Sweetgreen stock is a ‘recipe for wallet ruin’

CNBC’s Jim Kramer warned investors on Tuesday not to invest in it sweet greensaying that the stock is unlikely to perform well in an inflationary environment.

“This is a bear market, not a bull market. … In a bear market, don’t stick your neck out for picking the hated stocks,” He said.

“Right now, Wall Street likes earnings, cash flow, and dividends. And Sweetgreen’s doesn’t get any of those things. You resist. [Federal Reserve] And the tape if you try to find this tape, this is a recipe for destroying the holster,mad moneyHost added.

Kramer didn’t mince words when explaining why he thought the company’s stock was not investable. He reminded viewers that the company’s expensive powers are unlikely to sell out in an inflationary environment.

He added that the possibility of a recession or the emergence of a new variant of Covid-19 also makes him wary of stocks.

“Sweetgreen is an unprofitable growth story. … I told you to avoid this stock when it went public. I told you again to avoid it in December, when it was trading at $33. Nothing happened in the past six months that made me change,” Kramer said.

Shares of Sweet Green fell 2.3 percent to $11.86 on Tuesday.

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