Albertsons Companies (ACI) Stock Forecast & Price Target

Albertsons Companies has demonstrated stable growth, with a year-over-year increase in net sales revenue of 2.08%, reaching $81.37 billion for the 12 months ending August 2025, and Q2 2026 revenue reflecting a similar growth trajectory at 2% to $18.92 billion. The company's strong performance is further evidenced by a 19% increase in pharmacy sales, buoyed by rising prescription volumes and effective integration of health services, highlighting its diverse revenue streams beyond traditional grocery sales. With projections indicating an overall sales revenue increase of 4.17% to $84.76 billion over the next twelve months, Albertsons is well-positioned to capitalize on its operational efficiencies and growing digital channel engagement.

Albertsons Companies has experienced a notable decline in its gross margin, decreasing 61 basis points to 27%, which can be attributed to a shift towards lower-margin segments, specifically pharmacy and digital fulfillment, alongside ongoing investments in core initiatives. Over the last twelve months, the company's Net Operating Profit After Tax (NOPAT) decreased by 3.53%, and Economic Operating Cash Flow (EBITDAR) fell by 2.33%, indicating challenges in maintaining profitability. Additionally, both Return on Capital (ROC) and Economic Profit (EP) have declined significantly, further highlighting erosion in financial performance, with ROC decreasing from 7.78% to 7.35% and EP dropping by 29.28%.