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Telsey downgrades Grove Collaborative on longer turnaround

Telsey Advisory analyst Dana Telsey downgraded Grove Collaborative (GROV) to Market Perform from Outperform with a price target of $1.20, down from $2. The firm says that after a challenging fiscal 2024, Grove’s struggles continued into 2025 with Q1 revenue, gross margin, and adjusted EBITDA coming in well below expectations. The analyst cites the company’s longer than anticipated turnaround, continued steep declines in orders and active customers, and an increasingly uncertain macro operating environment for the downgrade.

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