GO

Grocery Outlet Holding Corp

Consumer


Presented:09/26/2024
Price:$17.08
Cap:$1.67B
Current Price:$16.45
Cap:$1.61B

Presented

Date09/26/2024
Price$17.08
Market Cap$1.67B
Ent Value$3.68B
P/E Ratio31.78x
Book Value$12.31
Div Yield0%
Shares O/S97.99M
Ave Daily Vol1,962,624
Short Int10.59%

Current

Price$16.45
Market Cap$1.61B
Grocery Outlet Holding Corp. engages in the operation of retail stores in the United States. It offers name-brand consumables and fresh products through a network of independently operated stores. The company was founded by Jim Read in 1946 and is headquartered in Emeryville, CA.

Publicly traded companies mentioned herein: Grocery Outlet Holding Corp (GO), Walmart Inc (WMT)

Highlights

The presenter is long shares of Grocery Outlet Holding Corp (GO), which is a 500+ store grocery chain growing units at a DD% annual rate and is early in its US expansion opportunity given the company’s long-term goal of ~4,800 stores. GO is a discount grocery business, offering significant discounts to traditional grocery and even other discount grocers, largely through opportunistic sourcing. The company buys a fraction of the merchandise that is offered by its suppliers and supplements that with regular-way merchandising to fill out customer baskets. The vast majority of its stores are in Western US states but GO has been expanding into the Mid-Atlantic and Southeast in recent years and has proven that the concept is portable and successful. As GO continues its growth trajectory, improves its technological capabilities to drive deal awareness, and works through recent headwinds, he sees 2-year upside from the current $17 to $30 per share.

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Idea Discussion

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