Yahoo Finance SG Unveils First Restaurant in Ohio, Expands Regional Presence
Sweetgreen, Inc. SG expands footprint with the opening of its first Ohio-based restaurant in the Short North. The new location follows significant interest from the Columbus market, which has been a key area for potential growth.
Situated at 700 North High Street, the 3,605-square-foot restaurant will accommodate 46 diners and feature an open kitchen. The expansion into Ohio enables Sweetgreen to utilize its existing regional suppliers, which helps streamline operations and improve menu transparency.
Strategic Expansion to Fuel SG’s Growth
Expanding and evolving its footprint in new and existing markets are crucial aspects of the company's strategy for future growth. During second-quarter fiscal 2024, Sweetgreen opened four new restaurants in Washington, DC; Chicago; Morristown, New Jersey; and Salem, New Hampshire, with New Hampshire being a new market. The new locations are performing well, with average weekly revenues exceeding that of the existing restaurants. As of June 30, 2024, the company had 231 restaurants s in 20 states and Washington, D.C.
The company recently implemented its updated playbook for new restaurant openings, focusing on prime locations, effective leadership and brand awareness. This approach led to strong performance in emerging markets such as the Midwest, Texas and the Southeast. The results indicate significant growth potential in both new and existing markets.
SG’s Infinite Kitchens are performing well across financial, operational and customer service metrics. On July 15, the company completed its first Infinite Kitchen retrofit at Penn Plaza, offering the fastest service in New York City. For 2024, it plans to open 24-26 new restaurants, including seven with the Infinite Kitchen concept.
Image Source: Zacks Investment Research
Shares of Sweetgreen have surged 60.2% in the past six months against the industry’s 3% fall. The company is benefiting from robust same-store sales driven by solid traffic and strategic pricing. Also, the focus on menu innovation and expansion efforts bode well.
Zacks Rank & Key Picks
Sweetgreen currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks from the Zacks Retail-Wholesale sector are:
Abercrombie & Fitch Co. ANF flaunts a Zacks Rank #1 (Strong Buy). The company has a trailing four-quarter earnings surprise of 28%, on average. Shares of ANF have surged 154% in the past year. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for ANF’s fiscal 2024 sales and earnings per share (EPS) indicate an increase of 12.6% and 61%, respectively, from the year-ago period’s levels.
Chuy's Holdings, Inc. CHUY sports a Zacks Rank #2 (Buy). CHUY has a trailing four-quarter earnings surprise of 50.9%, on average. Shares of CHUY have gained 3% in the past year.
The Zacks Consensus Estimate for CHUY’s fiscal 2024 sales and EPS indicates a rise of 5.7% and 65.2%, respectively, from the year-ago period’s levels.
El Pollo Loco Holdings, Inc. LOCO sports a Zacks Rank #2. The company has a trailing four-quarter earnings surprise of 21.6%, on average. Shares of LOCO have increased 46.6% in the past year.
The Zacks Consensus Estimate for LOCO’s 2024 sales and EPS indicates 2% and 12.7% growth, respectively, from the year-ago period’s levels.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Abercrombie & Fitch Company (ANF) : Free Stock Analysis Report
Chuy's Holdings, Inc. (CHUY) : Free Stock Analysis Report
El Pollo Loco Holdings, Inc. (LOCO) : Free Stock Analysis Report
Sweetgreen, Inc. (SG) : Free Stock Analysis Report
