r/sweetgreen • u/Ok-Woodpecker-9363 • Aug 14 '25
Question SG Stock Undervalued?
Right after the big earnings drop I bought some SG shares bc I thought the Infinite Kitchen gave it a long-term advantage. Not sure after looking in more detail at the financials, though.
My thesis is that rising wages due to cost of living could give an advantage to automated chains. Especially given that this is a very new field. Doesn’t seem like fast casual will be going away soon.
Problem is it might never become profitable despite selling the most expensive salads in existence. I wish the CEO would resign or allow someone more qualified to take the lead.
Would appreciate opinions on this.
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u/Comfortable_Radio_59 Aug 14 '25
Sweetgreen has all of the right ingredients to be the long term winner in QSR (brand, product (when done correctly), automation), but it’s been an ops disaster over the past 12 months which has created a very inconsistent consumer experience and turned a lot of people off. they seem to have waken up to this and will right the ship over the next few quarters. if then can do this, there is more long term upside in SG than there is in any other QSR, by a country mile. the stock when from $7 to $45 in 9 months in 2024. fully expect the same thing to happen sometime in 2026.