CAVA Group (CAVA) & The Competition Financial Analysis

CAVA Group (NYSE:CAVA) is one of 76 public companies in the “Eating places” industry, but how does it compare to its peers? We will compare CAVA Group to related companies based on the strength of its profitability, valuation, analyst recommendations, dividends, earnings, institutional ownership and risk.

Earnings and Valuation

This table compares CAVA Group and its peers top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
CAVA Group	$728.70 million	$13.28 million	223.86
CAVA Group Competitors	$2.16 billion	$248.48 million	26.40

CAVA Group’s peers have higher revenue and earnings than CAVA Group. CAVA Group is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Insider & Institutional Ownership

73.2% of CAVA Group shares are owned by institutional investors. Comparatively, 64.9% of shares of all “Eating places” companies are owned by institutional investors. 16.0% of shares of all “Eating places” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Profitability

This table compares CAVA Group and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CAVA Group	3.75%	5.18%	2.98%
CAVA Group Competitors	-9.01%	-451.74%	-5.28%

Analyst Recommendations

This is a summary of recent ratings and price targets for CAVA Group and its peers, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CAVA Group	0	6	8	0	2.57
CAVA Group Competitors	556	4845	6350	325	2.53

CAVA Group presently has a consensus target price of $81.50, indicating a potential downside of 11.20%. As a group, “Eating places” companies have a potential upside of 15.85%. Given CAVA Group’s peers higher probable upside, analysts plainly believe CAVA Group has less favorable growth aspects than its peers.

Summary

CAVA Group beats its peers on 7 of the 12 factors compared.

CAVA Group Company Profile

CAVA Group, Inc. owns and operates a chain of restaurants under the CAVA brand in the United States. The company also offers dips, spreads, and dressings through grocery stores. In addition, the company provides online and mobile ordering platforms. Cava Group, Inc. was founded in 2006 and is headquartered in Washington, the District of Columbia.