Grocery Outlet’s (NASDAQ: GO) share price has gone nowhere but lower for more than two years, but the downtrend may be over. Insider activity reverted to buying from selling in Q4 2024 and ramped to a multi-year high in Q1 2025. Buyers, including the CFO and two directors, netted $2.2 million in shares for the group, bringing their stake to about 3.8%. Granted, the CFO's purchases are tied to his recent hiring, but the directors are long-standing board members who already had skin in the game.
Institutional activity is a more telling indicator of this stock price's long-term price direction. Institutions are also buying and providing a much stronger tailwind for the market. Institutions own more than 90% of the stock and tend to buy on balance. Recent activity includes selling in Q3 of 2024 but reverting to buying in Q4 and ramping up in Q1 of 2025. The Q1 2025 activity is a multiyear high that netted more than 4% of the market cap, with shares near mid-March lows.
