01:17 PM EDT, 05/07/2024 (MT Newswires) -- Sweetgreen's ( SG ) earnings are likely to experience an upward revision over the coming years with the company on track to achieve over $150 million in EBITDA in 2028 and "best-in-class growth thereafter," Oppenheimer said in a note emailed Tuesday.

The firm said the company has "compelling catalysts" for sales and margin improvements, particularly against market consensus estimates, as increased customer traffic, menu innovations, and enhanced marketing efforts drive revenue and profitability higher.

The note further said the company was "better insulated" from the recent volatility in low-income consumers and regulatory risk in California tied to the AB1228 law which set a minimum wage for employees working in the fast food sector.

Meanwhile, management's rollout of Infinite Kitchens could result in margin expansion of over 20%, the note estimated.

Oppenheimer maintained its Outperform rating on the stock with a price target of $34.

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