TD Cowen Forecasts Strong Price Appreciation for CAVA Group (NYSE:CAVA) Stock

CAVA Group (NYSE:CAVA) had its target price hoisted by stock analysts at TD Cowen from $90.00 to $100.00 in a report released on Thursday,Benzinga reports. The brokerage presently has a “buy” rating on the stock. TD Cowen’s target price would suggest a potential upside of 25.77% from the stock’s current price.

Several other equities analysts also recently commented on the company. Johnson Rice set a $72.00 target price on CAVA Group in a research report on Monday, January 5th. Argus restated a “hold” rating on shares of CAVA Group in a report on Friday, February 27th. Weiss Ratings reaffirmed a “hold (c)” rating on shares of CAVA Group in a research note on Wednesday, January 21st. DA Davidson started coverage on shares of CAVA Group in a report on Friday, March 6th. They issued a “neutral” rating and a $80.00 price objective for the company. Finally, Wolfe Research started coverage on shares of CAVA Group in a report on Monday, March 9th. They set an “outperform” rating and a $93.00 target price on the stock. Two investment analysts have rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating and eleven have given a Hold rating to the stock. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $85.92.

CAVA Group Stock Performance

NYSE CAVA opened at $79.51 on Thursday. The firm’s fifty day moving average price is $74.59 and its two-hundred day moving average price is $64.27. The stock has a market cap of $9.25 billion, a PE ratio of 147.25, a PEG ratio of 6.79 and a beta of 2.03. CAVA Group has a fifty-two week low of $43.41 and a fifty-two week high of $101.50.

CAVA Group (NYSE:CAVA) last announced its quarterly earnings results on Tuesday, February 24th. The company reported $0.04 EPS for the quarter, beating analysts’ consensus estimates of $0.03 by $0.01. CAVA Group had a return on equity of 8.43% and a net margin of 5.40%.The company had revenue of $274.99 million during the quarter, compared to analysts’ expectations of $268.04 million. During the same period in the prior year, the company earned $0.05 EPS. CAVA Group’s revenue was up 20.9% compared to the same quarter last year. As a group, sell-side analysts predict that CAVA Group will post 0.5 earnings per share for the current fiscal year.

Insider Activity

In other news, insider Kelly Costanza sold 1,707 shares of the firm’s stock in a transaction dated Tuesday, January 27th. The stock was sold at an average price of $62.14, for a total transaction of $106,072.98. Following the completion of the transaction, the insider directly owned 119,139 shares in the company, valued at $7,403,297.46. This trade represents a 1.41% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO Brett Schulman sold 21,650 shares of CAVA Group stock in a transaction that occurred on Wednesday, January 21st. The stock was sold at an average price of $67.41, for a total value of $1,459,426.50. Following the completion of the transaction, the chief executive officer directly owned 807,325 shares in the company, valued at approximately $54,421,778.25. This represents a 2.61% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders sold 39,055 shares of company stock worth $2,572,303. 6.80% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in CAVA. Cornerstone Planning Group LLC boosted its stake in shares of CAVA Group by 378.7% in the 3rd quarter. Cornerstone Planning Group LLC now owns 450 shares of the company’s stock valued at $27,000 after purchasing an additional 356 shares during the last quarter. Los Angeles Capital Management LLC bought a new position in CAVA Group during the fourth quarter worth $25,000. Toth Financial Advisory Corp lifted its holdings in CAVA Group by 656.7% in the third quarter. Toth Financial Advisory Corp now owns 507 shares of the company’s stock valued at $31,000 after buying an additional 440 shares during the period. Harbor Investment Advisory LLC boosted its position in CAVA Group by 347.8% during the fourth quarter. Harbor Investment Advisory LLC now owns 515 shares of the company’s stock valued at $30,000 after acquiring an additional 400 shares during the last quarter. Finally, Western Pacific Wealth Management LP bought a new stake in CAVA Group during the third quarter valued at $33,000. Institutional investors own 73.15% of the company’s stock.

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.