Sweetgreen, Inc. (SG) Reports Q3 Loss, Lags Revenue Estimates

Core Viewpoint - Sweetgreen, Inc. reported a quarterly loss of $0.27 per share, which was worse than the Zacks Consensus Estimate of a loss of $0.18, marking a 50% earnings surprise to the downside [1] - The company has consistently missed consensus EPS estimates over the last four quarters [2] Financial Performance - Sweetgreen's revenues for the quarter ended September 2025 were $172.39 million, falling short of the Zacks Consensus Estimate by 4.23% and down from $173.43 million year-over-year [2] - The company has only surpassed consensus revenue estimates once in the last four quarters [2] Stock Performance - Sweetgreen shares have declined approximately 79.8% since the beginning of the year, contrasting sharply with the S&P 500's gain of 15.6% [3] Future Outlook - The company's earnings outlook is critical for assessing future stock performance, with current consensus EPS estimates at -$0.23 for the upcoming quarter and -$0.74 for the current fiscal year [4][7] - The Zacks Rank for Sweetgreen is currently 4 (Sell), indicating expectations of underperformance in the near future [6] Industry Context - The Retail - Restaurants industry, to which Sweetgreen belongs, is currently ranked in the bottom 12% of over 250 Zacks industries, suggesting a challenging environment [8] - Empirical research indicates that the top 50% of Zacks-ranked industries outperform the bottom 50% by more than a factor of 2 to 1 [8]