Sweetgreen Tumbles, UnderArmour Drops, Doximity Soars as Outlook Spurs AI Enthusiasm

On this episode of Stock Movers:

-Sweetgreen (SG) shares tumble. Sweetgreen Inc. cut its annual outlook due to reduced consumer demand for fresh prepared foods during the cyclospora outbreak. The company now expects full-year sales at established restaurants to plummet as much as 8% this year, and its shares tumbled as much as 12% in New York trading on Friday. Sweetgreen has been trying to win over diners with cheaper options, including wraps, and has also reduced the number of restaurant openings, but sales at established locations fell 6.2% in the second quarter.

-UnderArmour (UAA) shares drop. Under Armour Inc. forecast a sharper revenue decline than previously expected as demand softens in several key regions. The athletic retailer now expects sales to fall by a mid-single digit percentage rate for the year. The revised forecast calls for declines in North America, Asia-Pacific, and Europe and the Middle East as the company grapples with a “challenging consumer demand environment,” Chief Executive Officer Kevin Plank said in a statement Friday. 

-Doximity (Docs) shares surge as much as 229% in premarket trading after the healthcare software company raised its revenue forecast for fiscal 2027, and posted sales for the fiscal first quarter that was ahead of expectations. Analysts see the guidance boost as an encouraging sign of the company’s AI investments.

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