Sweetgreen, Inc. (SG) AI Stock Analysis

NYSE: SGAI research summary: business, growth, valuation, analysts, bull and bear case.

SG AI stock analysis summary

AI Research

Sweetgreen, Inc. (SG) operates a fast-casual restaurant chain of 140 locations focused on fresh salads and bowls. The company generated $681.8M in trailing twelve-month revenue, though net income was -$134.1M in FY2025 alongside -$119.2M in free cash flow. While the stock has gained 48.5% year-to-date to close at $10.04, the consensus analyst price target of $8.08 sits 19.5% below its current level.

Market cap
$1.20B
Revenue (TTM)
$681.8M
P/E
111.6x
fwd 18.8x
1Y return
36.2%
S&P 500 16.8%
Avg. target
$8.08
-19.5% vs last close

Bull case

  • Sweetgreen generated a 5-year revenue CAGR of 25.2% from FY2020 through FY2025, reaching $681.8M in trailing twelve-month revenue.
  • The stock delivered a 1-year return of 36.2%, outpacing the S&P 500 (SPY) return of 16.8%.
  • Sweetgreen maintains liquidity with a current ratio of 1.43 and $142.6M in cash and short-term investments as of June 30, 2026.

Bear case

  • Free cash flow deteriorated to -$119.2M in FY2025 as net income dropped to -$134.1M.
  • The consensus analyst price target of $8.08 sits 19.5% below the stock's closing price of $10.04.
  • Sweetgreen recorded 0 EPS beats across the last 4 quarters, while short interest stands at 26.6% of the float.

What Sweetgreen does

Sweetgreen, Inc. operates a fast-casual restaurant chain focused on nutritious meals made from seasonal and organic ingredients. Headquartered in Los Angeles, California, the company was established in 2006 and owns and operates 140 restaurants across 13 states and Washington, D.C. Its menu features customizable salads and bowls prepared with locally sourced produce and proteins. In addition to in-store dining, Sweetgreen offers mobile and online ordering platforms for customer pickup and delivery, as well as branded gift cards. With 6,486 employees, the restaurant chain emphasizes sustainable dining practices and community engagement.

Growth and profitability

Sweetgreen increased revenue from $339.9M in FY2021 to $679.5M in FY2025, representing a 5-year revenue CAGR of 25.2%. However, annual top-line growth decelerated from 54.1% in FY2021 and 15.9% in FY2024 to 0.4% in FY2025. Gross margin was 15.2% in FY2025, down from 19.6% in FY2024, while operating margin was -16.4% in FY2025 and -12.6% over the trailing twelve months. Net income fell to -$134.1M in FY2025 from -$90.4M in FY2024, resulting in an EPS of -$0.93. For the latest quarter ended June 30, 2026, revenue increased 3.8% year-over-year, bringing trailing twelve-month revenue to $681.8M with a profit margin of 2.0% and EPS of $0.09.

SG income statement →

Balance sheet and cash flow

As of June 30, 2026, Sweetgreen held $142.6M in cash and short-term investments against total debt of $355.4M, resulting in net debt of $212.8M. The company reported total assets of $895.7M, shareholders' equity of $467.6M, a current ratio of 1.43, and a debt-to-equity ratio of 0.76. In FY2025, operating cash flow was -$12.7M and free cash flow was -$119.2M, reflecting $106.5M in capital expenditures. Sweetgreen used $259,000 for share buybacks in FY2025, while its share count rose 105.3% over 5 years.

SG balance sheet →

Valuation and performance

Sweetgreen trades at a trailing P/E of 111.6x and a forward P/E of 18.8x, both above the US-listed Consumer Cyclical peer medians of 18.0x and 14.1x, respectively. Its price-to-sales ratio of 1.8x is also higher than the peer median of 0.7x, while its EV/EBITDA multiple of 11.1x matches the peer median of 11.1x based on an enterprise value of $1.13B. Over the past year, Sweetgreen returned 36.2%, outperforming the S&P 500 (SPY) return of 16.8%. The stock closed at $10.04 on October 16, 2026, near its 52-week high of $10.77.

SG key metrics →

What analysts expect

Sweetgreen has 4 Strong Buy, 2 Buy, 7 Hold, and 1 Sell recommendations from Wall Street analysts. The mean price target of $8.08 sits 19.5% below the last close of $10.04. For the fiscal year ending December 31, 2026, consensus estimates project an EPS of -$0.18 on revenue of $683.7M. For the next fiscal year, 7 analysts project revenue of $738.3M, representing 8.0% growth, with an estimated EPS of -$0.69. Sweetgreen posted 0 EPS beats over the last 4 quarters, and its next earnings report is scheduled for November 5, 2026.

SG forecast and price target →

Key risks and what to watch

  • Annual revenue growth slowed sharply from 54.1% in FY2021 to 0.4% in FY2025.
  • Sweetgreen carries $355.4M in total debt and net debt of $212.8M while generating -$12.7M in FY2025 operating cash flow.
  • A beta of 2.17 and high short interest of 26.6% expose the stock to elevated market volatility.
  • Shareholders have faced dilution as the company's share count increased 105.3% over 5 years.

AI-generated research summary. Written with AI from Quotelinks data as of October 16, 2026 and checked so every figure matches that data. For information only, not investment advice. Disclaimer

About this SG AI stock analysis

This page is an AI-written research summary of Sweetgreen, Inc. (SG). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

Related: SG income statement, SG balance sheet, SG key metrics, SG analyst forecast, SG chart. See the SG stock overview for the latest quote and news.

SG AI stock analysis FAQ

Does Sweetgreen pay a dividend?

No, Sweetgreen does not pay a dividend. The company directs its capital toward operations and expansion, including $106.5M in FY2025 capital expenditures.

When is Sweetgreen's next earnings date?

Sweetgreen is scheduled to report earnings on November 5, 2026. Analysts expect an EPS of -$0.18 for the fiscal year ending December 31, 2026.

What is the analyst price target for Sweetgreen stock?

The mean analyst price target for Sweetgreen is $8.08, which is 19.5% lower than its last closing price of $10.04. The stock has 4 Strong Buy, 2 Buy, 7 Hold, and 1 Sell ratings.

How do Sweetgreen's valuation multiples compare to its sector?

Sweetgreen trades at a trailing P/E of 111.6x and a price-to-sales multiple of 1.8x, both above the US-listed Consumer Cyclical peer medians of 18.0x and 0.7x. Its EV/EBITDA of 11.1x is equal to the peer group median of 11.1x.

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