Back to top

Image: Bigstock

Cava Group (CAVA) Stock Moves -0.42%: What You Should Know

Read MoreHide Full Article

In the latest market close, Cava Group (CAVA - Free Report) reached $89.91, with a -0.42% movement compared to the previous day. Meanwhile, the Dow experienced a drop of 0.36%, and the technology-dominated Nasdaq saw an increase of 0.21%.

Shares of the Mediterranean restaurant chain witnessed a gain of 7.17% over the previous month, beating the performance of the Retail-Wholesale sector with its loss of 6.2% and the S&P 500's loss of 4.22%.

The investment community will be paying close attention to the earnings performance of Cava Group in its upcoming release. The company is slated to reveal its earnings on August 22, 2024. On that day, Cava Group is projected to report earnings of $0.12 per share, which would represent a year-over-year decline of 42.86%. At the same time, our most recent consensus estimate is projecting a revenue of $220.63 million, reflecting a 27.61% rise from the equivalent quarter last year.

For the annual period, the Zacks Consensus Estimates anticipate earnings of $0.34 per share and a revenue of $905.54 million, signifying shifts of +61.9% and +24.27%, respectively, from the last year.

Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Cava Group. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, there's been a 0.42% rise in the Zacks Consensus EPS estimate. As of now, Cava Group holds a Zacks Rank of #3 (Hold).

From a valuation perspective, Cava Group is currently exchanging hands at a Forward P/E ratio of 262.25. This represents a premium compared to its industry's average Forward P/E of 19.72.

The Retail - Restaurants industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 194, finds itself in the bottom 24% echelons of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


CAVA Group, Inc. (CAVA) - free report >>

Published in