Wall Street Zen Downgrades CAVA Group (NYSE:CAVA) to Sell

CAVA Group (NYSE:CAVA) was downgraded by Wall Street Zen from a “hold” rating to a “sell” rating in a report released on Saturday.

Several other analysts also recently commented on the stock. TD Cowen upped their price objective on shares of CAVA Group from $90.00 to $100.00 and gave the company a “buy” rating in a report on Thursday, April 2nd. BNP Paribas Exane initiated coverage on shares of CAVA Group in a report on Monday, March 30th. They issued a “neutral” rating and a $91.00 price objective on the stock. JPMorgan Chase & Co. upped their price objective on shares of CAVA Group from $80.00 to $90.00 and gave the company an “overweight” rating in a report on Friday. Guggenheim initiated coverage on shares of CAVA Group in a report on Thursday, March 26th. They issued a “buy” rating and a $100.00 price objective on the stock. Finally, UBS Group upped their price objective on shares of CAVA Group from $69.00 to $75.00 and gave the company a “neutral” rating in a report on Wednesday, February 25th. One analyst has rated the stock with a Strong Buy rating, sixteen have given a Buy rating, eleven have issued a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $88.70.

CAVA Group Trading Down 0.1%

NYSE CAVA opened at $95.56 on Friday. The company has a fifty day simple moving average of $82.20 and a two-hundred day simple moving average of $67.14. The stock has a market cap of $11.12 billion, a P/E ratio of 176.96, a P/E/G ratio of 7.92 and a beta of 2.03. CAVA Group has a 12-month low of $43.41 and a 12-month high of $101.50.

CAVA Group (NYSE:CAVA) last released its quarterly earnings data on Tuesday, February 24th. The company reported $0.04 EPS for the quarter, beating the consensus estimate of $0.03 by $0.01. The business had revenue of $274.99 million for the quarter, compared to the consensus estimate of $268.04 million. CAVA Group had a net margin of 5.40% and a return on equity of 8.43%. The business’s revenue for the quarter was up 20.9% on a year-over-year basis. During the same period in the prior year, the firm earned $0.05 EPS. As a group, sell-side analysts forecast that CAVA Group will post 0.51 earnings per share for the current year.

Insider Transactions at CAVA Group

In related news, CFO Tricia K. Tolivar sold 2,404 shares of the business’s stock in a transaction on Tuesday, January 27th. The shares were sold at an average price of $62.14, for a total value of $149,384.56. Following the completion of the transaction, the chief financial officer directly owned 231,934 shares in the company, valued at $14,412,378.76. The trade was a 1.03% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, insider Theodoros Xenohristos sold 1,039 shares of the business’s stock in a transaction on Tuesday, January 27th. The shares were sold at an average price of $62.14, for a total transaction of $64,563.46. Following the completion of the transaction, the insider owned 332,205 shares of the company’s stock, valued at approximately $20,643,218.70. This represents a 0.31% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders sold 11,460 shares of company stock worth $712,124. Insiders own 12.10% of the company’s stock.

Hedge Funds Weigh In On CAVA Group

Several large investors have recently made changes to their positions in CAVA. Bison Wealth LLC acquired a new position in shares of CAVA Group in the 4th quarter valued at $208,000. Goldman Sachs Group Inc. lifted its stake in shares of CAVA Group by 14.3% in the 1st quarter. Goldman Sachs Group Inc. now owns 606,780 shares of the company’s stock valued at $52,432,000 after purchasing an additional 75,828 shares during the period. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its stake in shares of CAVA Group by 17.3% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 236,622 shares of the company’s stock valued at $20,447,000 after purchasing an additional 34,860 shares during the period. Brown Advisory Inc. lifted its stake in shares of CAVA Group by 9.3% in the 2nd quarter. Brown Advisory Inc. now owns 2,979 shares of the company’s stock valued at $251,000 after purchasing an additional 253 shares during the period. Finally, Cresset Asset Management LLC lifted its stake in shares of CAVA Group by 20.3% in the 2nd quarter. Cresset Asset Management LLC now owns 9,165 shares of the company’s stock valued at $772,000 after purchasing an additional 1,549 shares during the period. 73.15% of the stock is currently owned by institutional investors and hedge funds.

CAVA Group News Summary

Here are the key news stories impacting CAVA Group this week:

• Positive Sentiment: Northcoast Research upgraded CAVA, signaling improved analyst conviction around the company’s growth trajectory and supporting near-term buying interest. Read More.
• Positive Sentiment: Morgan Stanley published a bullish forecast calling for strong price appreciation, which can attract momentum investors and institutional flows. Read More.
• Positive Sentiment: Roth Capital said the recent rally is likely to extend, reinforcing the narrative of continued upside and helping sustain buying pressure. Read More.
• Positive Sentiment: Zacks highlighted CAVA as one of several restaurant stocks with strong earnings surprise potential—citations point to demand, pricing power, digital growth and expansion as drivers despite margin pressures. Read More. | Read More.
• Positive Sentiment: CAVA announced a board refresh and launched a salmon menu item—corporate governance changes plus menu innovation support execution and top-line diversification. Read More.
• Neutral Sentiment: Coverage and commentary about CAVA’s valuation and its impact on broader NYSE buzz are keeping the name in market conversations; this drives attention but is mixed for valuation-sensitive investors. Read More.
• Neutral Sentiment: Morning quote pages and general market commentary (e.g., Fox Business quote) are circulating, providing liquidity and visibility but no new fundamental catalysts. Read More.
• Negative Sentiment: JPMorgan raised its price target to $90 and kept an “overweight” rating, but the new target sits below the current market price (implying potential downside from here), which may give some investors pause despite the upgrade. Read More. | Read More.

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.