Looking Ahead: Cava Stock Projections for 2026
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Dec 09 2025
0mins
Should l Buy CAVA?
Source: NASDAQ.COM
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.
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Analyst Views on CAVA
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 73.29 USD with a low forecast of 60.00 USD and a high forecast of 86.00 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.
18 Analyst Rating
12 Buy
6 Hold
0 Sell
Moderate Buy
Current: 72.480
Low
60.00
Averages
73.29
High
86.00
Current: 72.480
Low
60.00
Averages
73.29
High
86.00
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.
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- Liquidity Crisis Concerns: While Nvidia's investment is seen as support for CoreWeave, critics note that CoreWeave may be facing cash flow shortages and debt burdens, suggesting that Nvidia's investment could be a move to mitigate the risk of its partner's potential bankruptcy.
- Market Outlook Analysis: As AI technology rapidly evolves, Nvidia's investment is not only a lifeline for CoreWeave but also a strategic positioning within the entire AI ecosystem, reflecting the company's forward-thinking approach in future market competition.
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- Strategic Significance: NVIDIA's investment not only supports CoreWeave but also signifies its long-term strategic positioning in the AI sector, with plans to build 5 gigawatts of AI factories by 2030 to address future technological needs.
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- Margin Pressure: CFO Adam Rymer stated that margins will be under pressure in 2026 due to necessary investments to maintain lower prices, with an expected pricing impact of about 70 basis points in Q1, highlighting ongoing inflation challenges.
- Menu Innovation: CEO Scott Boatwright emphasized the acceleration of menu innovation, planning four limited-time offers in 2026, with the recent launch of the “High Protein Menu” driving a 35% increase in extra protein demand, showcasing consumer focus on high-quality ingredients.
- Improved Retail Sentiment: According to Stocktwits data, retail sentiment on Chipotle improved from 'bullish' to 'extremely bullish', with message volume surging 685% in the last 24 hours, indicating optimistic market expectations for its future performance.
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- Individual Stock Volatility: Sweetgreen's stock plummeted by 80%, Cava Group dropped 50%, and Chipotle Mexican Grill fell 30%, reflecting a lack of confidence in the restaurant industry that could impact investor decisions moving forward.
- Shifts in Consumer Behavior: Although industry sales are projected to grow by 4% to $1.5 trillion in 2025, declining guest traffic puts pressure on many operators, as consumers become more price-sensitive, intensifying competition among quick-service and casual dining sectors.
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