Wedbush Issues Negative Outlook for CAVA Group Earnings

CAVA Group, Inc. (NYSE:CAVA) – Equities researchers at Wedbush cut their Q1 2025 earnings per share (EPS) estimates for shares of CAVA Group in a research note issued to investors on Wednesday, February 26th. Wedbush analyst N. Setyan now forecasts that the company will post earnings of $0.13 per share for the quarter, down from their previous forecast of $0.17. Wedbush currently has a “Outperform” rating and a $150.00 target price on the stock. The consensus estimate for CAVA Group’s current full-year earnings is $0.50 per share. Wedbush also issued estimates for CAVA Group’s Q1 2026 earnings at $0.09 EPS, Q2 2026 earnings at $0.17 EPS, Q3 2026 earnings at $0.27 EPS and Q4 2026 earnings at $0.25 EPS.

CAVA Group (NYSE:CAVA) last issued its quarterly earnings data on Tuesday, February 25th. The company reported $0.05 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.06 by ($0.01). The business had revenue of $227.40 million for the quarter, compared to analyst estimates of $223.34 million. CAVA Group had a return on equity of 9.10% and a net margin of 5.88%.

Other analysts also recently issued reports about the company. Loop Capital cut their price objective on CAVA Group from $147.00 to $100.00 and set a “hold” rating for the company in a research report on Thursday. Stifel Nicolaus raised their price objective on CAVA Group from $118.00 to $175.00 and gave the stock a “buy” rating in a research report on Wednesday, November 13th. TD Securities cut their price objective on CAVA Group from $150.00 to $130.00 and set a “buy” rating for the company in a research report on Wednesday. Morgan Stanley lifted their target price on CAVA Group from $123.00 to $135.00 and gave the company an “equal weight” rating in a research report on Thursday, November 14th. Finally, Robert W. Baird lifted their target price on CAVA Group from $125.00 to $148.00 and gave the company an “outperform” rating in a research report on Monday, November 4th. Seven analysts have rated the stock with a hold rating and nine have assigned a buy rating to the company. According to data from MarketBeat.com, CAVA Group presently has an average rating of “Moderate Buy” and a consensus target price of $131.47.

CAVA Group Trading Up 5.4 %

Shares of NYSE:CAVA opened at $94.98 on Friday. The business has a 50-day moving average price of $120.73 and a 200 day moving average price of $125.57. The company has a market capitalization of $10.88 billion, a price-to-earnings ratio of 206.47 and a beta of 3.25. CAVA Group has a 12-month low of $56.03 and a 12-month high of $172.43.

Hedge Funds Weigh In On CAVA Group

A number of institutional investors and hedge funds have recently added to or reduced their stakes in CAVA. Arcadia Investment Management Corp MI acquired a new position in CAVA Group in the fourth quarter valued at approximately $25,000. Allworth Financial LP boosted its holdings in shares of CAVA Group by 369.2% in the fourth quarter. Allworth Financial LP now owns 244 shares of the company’s stock valued at $30,000 after acquiring an additional 192 shares during the period. Larson Financial Group LLC boosted its holdings in shares of CAVA Group by 274.0% in the fourth quarter. Larson Financial Group LLC now owns 273 shares of the company’s stock valued at $31,000 after acquiring an additional 200 shares during the period. Whittier Trust Co. boosted its holdings in shares of CAVA Group by 80.9% in the fourth quarter. Whittier Trust Co. now owns 284 shares of the company’s stock valued at $32,000 after acquiring an additional 127 shares during the period. Finally, Signaturefd LLC boosted its holdings in shares of CAVA Group by 884.4% in the fourth quarter. Signaturefd LLC now owns 315 shares of the company’s stock valued at $36,000 after acquiring an additional 283 shares during the period. 73.15% of the stock is owned by institutional investors and hedge funds.

Insider Transactions at CAVA Group

In related news, CEO Brett Schulman sold 2,936 shares of the company’s stock in a transaction that occurred on Monday, January 27th. The stock was sold at an average price of $124.39, for a total value of $365,209.04. Following the completion of the transaction, the chief executive officer now directly owns 773,433 shares of the company’s stock, valued at $96,207,330.87. This represents a 0.38 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CAO Adam David Phillips sold 615 shares of the company’s stock in a transaction that occurred on Monday, January 27th. The shares were sold at an average price of $124.39, for a total value of $76,499.85. Following the completion of the transaction, the chief accounting officer now directly owns 10,884 shares of the company’s stock, valued at $1,353,860.76. This trade represents a 5.35 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 651,784 shares of company stock valued at $96,522,922. 12.10% of the stock is currently owned by corporate insiders.

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.