Citigroup Cuts CAVA Group (NYSE:CAVA) Price Target to $79.00

Key Points

• Citigroup lowered CAVA Group’s price target from $92 to $79 while maintaining a “neutral” rating, implying roughly 22.6% upside from the previous close.
• Analysts overall remain positive, with CAVA carrying a “Moderate Buy” consensus rating and an average price target of $93.04.
• CAVA reported stronger-than-expected quarterly results, including $0.20 in earnings per share versus $0.17 expected and revenue of $438.27 million, up 32.1% year over year.

CAVA Group (NYSE:CAVA - Get Free Report) had its price target dropped by equities research analysts at Citigroup from $92.00 to $79.00 in a report released on Tuesday,Benzinga reports. The firm presently has a "neutral" rating on the stock. Citigroup's price target points to a potential upside of 22.58% from the stock's previous close.

A number of other research analysts have also issued reports on CAVA. Argus set a $92.00 target price on shares of CAVA Group in a research report on Friday, May 22nd. Barclays boosted their price target on CAVA Group from $70.00 to $74.00 and gave the company an "equal weight" rating in a research note on Wednesday, May 20th. Freedom Capital raised CAVA Group to a "hold" rating in a research report on Wednesday, July 1st. BMO Capital Markets set a $100.00 price objective on CAVA Group in a report on Wednesday, May 20th. Finally, The Goldman Sachs Group upped their target price on CAVA Group from $75.00 to $86.00 and gave the company a "neutral" rating in a research report on Monday, April 13th. One analyst has rated the stock with a Strong Buy rating, eighteen have assigned a Buy rating, eight have assigned a Hold rating and one has issued a Sell rating to the company's stock. According to MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $93.04.

CAVA Group Stock Up 3.9%

NYSE:CAVA opened at $64.45 on Tuesday. CAVA Group has a twelve month low of $43.41 and a twelve month high of $98.79. The business has a 50 day moving average price of $76.32 and a two-hundred day moving average price of $77.27. The company has a market cap of $7.51 billion, a P/E ratio of 123.94, a price-to-earnings-growth ratio of 4.27 and a beta of 1.69.

CAVA Group (NYSE:CAVA - Get Free Report) last posted its quarterly earnings results on Tuesday, May 19th. The company reported $0.20 earnings per share for the quarter, topping the consensus estimate of $0.17 by $0.03. CAVA Group had a return on equity of 7.92% and a net margin of 4.79%.The firm had revenue of $438.27 million for the quarter, compared to analyst estimates of $360.89 million. During the same quarter in the previous year, the firm earned $0.22 EPS. The business's quarterly revenue was up 32.1% on a year-over-year basis. As a group, analysts anticipate that CAVA Group will post 0.54 earnings per share for the current fiscal year.

Insider Activity at CAVA Group

In related news, CAO Adam David Phillips sold 757 shares of the firm's stock in a transaction that occurred on Monday, June 15th. The shares were sold at an average price of $89.43, for a total value of $67,698.51. Following the completion of the transaction, the chief accounting officer owned 6,848 shares in the company, valued at $612,416.64. This trade represents a 9.95% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Tricia K. Tolivar sold 4,969 shares of CAVA Group stock in a transaction that occurred on Monday, June 15th. The stock was sold at an average price of $89.43, for a total transaction of $444,377.67. Following the sale, the chief financial officer owned 234,931 shares in the company, valued at approximately $21,009,879.33. This represents a 2.07% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last 90 days, insiders sold 91,747 shares of company stock valued at $7,970,838. Corporate insiders own 6.70% of the company's stock.

Hedge Funds Weigh In On CAVA Group

Several institutional investors and hedge funds have recently added to or reduced their stakes in CAVA. FNY Investment Advisers LLC acquired a new position in shares of CAVA Group during the second quarter worth $31,000. Los Angeles Capital Management LLC acquired a new stake in CAVA Group in the fourth quarter valued at $25,000. TD Private Client Wealth LLC increased its holdings in CAVA Group by 118.2% in the fourth quarter. TD Private Client Wealth LLC now owns 600 shares of the company's stock valued at $35,000 after purchasing an additional 325 shares during the period. EverSource Wealth Advisors LLC raised its position in CAVA Group by 115.7% during the 4th quarter. EverSource Wealth Advisors LLC now owns 647 shares of the company's stock worth $38,000 after purchasing an additional 347 shares during the last quarter. Finally, Allworth Financial LP raised its position in CAVA Group by 57.4% during the 4th quarter. Allworth Financial LP now owns 650 shares of the company's stock worth $38,000 after purchasing an additional 237 shares during the last quarter. 73.15% of the stock is currently owned by institutional investors and hedge funds.

CAVA Group Company Profile

CAVA Group, Inc NYSE: CAVA is a leading fast-casual restaurant company specializing in Mediterranean-inspired cuisine. Operating under the CAVA brand, the company offers customizable bowls, pitas and salads built around a variety of proteins, grains, fresh vegetables and house-made spreads. With a focus on high-quality ingredients and made-to-order preparation, CAVA aims to deliver a casual yet elevated dining experience for dine-in, takeout and catering customers.

Founded in 2011 in the Washington, DC metro area by Ike Grigoropoulos, Dimitri Katsanis and Brett Schulman, CAVA has pursued an aggressive growth strategy that included the 2018 acquisition of Zoe's Kitchen.

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