12:11 PM EDT, 05/10/2024 (MT Newswires) -- Sweetgreen ( SG ) outperformed in Q1 and lifted its 2024 revenue and EBITDA forecasts beyond consensus estimates, Oppenheimer said in a note emailed Friday.

Sweetgreen ( SG ) is an "early-stage generational growth story," equipped with a business model that is just beginning to undergo a significant revision cycle, Oppenheimer said.

"Our post-quarter analysis suggests the updated [2024] outlook remains attractively conservative," Oppenheimer said, adding that the economics of new units are starting to improve, with sales volumes exceeding those of comparable units.

Year-to-date same-store sales for Q2 are already exceeding 6%, beating the Wall Street's estimate for the full quarter, and Oppenheimer projects 5.5% same-store sales for Q2, and over 5% for the full year 2024.

At the same time, revised guidance now forecasts higher EBITDA and revenue, which suggests, "[Sweetgreen's ( SG )] outlook tilts conservatively considering the business momentum," Oppenheimer said.

Oppenheimer said it revised its estimates for the company upwards, reflecting better-than-expected performance and increased unit growth projections for 2025.

Oppenheimer reaffirmed its outperform rating on Sweetgreen ( SG ) with a price target of $34.

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