CAVA Group (NYSE:CAVA) Coverage Initiated at The Goldman Sachs Group

Key Points

• CAVA Group has been upgraded to a "hold" rating by The Goldman Sachs Group, indicating a cautious outlook for the stock.
• The stock's price objective has been significantly adjusted by several analysts, including Barclays which reduced their target from $91.00 to $74.00.
• CAVA Group reported strong quarterly earnings with a net revenue increase of 20.2% year-over-year, despite slightly missing revenue expectations.

Investment analysts at The Goldman Sachs Group began coverage on shares of CAVA Group (NYSE:CAVA - Get Free Report) in a research note issued to investors on Monday, MarketBeat.com reports. The brokerage set a "hold" rating and a $74.00 price target on the stock. The Goldman Sachs Group's price target suggests a potential upside of 12.93% from the stock's current price.

A number of other research analysts have also weighed in on CAVA. Cfra Research upgraded CAVA Group to a "strong-buy" rating in a report on Thursday, August 14th. UBS Group reduced their price target on CAVA Group from $96.00 to $75.00 and set a "neutral" rating on the stock in a report on Wednesday, August 13th. KeyCorp reduced their price target on CAVA Group from $100.00 to $85.00 and set an "overweight" rating on the stock in a report on Wednesday, August 13th. Wall Street Zen lowered CAVA Group from a "hold" rating to a "sell" rating in a report on Friday, June 27th. Finally, Melius started coverage on CAVA Group in a report on Monday, July 14th. They set a "hold" rating and a $95.00 price target on the stock. One investment analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating and nine have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, CAVA Group currently has an average rating of "Moderate Buy" and an average price target of $94.26.

CAVA Group Price Performance

Shares of NYSE:CAVA opened at $65.53 on Monday. CAVA Group has a 1 year low of $58.33 and a 1 year high of $172.43. The firm has a market capitalization of $7.60 billion, a price-to-earnings ratio of 55.06, a price-to-earnings-growth ratio of 3.19 and a beta of 2.50. The business's 50 day moving average price is $64.96 and its 200-day moving average price is $78.65.

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, beating analysts' consensus estimates of $0.13 by $0.03. The company had revenue of $280.62 million for the quarter, compared to analyst estimates of $285.65 million. CAVA Group had a return on equity of 9.83% and a net margin of 12.98%.The firm's revenue for the quarter was up 20.2% on a year-over-year basis. During the same quarter last year, the firm posted $0.17 EPS. On average, sell-side analysts expect that CAVA Group will post 0.5 earnings per share for the current year.

Institutional Trading of CAVA Group

A number of hedge funds and other institutional investors have recently modified their holdings of CAVA. First Horizon Advisors Inc. increased its position in shares of CAVA Group by 1,400.0% during the 1st quarter. First Horizon Advisors Inc. now owns 285 shares of the company's stock worth $25,000 after purchasing an additional 266 shares during the last quarter. Vision Financial Markets LLC acquired a new stake in shares of CAVA Group during the 1st quarter worth about $26,000. Dagco Inc. acquired a new stake in shares of CAVA Group during the 1st quarter worth about $27,000. Atlantic Union Bankshares Corp acquired a new stake in shares of CAVA Group during the 2nd quarter worth about $31,000. Finally, Toth Financial Advisory Corp increased its position in shares of CAVA Group by 656.7% during the 3rd quarter. Toth Financial Advisory Corp now owns 507 shares of the company's stock worth $31,000 after purchasing an additional 440 shares during the last quarter. 73.15% of the stock is owned by institutional investors and hedge funds.

About CAVA Group

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.