Forecasting The Future: 10 Analyst Projections For Cava Group

In the last three months, 10 analysts have published ratings on Cava Group (NYSE:CAVA), offering a diverse range of perspectives from bullish to bearish.

The table below provides a snapshot of their recent ratings, showcasing how sentiments have evolved over the past 30 days and comparing them to the preceding months.

	Bullish	Somewhat Bullish	Indifferent	Somewhat Bearish	Bearish
Total Ratings	3	4	3	0	0
Last 30D	1	0	0	0	0
1M Ago	1	1	0	0	0
2M Ago	1	3	3	0	0
3M Ago	0	0	0	0	0

The 12-month price targets assessed by analysts reveal further insights, featuring an average target of $118.6, a high estimate of $150.00, and a low estimate of $100.00. A 14.19% drop is evident in the current average compared to the previous average price target of $138.22.

Deciphering Analyst Ratings: An In-Depth Analysis

The standing of Cava Group among financial experts is revealed through an in-depth exploration of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

| Analyst | Analyst Firm | Action Taken | Rating |Current Price Target| Prior Price Target | |--------------------|--------------------|---------------|---------------|--------------------|--------------------| |Andrew Charles |TD Securities |Lowers |Buy | $120.00|$130.00 | |David Tarantino |Baird |Lowers |Outperform | $105.00|$125.00 | |Sara Senatore |B of A Securities |Announces |Buy | $112.00|- | |John Ivankoe |JP Morgan |Maintains |Overweight | $110.00|$110.00 | |Brian Mullan |Piper Sandler |Lowers |Overweight | $115.00|$142.00 | |Alton Stump |Loop Capital |Lowers |Hold | $100.00|$147.00 | |Nick Setyan |Wedbush |Maintains |Outperform | $150.00|$150.00 | |Jeffrey Bernstein |Barclays |Lowers |Equal-Weight | $104.00|$127.00 | |Andrew Charles |TD Securities |Lowers |Buy | $130.00|$150.00 | |Jon Tower |Citigroup |Lowers |Neutral | $140.00|$163.00 |

Key Insights:

• Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to Cava Group. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Gaining insights, analysts provide qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of Cava Group compared to the broader market.
• Price Targets: Analysts predict movements in price targets, offering estimates for Cava Group's future value. Examining the current and prior targets offers insights into analysts' evolving expectations.

Considering these analyst evaluations in conjunction with other financial indicators can offer a comprehensive understanding of Cava Group's market position. Stay informed and make well-informed decisions with our Ratings Table.

Stay up to date on Cava Group analyst ratings.

Discovering Cava Group: A Closer Look

Cava Group Inc owns and operates a chain of restaurants. It is the category-defining Mediterranean fast-casual restaurant brand, bringing together healthful food and bold, satisfying flavors at scale. The company's dips, spreads, and dressings are centrally produced and sold in grocery stores. The company's operations are conducted as two reportable segments: CAVA and Zoes Kitchen. The company generates all of its revenue from the CAVA segment.

Key Indicators: Cava Group's Financial Health

Market Capitalization Analysis: Below industry benchmarks, the company's market capitalization reflects a smaller scale relative to peers. This could be attributed to factors such as growth expectations or operational capacity.

Revenue Growth: Cava Group displayed positive results in 3M. As of 31 December, 2024, the company achieved a solid revenue growth rate of approximately 28.35%. This indicates a notable increase in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Consumer Discretionary sector.

Net Margin: Cava Group's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 34.57%, the company showcases strong profitability and effective cost management.

Return on Equity (ROE): Cava Group's ROE lags behind industry averages, suggesting challenges in maximizing returns on equity capital. With an ROE of 11.98%, the company may face hurdles in achieving optimal financial performance.

Return on Assets (ROA): Cava Group's financial strength is reflected in its exceptional ROA, which exceeds industry averages. With a remarkable ROA of 6.99%, the company showcases efficient use of assets and strong financial health.

Debt Management: Cava Group's debt-to-equity ratio is below the industry average at 0.54, reflecting a lower dependency on debt financing and a more conservative financial approach.

The Basics of Analyst Ratings

Experts in banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their comprehensive research involves attending company conference calls and meetings, analyzing financial statements, and engaging with insiders to generate what are known as analyst ratings for stocks. Typically, analysts assess and rate each stock once per quarter.

Analysts may enhance their evaluations by incorporating forecasts for metrics like growth estimates, earnings, and revenue, delivering additional guidance to investors. It is vital to acknowledge that, although experts in stocks and sectors, analysts are human and express their opinions when providing insights.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.