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Here's Why Cava Group (CAVA) Fell More Than Broader Market
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Cava Group (CAVA - Free Report) closed the most recent trading day at $81.44, moving -1.25% from the previous trading session. This change lagged the S&P 500's 0.5% loss on the day. Meanwhile, the Dow experienced a rise of 0.5%, and the technology-dominated Nasdaq saw a decrease of 1.28%.
Coming into today, shares of the Mediterranean restaurant chain had lost 13.44% in the past month. In that same time, the Retail-Wholesale sector lost 1.37%, while the S&P 500 gained 0.1%.
Analysts and investors alike will be keeping a close eye on the performance of Cava Group in its upcoming earnings disclosure. The company is forecasted to report an EPS of $0.12, showcasing a 42.86% downward movement from the corresponding quarter of the prior year. Meanwhile, the latest consensus estimate predicts the revenue to be $220.63 million, indicating a 27.61% increase compared to the same quarter of the previous year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $0.34 per share and revenue of $905.54 million, which would represent changes of +61.9% and +24.27%, respectively, from the prior year.
Investors should also take note of any recent adjustments to analyst estimates for Cava Group. These revisions typically reflect the latest short-term business trends, which can change frequently. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.42% higher. As of now, Cava Group holds a Zacks Rank of #3 (Hold).
With respect to valuation, Cava Group is currently being traded at a Forward P/E ratio of 239.54. This represents a premium compared to its industry's average Forward P/E of 19.49.
The Retail - Restaurants industry is part of the Retail-Wholesale sector. At present, this industry carries a Zacks Industry Rank of 173, placing it within the bottom 32% of over 250 industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Here's Why Cava Group (CAVA) Fell More Than Broader Market
Cava Group (CAVA - Free Report) closed the most recent trading day at $81.44, moving -1.25% from the previous trading session. This change lagged the S&P 500's 0.5% loss on the day. Meanwhile, the Dow experienced a rise of 0.5%, and the technology-dominated Nasdaq saw a decrease of 1.28%.
Coming into today, shares of the Mediterranean restaurant chain had lost 13.44% in the past month. In that same time, the Retail-Wholesale sector lost 1.37%, while the S&P 500 gained 0.1%.
Analysts and investors alike will be keeping a close eye on the performance of Cava Group in its upcoming earnings disclosure. The company is forecasted to report an EPS of $0.12, showcasing a 42.86% downward movement from the corresponding quarter of the prior year. Meanwhile, the latest consensus estimate predicts the revenue to be $220.63 million, indicating a 27.61% increase compared to the same quarter of the previous year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $0.34 per share and revenue of $905.54 million, which would represent changes of +61.9% and +24.27%, respectively, from the prior year.
Investors should also take note of any recent adjustments to analyst estimates for Cava Group. These revisions typically reflect the latest short-term business trends, which can change frequently. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.42% higher. As of now, Cava Group holds a Zacks Rank of #3 (Hold).
With respect to valuation, Cava Group is currently being traded at a Forward P/E ratio of 239.54. This represents a premium compared to its industry's average Forward P/E of 19.49.
The Retail - Restaurants industry is part of the Retail-Wholesale sector. At present, this industry carries a Zacks Industry Rank of 173, placing it within the bottom 32% of over 250 industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.