Sales Growth Concerns: Cava has experienced a significant slowdown in same-restaurant sales growth, dropping from 11% in Q1 to just 1.9% in Q3, raising concerns among investors as consumers are dining out less.
Revenue and Expansion: Despite the sales slowdown, Cava's revenue rose 23% year-over-year to $905 million in the first nine months of fiscal 2025, and the company continues to expand rapidly, operating 415 restaurants with a goal of reaching 1,000 by 2032.
Investor Sentiment: The stock has fallen over 50% this year, partly due to rising costs affecting consumer behavior and an elevated P/E ratio, which may deter potential investors.
Future Outlook: Investors should monitor same-restaurant sales and restaurant openings to gauge Cava's ability to maintain its expansion and recover sales, which could position the company favorably as economic conditions improve.
Wall Street analysts forecast CAVA stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for CAVA is 71.69 USD with a low forecast of 52.00 USD and a high forecast of 100.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
17 Analyst Rating
Wall Street analysts forecast CAVA stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for CAVA is 71.69 USD with a low forecast of 52.00 USD and a high forecast of 100.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
11 Buy
6 Hold
0 Sell
Moderate Buy
Current: 67.900
Low
52.00
Averages
71.69
High
100.00
Current: 67.900
Low
52.00
Averages
71.69
High
100.00
Baird
Baird
Outperform
maintain
$72
2026-01-07
New
Reason
Baird
Baird
Price Target
$72
2026-01-07
New
maintain
Outperform
Reason
Baird said the firm's channel checks indicate Cava Group increased menu prices in early January. The firm has an Outperform rating on the shares with a $72 price target.
Barclays
Jeffrey Bernstein
Equal Weight
maintain
$52 -> $70
2026-01-07
New
Reason
Barclays
Jeffrey Bernstein
Price Target
$52 -> $70
2026-01-07
New
maintain
Equal Weight
Reason
Barclays analyst Jeffrey Bernstein raised the firm's price target on Cava Group to $70 from $52 and keeps an Equal Weight rating on the shares. The firm adjusted targets in the restaurant group as part of its 2026 outlook. Sales challenges persist for the sector, the analyst tells investors in a research note. Barclays expects quick service to regain share from fast casual and casual dining, and it remains bullish on foodservice distribution.
UBS
Neutral
maintain
$58 -> $66
2026-01-06
New
Reason
UBS
Price Target
$58 -> $66
2026-01-06
New
maintain
Neutral
Reason
UBS raised the firm's price target on Cava Group to $66 from $58 and keeps a Neutral rating on the shares. The restaurant sector setup is expected to improve in 2026 after heavy pressure in 2025, with upside from stimulus benefits, easier comparisons, and more attractive valuations, though macro pressures on lower-income and younger consumers may weigh on the second half, the analyst tells investors in a research note. Industry same-store sales should modestly improve but remain in the low single digits with negative traffic, while margin gains are likely but tempered by limited pricing power, higher discounting, and food inflation risks, UBS adds.
Bernstein
Bernstein
Outperform
to
NULL
downgrade
$80 -> $75
2026-01-05
New
Reason
Bernstein
Bernstein
Price Target
$80 -> $75
2026-01-05
New
downgrade
Outperform
to
NULL
Reason
Bernstein lowered the firm's price target on Cava Group to $75 from $80 and keeps an Outperform rating on the shares. The firm says it enters 2026 with a generally sober perspective on U.S. restaurants, as it expects the traffic recovery to be gradual. After witnessing several step-downs in consumer confidence in 2025 caused by macroeconomic and tariff-related uncertainty, DOGE-imposed Federal cuts, tighter migration policies impacting Hispanic population and the longest Government shutdown in history, Bernstein doesn't expect sudden change in discretionary spending in 2026, but it acknowledges that the new Tax Bill and the Soccer World Cup held in the U.S. may stimulate demand starting in the spring.
About CAVA
CAVA Group, Inc. is a category-defining Mediterranean fast-casual restaurant brand. The Company’s Mediterranean cuisine unites taste and health, with a menu that features chef-curated and customizable bowls and pitas. Its dips, spreads, and dressings are centrally produced and sold in grocery stores. Its menu offers a range of dietary preferences, from hearty and indulgent to vegan, vegetarian, gluten-free, dairy-free, paleo, keto, and nut-free diets. Its guests can choose a chef-curated meal or a build-your-own-bowl or pita using its 38 ingredients with over 17.4 billion combinations. It has developed a multi-channel experience that consists of in-restaurant dining, digital pick-up, drive-thru pick-up in select restaurants, delivery, catering, and consumer packaged goods offerings, fully supported by its digital infrastructure. It operates two production facilities: one in Maryland and one in Virginia. It operates in approximately 26 states and the District of Columbia.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
