Albertsons Companies (NYSE:ACI) Shares Up 5% – Should You Buy?

Albertsons Companies, Inc. (NYSE:ACI) shares rose 5% on Tuesday . The stock traded as high as $17.69 and last traded at $17.6490. Approximately 1,855,361 shares traded hands during mid-day trading, a decline of 74% from the average daily volume of 7,076,243 shares. The stock had previously closed at $16.81.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently issued reports on ACI shares. Weiss Ratings cut Albertsons Companies from a “hold (c)” rating to a “hold (c-)” rating in a report on Tuesday, April 21st. UBS Group decreased their price target on Albertsons Companies from $23.00 to $20.00 and set a “buy” rating on the stock in a research note on Wednesday, April 15th. JPMorgan Chase & Co. lowered their price target on Albertsons Companies from $23.00 to $22.00 and set an “overweight” rating for the company in a report on Wednesday, April 15th. Citigroup cut their price objective on shares of Albertsons Companies from $26.00 to $22.00 and set a “buy” rating on the stock in a report on Wednesday, April 15th. Finally, Royal Bank Of Canada reiterated an “outperform” rating and issued a $21.00 price target on shares of Albertsons Companies in a report on Monday, April 6th. Ten equities research analysts have rated the stock with a Buy rating, five have given a Hold rating and two have assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the stock presently has an average rating of “Hold” and a consensus target price of $21.31.

Albertsons Companies Stock Up 2.4%

The stock has a fifty day moving average price of $16.90 and a 200-day moving average price of $17.32. The firm has a market cap of $8.51 billion, a PE ratio of 53.86, a PEG ratio of 1.88 and a beta of 0.43. The company has a debt-to-equity ratio of 4.58, a quick ratio of 0.20 and a current ratio of 0.86.

Albertsons Companies (NYSE:ACI) last posted its quarterly earnings results on Tuesday, April 14th. The company reported $0.48 EPS for the quarter, beating the consensus estimate of $0.43 by $0.05. Albertsons Companies had a net margin of 0.26% and a return on equity of 42.75%. The firm had revenue of $20.25 billion for the quarter, compared to analyst estimates of $20.49 billion. During the same quarter last year, the firm posted $0.46 earnings per share. Albertsons Companies’s revenue for the quarter was up 7.7% compared to the same quarter last year. Albertsons Companies has set its FY 2026 guidance at 2.220-2.320 EPS. Research analysts expect that Albertsons Companies, Inc. will post 2.11 EPS for the current year.

Albertsons Companies Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, May 8th. Investors of record on Friday, April 24th were given a dividend of $0.17 per share. This is a positive change from Albertsons Companies’s previous quarterly dividend of $0.15. The ex-dividend date of this dividend was Friday, April 24th. This represents a $0.68 dividend on an annualized basis and a yield of 4.0%. Albertsons Companies’s dividend payout ratio is currently 212.50%.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in the stock. Mason Investment Advisory Services Inc. boosted its position in shares of Albertsons Companies by 0.8% in the third quarter. Mason Investment Advisory Services Inc. now owns 79,188 shares of the company’s stock worth $1,387,000 after buying an additional 602 shares during the period. Okabena Investment Services Inc. raised its holdings in shares of Albertsons Companies by 1.0% during the 3rd quarter. Okabena Investment Services Inc. now owns 63,122 shares of the company’s stock valued at $1,105,000 after buying an additional 602 shares during the period. Mirae Asset Global Investments Co. Ltd. lifted its position in Albertsons Companies by 32.9% during the 3rd quarter. Mirae Asset Global Investments Co. Ltd. now owns 2,524 shares of the company’s stock worth $44,000 after acquiring an additional 625 shares in the last quarter. Twin Capital Management Inc. boosted its holdings in Albertsons Companies by 1.7% in the 1st quarter. Twin Capital Management Inc. now owns 43,912 shares of the company’s stock worth $748,000 after acquiring an additional 721 shares during the period. Finally, Bank of Nova Scotia boosted its holdings in Albertsons Companies by 5.4% in the 2nd quarter. Bank of Nova Scotia now owns 14,041 shares of the company’s stock worth $302,000 after acquiring an additional 723 shares during the period. 71.35% of the stock is owned by hedge funds and other institutional investors.

Albertsons Companies Company Profile

Albertsons Companies, Inc (NYSE: ACI) is one of the largest food and drug retailers in the United States, operating a diversified portfolio of grocery store banners. Founded in 1939 by Joe Albertson in Boise, Idaho, the company has grown through both organic expansion and strategic acquisitions. Its core business activities encompass the sale of fresh produce, meat, bakery items, deli offerings, pharmacy services, and general merchandise. The company’s retail operations are complemented by an in-house private-label program, featuring brands such as O Organics, Open Nature, and Lucerne, which cater to a range of customer preferences and price points.

Throughout its history, Albertsons Companies has pursued growth via mergers and partnerships.