1.51
Sector
Hotels, Restaurants and Leisure
Category
value
Sweetgreen: Serving Green But Bleeding Red
SG (short): Sweetgreen is an unprofitable fast-casual chain valued like a technology company despite selling largely undifferentiated, premium-priced salads. At 12.2x forward EV/sales, versus 4.5x for a profitable restaurant peer, comparable multiples imply $21.61-$22.70 per share, or 26-29% downside. Inflation, limited pricing power, local-sourcing complexity and work-from-home exposure threaten margins, although rapid sales and store growth plus a debt-free, cash-rich balance sheet could support the shares.
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