What Does the Street Think About Albertsons Companies (ACI)?

Albertsons Companies, Inc. (NYSE:ACI) is one of the best natural and organic food stocks to buy now. Albertsons Companies, Inc. (NYSE:ACI) provided an update on the developments in its AI strategy on February 12, announcing its participation in the OpenAI Ad Pilot Program, which marks an early test to explore the ways new ad formats in ChatGPT can create a more efficient, relevant, and personalized advertising experience for customers. Management reported that Albertsons Companies, Inc. (NYSE:ACI), as a pilot partner, would help explore how helpful and relevant ads unlock value for brands and users in conversational experiences.

Jennifer Saenz, Chief Commercial Officer at Albertsons Companies, Inc. (NYSE:ACI), stated that joining the OpenAI Ad Pilot Program offers the company a “unique opportunity” to explore innovative ways to connect consumers with the right Albertsons Companies products at the right time through a thoughtful integration into the digital experiences.

In a separate development, Guggenheim reiterated a Hold rating on Albertsons Companies, Inc. (NYSE:ACI) on January 23. The stock also received a rating update from Morgan Stanley on January 15, with the firm downgrading Albertsons Companies, Inc. (NYSE:ACI) to Underweight from Equal Weight while bringing the price target down to $14 from $20. The firm cited the company’s pharmacy pressure, market share loss, and disinflation for the rating downgrade, adding that an intensification in “grocery wars” can be observed with increasing e-commerce partnerships, price investments, and promotional activity.

Albertsons (NYSE:ACI) is a food and drug retailer in the US that operates retail stores selling natural and fresh grocery items, organic food, general merchandise, health and beauty care products, fuel, pharmacy, and other items and services through its brick-and-mortar stores and digital channels. The company operates under various banners, including Albertsons, Vons, Randalls, Carrs, Acme, Star Market, Market Street, Kings Food Markets, Haggen, and others.

While we acknowledge the potential of ACI as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.