Sweetgreen shares surge 10.71% after-hours as CEO buys $1 million in stock, signaling confidence amid weak Q3 results.

Sweetgreen Inc. surged 10.71% in after-hours trading, driven by CEO Jonathan Neman’s $1 million insider purchase of 179,800 shares at an average price of $5.56, signaling confidence in the stock after its 83% year-to-date decline. Concurrently, Citi analyst Jon Tower highlighted the potential for a short-covering rally as the government reopened, with weak expectations and improving sales data post-shutdown fueling optimism. These factors, combined with the strategic sale of Spyce and cost-cutting measures, likely catalyzed the rebound. The stock’s sharp rise contrasts with its Q3 earnings miss and broader challenges, but the CEO’s investment and short squeeze dynamics underscored immediate bullish sentiment.