Loading...
Back to narrative

GROV: Carbon Accounting Push And Margin Improvements Will Support Stronger Future Confidence

Sustainable Product Expansion And Modern ECommerce Will Unlock Future Potential

GROV logo
GROV
AnalystConsensusTarget
Not Invested
Published 11 Apr 2025

Update shared on 16 Dec 2025

Previous
n/a
n/a
AnalystConsensusTarget's Fair Value
n/a
Loading
1Y
-10.3%
7D
-2.4%

Analysts have modestly raised their price target on Grove Collaborative Holdings, citing incremental improvements in projected profit margins and a slightly richer fair value outlook. Together, these factors support a new target that is approximately 2 percent above the prior estimate.

What's in the News

  • Issued new guidance for the fourth quarter of 2025, indicating revenue is expected to remain roughly flat compared with the prior quarter (company guidance).
  • Lowered full year 2025 revenue outlook to a range of approximately $172.5 million to $175 million, tracking toward the bottom of its previously communicated guidance as it keeps advertising spend restrained while upgrading customer experience (company guidance).
  • Confirmed the promotion of Interim Chief Financial Officer Tom Siragusa to permanent CFO, with continued responsibility as principal financial and accounting officer (company filing).
  • Announced a new initiative with carbon accounting partner Gravity to measure and mitigate the environmental impact of AI usage, including publishing an open source methodology for AI related emissions (company sustainability announcement).

Valuation Changes

  • Fair Value: maintained at an implied 2.0 rating, signaling no material change in the underlying long term valuation view.
  • Discount Rate: risen slightly from about 9.25 percent to approximately 9.48 percent, reflecting a modestly higher required return from investors.
  • Revenue Growth: effectively unchanged at roughly 3.69 percent, indicating stable expectations for long term top line expansion.
  • Net Profit Margin: improved slightly from about 4.74 percent to approximately 4.88 percent, suggesting a modestly more optimistic outlook on profitability.
  • Future P/E: edged down slightly from around 12.29x to about 12.01x, implying a marginally lower valuation multiple on expected earnings.

Have other thoughts on Grove Collaborative Holdings?

Create your own narrative on this stock, and estimate its Fair Value using our Valuator tool.

Create Narrative

Disclaimer

AnalystConsensusTarget is a tool utilizing a Large Language Model (LLM) that ingests data on consensus price targets, forecasted revenue and earnings figures, as well as the transcripts of earnings calls to produce qualitative analysis. The narratives produced by AnalystConsensusTarget are general in nature and are based solely on analyst data and publicly-available material published by the respective companies. These scenarios are not indicative of the company's future performance and are exploratory in nature. Simply Wall St has no position in the company(s) mentioned. Simply Wall St may provide the securities issuer or related entities with website advertising services for a fee, on an arm's length basis. These relationships have no impact on the way we conduct our business, the content we host, or how our content is served to users. The price targets and estimates used are consensus data, and do not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that AnalystConsensusTarget's analysis may not factor in the latest price-sensitive company announcements or qualitative material.