Grocery Outlet Holding
Market Cap
US$3.5b
Last Updated
2020/09/22 06:16 UTC
Data Sources
Company Financials +
Executive Summary
Grocery Outlet Holding Corp. owns and operates a chain of grocery stores in the United States. More Details
Rewards
Risk Analysis
Snowflake Analysis
Acceptable track record with mediocre balance sheet.
Similar Companies
Share Price & News
How has Grocery Outlet Holding's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: GO has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-5.6%
GO
-0.9%
US Consumer Retailing
-1.5%
US Market
1 Year Return
0.1%
GO
10.4%
US Consumer Retailing
12.9%
US Market
Return vs Industry: GO underperformed the US Consumer Retailing industry which returned 10.4% over the past year.
Return vs Market: GO underperformed the US Market which returned 12.9% over the past year.
Shareholder returns
| GO | Industry | Market | |
|---|---|---|---|
| 7 Day | -5.6% | -0.9% | -1.5% |
| 30 Day | -8.8% | 0.2% | -1.8% |
| 90 Day | -0.3% | 9.2% | 6.6% |
| 1 Year | 0.1%0.1% | 12.2%10.4% | 15.4%12.9% |
| 3 Year | n/a | 59.6%50.6% | 39.6%30.2% |
| 5 Year | n/a | 84.0%65.1% | 93.4%71.7% |
Price Volatility Vs. Market
How volatile is Grocery Outlet Holding's share price compared to the market and industry in the last 5 years?
Simply Wall St News
4 months ago | Simply Wall St
Does Grocery Outlet Holding's (NASDAQ:GO) Statutory Profit Adequately Reflect Its Underlying Profit?5 months ago | Simply Wall St
Is Grocery Outlet Holding Corp. (NASDAQ:GO) Investing Your Capital Efficiently?6 months ago | Simply Wall St
What Kind Of Shareholders Own Grocery Outlet Holding Corp. (NASDAQ:GO)?Valuation
Is Grocery Outlet Holding undervalued compared to its fair value and its price relative to the market?
27.0%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: GO ($37.85) is trading below our estimate of fair value ($51.83)
Significantly Below Fair Value: GO is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: GO is poor value based on its PE Ratio (52.6x) compared to the US Consumer Retailing industry average (14.9x).
PE vs Market: GO is poor value based on its PE Ratio (52.6x) compared to the US market (18.2x).
Price to Earnings Growth Ratio
PEG Ratio: GO is poor value based on its PEG Ratio (3.6x)
Price to Book Ratio
PB vs Industry: GO is overvalued based on its PB Ratio (4.2x) compared to the US Consumer Retailing industry average (1.7x).
Next Steps
Future Growth
How is Grocery Outlet Holding forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?
14.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: GO's forecast earnings growth (14.5% per year) is above the savings rate (2.2%).
Earnings vs Market: GO's earnings (14.5% per year) are forecast to grow slower than the US market (23.1% per year).
High Growth Earnings: GO's earnings are forecast to grow, but not significantly.
Revenue vs Market: GO's revenue (9% per year) is forecast to grow slower than the US market (9.8% per year).
High Growth Revenue: GO's revenue (9% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: GO's Return on Equity is forecast to be low in 3 years time (11.6%).
Next Steps
Past Performance
How has Grocery Outlet Holding performed over the past 5 years?
33.2%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: GO has high quality earnings.
Growing Profit Margin: GO became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: GO's earnings have grown significantly by 33.2% per year over the past 5 years.
Accelerating Growth: GO has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: GO has become profitable in the last year, making it difficult to compare its past year earnings growth to the Consumer Retailing industry (39.5%).
Return on Equity
High ROE: GO's Return on Equity (7.7%) is considered low.
Next Steps
Financial Health
How is Grocery Outlet Holding's financial position?
Financial Position Analysis
Short Term Liabilities: GO's short term assets ($334.8M) exceed its short term liabilities ($207.9M).
Long Term Liabilities: GO's short term assets ($334.8M) do not cover its long term liabilities ($1.3B).
Debt to Equity History and Analysis
Debt Level: GO's debt to equity ratio (53.8%) is considered high.
Reducing Debt: Insufficient data to determine if GO's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: GO's debt is well covered by operating cash flow (40.9%).
Interest Coverage: GO's interest payments on its debt are well covered by EBIT (3.6x coverage).
Balance Sheet
Next Steps
Dividend
What is Grocery Outlet Holding current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate GO's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate GO's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if GO's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if GO's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of GO's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
1.7yrs
Average management tenure
CEO
Eric Lindberg (49 yo)
1.67yrs
Tenure
US$4,006,275
Compensation
Mr. Eric J. Lindberg Jr., has been Chief Executive Officer of Grocery Outlet Holding Corp., and Grocery Outlet Inc since January 1, 2019 and its Director since January 2006. Previously, from January 2006 t ...
CEO Compensation Analysis
Compensation vs Market: Eric's total compensation ($USD4.01M) is about average for companies of similar size in the US market ($USD5.63M).
Compensation vs Earnings: Insufficient data to compare Eric's compensation with company performance.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Director | 1.67yrs | US$4.01m | 3.09% $ 107.1m | |
| President | 1.67yrs | US$1.95m | 0% $ 0 | |
| Chief Finance Officer | 8.08yrs | US$1.86m | 0.049% $ 1.7m | |
| Executive VP | 0.083yr | US$1.25m | 0.10% $ 3.5m | |
| Chief Administrative Officer | 1.67yrs | no data | 0.0099% $ 342.5k | |
| Vice President of Investor Relations | no data | no data | no data | |
| Senior VP & Chief Marketing Officer | 3.17yrs | no data | no data | |
| Chief Human Resources Officer | 0.50yr | no data | no data | |
| Senior Vice President of New Markets | 5.25yrs | no data | no data | |
| Senior VP & Chief Purchasing Officer | 2.58yrs | US$942.03k | 0.14% $ 4.7m | |
| Senior VP & Chief Store Development Officer | 2.17yrs | no data | 0.0088% $ 304.7k | |
| Executive VP | 0.92yr | no data | no data |
1.7yrs
Average Tenure
56yo
Average Age
Experienced Management: GO's management team is not considered experienced ( 1.7 years average tenure), which suggests a new team.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Director | 1.67yrs | US$4.01m | 3.09% $ 107.1m | |
| Independent Director | 5.92yrs | US$213.02k | 0.099% $ 3.4m | |
| Independent Chairman of the Board | 5.92yrs | no data | no data | |
| Independent Director | 0.83yr | US$13.36k | no data | |
| Independent Director | 16.67yrs | US$226.99k | 0.086% $ 3.0m | |
| Independent Director | 9.83yrs | US$210.54k | 0.13% $ 4.5m | |
| Vice Chairman | 1.67yrs | US$3.83m | 2.52% $ 87.3m | |
| Independent Director | 0.83yr | US$13.70k | no data | |
| Independent Director | 9.67yrs | US$212.68k | 0.053% $ 1.9m | |
| Director | no data | no data | no data |
5.9yrs
Average Tenure
64yo
Average Age
Experienced Board: GO's board of directors are considered experienced (5.9 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 3.7%.
Top Shareholders
Company Information
Grocery Outlet Holding Corp.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Grocery Outlet Holding Corp.
- Ticker: GO
- Exchange: NasdaqGS
- Founded: 1946
- Industry: Food Retail
- Sector: Consumer Retailing
- Market Cap: US$3.467b
- Shares outstanding: 91.60m
- Website: https://www.groceryoutlet.com
Number of Employees
Location
- Grocery Outlet Holding Corp.
- 5650 Hollis Street
- EmeryVille
- California
- 94608
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| GO | NasdaqGS (Nasdaq Global Select) | Yes | Voting Common Stock | US | USD | Jun 2019 |
Biography
Grocery Outlet Holding Corp. owns and operates a chain of grocery stores in the United States. The company offers products in various categories, such as dairy and deli, produce, and fresh meat and seafood ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/09/22 06:16 |
| End of Day Share Price | 2020/09/21 00:00 |
| Earnings | 2020/06/27 |
| Annual Earnings | 2019/12/28 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.