Traeger (COOK) Stock Forecast & Price Target

Traeger Inc. experienced a total sales increase of 2.7% to $125.4 million, underpinned by a notable growth in consumables, which rose by 12.3% largely driven by the increased sales of wood pellets. During the critical summer season, retail unit sales demonstrated a year-over-year increase, reflecting positive consumer response to seasonal promotions and activations. Additionally, despite a rise in inventory levels primarily due to tariffs and a strategic shift to domestic sourcing, North American sales still achieved a growth of 2.1%, indicating resilience in the company's core market.

Traeger Inc.'s performance in the second quarter of 2025 indicated a significant sales decrease of 13.6%, contributing to a negative outlook as the company now anticipates an adjusted EBITDA decline both slightly in the third quarter and significantly throughout 2025. The latest guidance projected a sales decline of 8%-11%, with overall revenues expected to fall between $540 million and $555 million, driven primarily by decreasing consumer demand for higher-priced discretionary products amid elevated prices. Additionally, the anticipated EBITDA margin contraction of approximately 100 basis points to 12.6% further substantiates concerns regarding the company's financial health and market position going forward.