Sweetgreen Inc (SG) Price

Market Movers: Archer Aviation Declines on Share Sale, Wynn Resorts Gains on Macau Strength, Sweetgreen Falters on Weak Demand

## Technology and Leisure Sectors See Divergent Performances Amid Key Corporate Announcements U.S. equities experienced a day of mixed sentiment driven by company-specific catalysts. **Archer Aviation Inc. (ACHR)** saw a significant decline in its share price following a major equity offering and a strategic acquisition. In contrast, **Wynn Resorts Limited (WYNN)** displayed operational strength, particularly in its Macau operations, despite falling short of earnings per share estimates. Meanwhile, **Sweetgreen, Inc. (SG)** faced downward pressure after reporting disappointing third-quarter financial results and adjusting its full-year outlook. ## Archer Aviation's Strategic Moves Met with Investor Skepticism **Archer Aviation Inc. (ACHR)** witnessed its stock decline by 13.9% in Friday premarket trading. The downturn occurred after the company announced a **$650 million new equity capital raise** through a share offering, concurrently revealing the **acquisition of Hawthorne Airport in Los Angeles for $126 million**. While Archer positioned the airport as a crucial operational hub for its future Los Angeles air taxi network and a testbed for **AI-powered aviation technologies**, investors appeared concerned over the financial implications. The substantial capital injection boosted Archer's total liquidity to over **$2 billion**. However, the share sale led to significant dilution, with the number of outstanding shares increasing from 397.5 million to approximately **660.9 million year-over-year**, representing a 66% rise. This dilution, coupled with ongoing cash burn, overshadowed the company's third-quarter financial results, which included a **GAAP net loss of $129.9 million** and an adjusted **EBITDA loss of $116.1 million**. For the fourth quarter, Archer anticipates an adjusted EBITDA loss ranging between **$110 million and $140 million**. Despite the negative market reaction, Archer highlighted operational progress, including a successful 55-mile, 31-minute flight of its Midnight aircraft at speeds exceeding 126 mph. The company also expanded its intellectual property portfolio through the acquisition of **Lilium's patent portfolio for €18 million**, bringing its global patent count to over 1,000. ## Wynn Resorts Demonstrates Strength in Macau Operations **Wynn Resorts Limited (WYNN)** released its third-quarter 2025 earnings presentation on November 6, revealing operational strength that partially offset an earnings per share (EPS) miss. The luxury casino operator reported **revenue of $1.83 billion**, surpassing analyst forecasts of $1.77 billion. However, **EPS came in at $0.86**, falling 26.5% short of the expected $1.17, leading to a 2.12% dip in aftermarket trading. The company's Macau segment emerged as a significant contributor, generating **$308 million in adjusted property EBITDAR** on $1 billion in revenue, a notable improvement from $263 million in the same quarter last year. **Wynn Las Vegas** maintained its premium market position with an average daily rate (ADR) of **$505**, an increase of 2.0% year-over-year, and contributed **$203 million in adjusted property EBITDAR**. Wynn maintains a robust financial position with **$1.7 billion in domestic liquidity** and **$2.8 billion in Macau**. The company has also demonstrated a commitment to shareholder returns, distributing approximately **$1.4 billion since 2022**, including $1.1 billion in share repurchases and $275 million in dividends. ## Sweetgreen Faces Headwinds from Weak Consumer Spending and Missed Estimates **Sweetgreen, Inc. (SG)** experienced a decline in its stock price after reporting worse-than-expected third-quarter financial results and subsequently cutting its full-year 2025 sales guidance. The company reported a **quarterly loss of $0.31 per share**, missing the analyst consensus estimate of a $0.18 loss per share. Quarterly sales reached **$172.4 million**, falling short of the $179.62 million analyst estimate. Following these results, Sweetgreen revised its FY2025 sales guidance downwards from a previous range of $700 million-$715 million to **$682 million-$688 million**. The company also reported a negative **Same-Store Sales Change of 9.5%**, primarily driven by an 11.7% decrease in traffic, partially offset by menu price increases. The **loss from operations margin** widened to (21.0)%, and the **Restaurant-Level Profit Margin** decreased by approximately 700 basis points year-over-year to 13.1%. A key factor contributing to these results, as highlighted by Sweetgreen, was **weakness in demand from its younger diners**, specifically those aged 25 to 35. This trend echoes similar observations from other fast-casual chains like **Chipotle Mexican Grill (CMG)** and **Cava Group, Inc. (CAVA)**, indicating a broader pressure on consumer spending within this demographic. ## Analyst Perspectives and Broader Market Implications The market's reaction to **Archer Aviation's** announcements underscores investor sensitivity to share dilution and the significant capital outlays required for developing nascent technologies like eVTOL aircraft. Needham analyst Chris Pierce, while maintaining a 'Buy' rating on Archer, adjusted his price target downwards to **$10 from $13**, reflecting revised expectations. **Wynn Resorts'** performance, particularly its strong showing in Macau, provides a case study in geographical market resilience. The company's focus on high-income consumers in key luxury markets appears to be a mitigating factor against broader economic uncertainties. The planned **Wynn Al Marjan Island project** in the UAE is anticipated to further diversify its EBITDAR base. For **Sweetgreen**, the challenges faced with **Gen Z** consumer spending highlight a potential shift in discretionary income or consumption patterns among younger demographics. Several analysts adjusted their price targets for Sweetgreen downwards. Piper Sandler lowered its price target to **$9 from $12**, Wells Fargo to **$10 from $13**, and RBC Capital to **$7 from $13**, reflecting concerns about the company's near-term growth trajectory and profitability. ## Looking Ahead For **Archer Aviation**, the focus will shift to the execution of its operational plans for Hawthorne Airport and the commercialization of its air taxi network, with revenue recognition anticipated in the first quarter of 2026. Continued progress in flight testing and strategic partnerships will be crucial for investor confidence. **Wynn Resorts** is positioned to benefit from the continued recovery of the Macau market and the strategic expansion into new luxury destinations. Monitoring the progress of the Wynn Al Marjan Island project and its impact on the company's revenue diversification will be key. **Sweetgreen** will need to address the observed weakness in demand from younger diners. This may necessitate strategic adjustments to its menu, pricing, or marketing efforts to re-engage this critical demographic and restore growth momentum. Investors will closely watch for signs of improved traffic and sales performance in upcoming quarters, as well as the impact of new restaurant openings, particularly those featuring the 'Infinite Kitchen' concept.