Just caught Grocery Outlet's earnings report and it's a bit of a letdown. The company came in at $0.19 per share when analysts were looking for $0.21, so they missed on earnings. On the revenue side, they posted $1.22 billion versus the expected $1.23 billion - not a huge miss but still lagging estimates. The stock has been struggling too, down about 12% year-to-date while the market is basically flat.

What's interesting is that Grocery Outlet has been having trouble keeping up with expectations lately. They've only beaten earnings estimates three times in the last four quarters, and haven't beat revenue estimates at all in that span. The company sells discount and closeout products, so you'd think they'd be doing better in this environment.

Looking ahead, the outlook is pretty cautious. Analysts are expecting $0.13 per share next quarter with $1.2 billion in revenues. For the full year, they're looking at $0.86 per share on about $5 billion in sales. The bigger picture is that the consumer staples sector is actually performing well relative to other industries, but Grocery Outlet specifically seems to be lagging behind its peers and the broader market. Management's comments on the earnings call will probably be key to whether this stock can turn things around or if it continues to underperform.