TD Cowen Has Lowered Expectations for CAVA Group (NYSE:CAVA) Stock Price

CAVA Group (NYSE:CAVA) had its price target dropped by stock analysts at TD Cowen from $78.00 to $76.00 in a report released on Thursday, Benzinga reports. The brokerage currently has a “buy” rating on the stock. TD Cowen‘s price target suggests a potential upside of 28.99% from the company’s previous close.

Several other research analysts also recently commented on the company. Morgan Stanley raised CAVA Group from an “equal weight” rating to an “overweight” rating and increased their price objective for the company from $86.00 to $90.00 in a research note on Wednesday, July 15th. Melius Research upgraded CAVA Group from a “hold” rating to a “buy” rating and set a $95.00 price objective on the stock in a report on Thursday, October 8th. Royal Bank Of Canada lowered their target price on shares of CAVA Group from $95.00 to $85.00 and set an “outperform” rating on the stock in a research note on Thursday, September 17th. DA Davidson dropped their target price on shares of CAVA Group from $84.00 to $75.00 and set a “neutral” rating for the company in a report on Thursday, August 13th. Finally, KeyCorp reduced their target price on shares of CAVA Group from $95.00 to $80.00 and set an “overweight” rating for the company in a research report on Friday, October 23rd. One research analyst has rated the stock with a Strong Buy rating, seventeen have given a Buy rating and ten have assigned a Hold rating to the stock. According to data from MarketBeat.com, CAVA Group has an average rating of “Moderate Buy” and a consensus target price of $83.88.

CAVA Group Stock Down 1.8%

Shares of CAVA Group stock traded down $1.09 during mid-day trading on Thursday, reaching $58.92. 4,412,427 shares of the stock traded hands, compared to its average volume of 2,952,812. The business has a 50-day moving average of $55.73 and a 200 day moving average of $71.09. CAVA Group has a fifty-two week low of $43.41 and a fifty-two week high of $98.79. The stock has a market capitalization of $6.88 billion, a PE ratio of 109.11, a PEG ratio of 4.94 and a beta of 1.75.

CAVA Group (NYSE:CAVA) last released its earnings results on Wednesday, November 4th. The company reported $0.11 earnings per share for the quarter, missing the consensus estimate of $0.12 by ($0.01). The firm had revenue of $356.44 million during the quarter, compared to analysts’ expectations of $358.40 million. CAVA Group had a net margin of 4.82% and a return on equity of 8.28%. The business’s revenue was up 21.0% compared to the same quarter last year. During the same quarter last year, the business earned $0.12 EPS. On average, equities research analysts expect that CAVA Group will post 0.55 EPS for the current fiscal year.

CAVA Group declared that its board has authorized a share buyback program on Friday, September 18th that allows the company to buy back $100 million in shares. This repurchase authorization allows the company to repurchase up to 1.7% of its stock through open market purchases. Share repurchase programs are usually an indication that the company’s board believes its shares are undervalued.

Insider Buying and Selling at CAVA Group

In related news, insider Douglas Thompson purchased 6,500 shares of the company’s stock in a transaction dated Monday, August 31st. The stock was acquired at an average cost of $66.52 per share, for a total transaction of $432,380.00. Following the completion of the transaction, the insider directly owned 19,371 shares of the company’s stock, valued at approximately $1,288,558.92. This trade represents a 50.50% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link. 6.70% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On CAVA Group

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Trillium Asset Management LLC purchased a new position in CAVA Group during the second quarter worth approximately $3,279,000. Oppenheimer Asset Management Inc. purchased a new stake in CAVA Group in the 2nd quarter valued at $1,551,000. Prospect Financial Services LLC purchased a new stake in CAVA Group in the 2nd quarter valued at $1,348,000. Connor Clark & Lunn Investment Management Ltd. purchased a new stake in CAVA Group in the 2nd quarter valued at $6,833,000. Finally, Ameritas Advisory Services LLC purchased a new stake in CAVA Group in the 2nd quarter valued at $2,492,000. Institutional investors and hedge funds own 73.15% of the company’s stock.

Key CAVA Group News

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

• Positive Sentiment: CAVA raised its sales outlook after moving past the cyclospora-related headwind. It also reported 24 net new restaurant openings in the third quarter and projected 76–78 net openings and $184 million–$189 million in adjusted EBITDA for 2026. Sales guidance update 2026 outlook
• Neutral Sentiment: Several analysts cut price targets after the results, though some retained bullish ratings. Citigroup lowered its target to $65 and BNP Paribas Exane to $62, both with neutral ratings; Bernstein, KeyCorp and TD Cowen also reduced targets but maintained positive ratings. Citigroup rating BNP Paribas Exane rating
• Negative Sentiment: Third-quarter EPS of $0.11 missed the $0.12 consensus, and revenue of $356.4 million came in below the $358.4 million estimate, despite growing 21% year over year. Reports also flagged margin and traffic slippage; shares slid 11% following the results. Earnings results Margin and traffic concerns Share decline after results

CAVA Group Company Profile

CAVA Group, Inc operates CAVA, a fast-casual restaurant brand serving Mediterranean-inspired food in the United States. Its menu includes customizable bowls and pitas, salads, dips, spreads, grilled proteins, and other Mediterranean dishes, with options designed to accommodate a range of dietary preferences.

The company’s restaurants generally use an assembly-line format that allows customers to build meals from a selection of ingredients and sauces. CAVA also offers its branded dips, spreads, and other products through select grocery and retail channels, extending the brand beyond its restaurant locations.

CAVA was founded in 2010 by Dimitri Moshovitis, Ike Grigoropoulos, and Ted Xenohristos.