Analysts Set Expectations for CAVA Group FY2026 Earnings

Key Points

• William Blair analysts have raised their FY2026 earnings forecast for CAVA Group from $0.63 to $0.64 per share, surpassing the current consensus estimate of $0.50 per share.
• In a recent earnings report, CAVA Group achieved $0.16 earnings per share, exceeding analysts' expectations of $0.13, while experiencing a 20.2% year-over-year revenue growth, totaling $280.62 million.
• Multiple brokerages have updated their price targets for CAVA, with a consensus rating of "Moderate Buy" and an average target price of $100.44, despite some analysts reducing their targets significantly.

CAVA Group, Inc. (NYSE:CAVA - Free Report) - Equities research analysts at William Blair upped their FY2026 earnings estimates for shares of CAVA Group in a research report issued to clients and investors on Wednesday, August 13th. William Blair analyst S. Zackfia now anticipates that the company will post earnings of $0.64 per share for the year, up from their prior forecast of $0.63. The consensus estimate for CAVA Group's current full-year earnings is $0.50 per share.

CAVA Group (NYSE:CAVA - Get Free Report) last announced its quarterly earnings data on Tuesday, August 12th. The company reported $0.16 earnings per share for the quarter, topping analysts' consensus estimates of $0.13 by $0.03. CAVA Group had a net margin of 12.98% and a return on equity of 9.83%. The company had revenue of $280.62 million during the quarter, compared to analyst estimates of $285.65 million. During the same period in the previous year, the business earned $0.17 EPS. The firm's revenue for the quarter was up 20.2% on a year-over-year basis.

A number of other brokerages have also commented on CAVA. Morgan Stanley reduced their price target on shares of CAVA Group from $107.00 to $97.00 and set an "equal weight" rating for the company in a research note on Wednesday. Stifel Nicolaus reduced their price target on shares of CAVA Group from $175.00 to $125.00 and set a "buy" rating for the company in a research note on Wednesday, June 18th. TD Securities reiterated a "buy" rating and issued a $120.00 price target on shares of CAVA Group in a research note on Friday, May 16th. Melius assumed coverage on shares of CAVA Group in a research note on Monday, July 14th. They issued a "hold" rating and a $95.00 price target for the company. Finally, UBS Group reduced their price target on shares of CAVA Group from $96.00 to $75.00 and set a "neutral" rating for the company in a research note on Wednesday. One investment analyst has rated the stock with a sell rating, seven have issued a hold rating and twelve have given a buy rating to the company's stock. According to data from MarketBeat, CAVA Group has a consensus rating of "Moderate Buy" and an average target price of $100.44.

CAVA Group Stock Performance

Shares of CAVA stock traded up $0.42 during trading hours on Friday, reaching $69.35. The company had a trading volume of 1,326,685 shares, compared to its average volume of 3,836,993. The business has a fifty day moving average price of $83.04 and a 200-day moving average price of $91.77. CAVA Group has a one year low of $65.70 and a one year high of $172.43. The firm has a market cap of $8.02 billion, a PE ratio of 58.17, a price-to-earnings-growth ratio of 3.58 and a beta of 2.65.

Insiders Place Their Bets

In other CAVA Group news, insider Jennifer Somers sold 2,861 shares of the company's stock in a transaction that occurred on Monday, June 16th. The shares were sold at an average price of $75.16, for a total value of $215,032.76. Following the completion of the transaction, the insider directly owned 137,048 shares in the company, valued at $10,300,527.68. This represents a 2.04% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CEO Brett Schulman sold 31,856 shares of the company's stock in a transaction that occurred on Monday, June 16th. The stock was sold at an average price of $75.16, for a total transaction of $2,394,296.96. Following the completion of the transaction, the chief executive officer owned 792,318 shares of the company's stock, valued at approximately $59,550,620.88. The trade was a 3.87% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders sold 58,603 shares of company stock valued at $4,522,089. Insiders own 6.80% of the company's stock.

Hedge Funds Weigh In On CAVA Group

A number of hedge funds have recently modified their holdings of the company. First Horizon Advisors Inc. lifted its holdings in shares of CAVA Group by 1,400.0% in the first quarter. First Horizon Advisors Inc. now owns 285 shares of the company's stock worth $25,000 after buying an additional 266 shares in the last quarter. Vision Financial Markets LLC purchased a new position in shares of CAVA Group in the first quarter worth $26,000. Dagco Inc. purchased a new position in shares of CAVA Group in the first quarter worth $27,000. Versant Capital Management Inc purchased a new position in shares of CAVA Group in the first quarter worth $31,000. Finally, Atlantic Union Bankshares Corp purchased a new position in shares of CAVA Group in the second quarter worth $31,000. 73.15% of the stock is currently owned by institutional investors.

CAVA Group Company Profile

CAVA Group, Inc owns and operates a chain of restaurants under the CAVA brand in the United States. The company also offers dips, spreads, and dressings through grocery stores. In addition, the company provides online and mobile ordering platforms. Cava Group, Inc was founded in 2006 and is headquartered in Washington, the District of Columbia.

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