Grocery Outlet Holding Corp (NASDAQ:GO) on Wednesday reported worse-than-expected fourth-quarter financial results and issued FY26 sales guidance below estimates.

Grocery Outlet reported quarterly earnings of 19 cents per share which missed the analyst consensus estimate of 21 cents per share. The company reported quarterly sales of $1.215 billion which missed the analyst consensus estimate of $1.223 billion.

Grocery Outlet Holding said it sees FY2026 GAAP EPS of 45 cents to 55 cents, versus market estimates of 50 cents. The company expects sales of $4.600 billion to $4.720 billion, versus estimates of $4.927 billion.

“We made progress on our strategic priorities in 2025; however, our fourth-quarter results made clear that we have more work to do, and we’re moving quickly,” said Jason Potter, President and CEO of Grocery Outlet.

Grocery Outlet shares dipped 26.3% to $6.48 in pre-market trading.

These analysts made changes to their price targets on Grocery Outlet following earnings announcement.

• Jefferies analyst Corey Tarlowe downgraded Grocery Outlet from Buy to Hold and lowered the price target from $18 to $7.
• Morgan Stanley analyst Simeon Gutman maintained the stock with an Equal-Weight rating and lowered the price target from $11 to $7.
• Telsey Advisory Group analyst Joseph Feldman downgraded Grocery Outlet from Outperform to Market Perform and lowered the price target from $15 to $9.

Considering buying GO stock? Here’s what analysts think:

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