Sweetgreen Inc. shares rose 4.8 percent in pre-market trading after Wells Fargo upgraded the casual salad chain to overweight from equal weight. Analyst Zachary Fadem cited improving operating fundamentals and faster restaurant throughput driven by the company's automated "Infinite Kitchen" format.
The technology reduces kitchen labor requirements and accelerates order fulfillment. Wells Fargo projects high-teens annual unit growth and cash-on-cash returns exceeding 40 percent on new restaurant openings.
Same-store sales are stabilizing after earlier estimate reductions reflected traffic softness across the fast-casual dining segment, according to the bank's analysis. This signals an inflection point for store-level economics.
Sweetgreen shares currently trade at $8.78, down 14 percent from its 52-week high of $10.21 in May 2026. Year-to-date, the stock has gained 26.7 percent.
