Stock Price & Analysis

Analysis and Insights

Recent Price Movement and Analyst Upgrade:

CAVA stock has shown strong momentum, closing at $90.33 on March 24, 2025, with a +7.73% gain during regular hours. This upward movement follows a recent upgrade by JPMorgan analyst John Ivankoe, who raised the stock to a Buy rating with a $110 price target, citing strong growth prospects and attractive valuation.

Valuation and Growth Potential:

CAVA is currently trading at a price that reflects its growth potential. The stock has an average analyst price target of $130.77, indicating a 54.46% upside. The company's ability to generate free cash flow early in its growth phase and its strategic initiatives to enhance sales and customer experience further support its bullish outlook.

Analyst Sentiment:

Analysts are increasingly bullish on CAVA, with a Moderate Buy consensus rating. The recent upgrade from JPMorgan highlights the company's expansion potential, with expectations of reaching up to 3,500 locations by 2043.

Conclusion:

Given the strong price momentum, positive analyst sentiment, and growth prospects, CAVA stock is a buy. The recent upgrade and attractive valuation make it a compelling opportunity for long-term growth.

CAVA stock is predicted to reach $125 by the end of 2025, driven by strong growth metrics and positive analyst upgrades. The stock has shown resilience with a recent 4.5% increase following JPMorgan's upgrade to Buy with a $110 target, and Piper Sandler's upgrade to Buy with a $115 target. The average analyst price target is $130, indicating a 54% upside potential. CAVA's expansion plans, with a goal of 1,000 locations by 2030, and strong same-store sales growth of 18% in Q3 2024, support this bullish outlook.

The S1 support level for CAVA Stock is $79.09 ,The R1 resistant level for CAVA Stock is $92.14.

As of the end of day on 2025-04-02, the price of CAVA Stock was $85.44.

The target price for CAVA Stock according to analyst rating is 130.77, with the highest price target at 175.00 and the lowest at 100.00. Analysts have a Moderate Buy rating on CAVA Stock overall.

The market cap of CAVA is $10.1B.

CAVA may be overvalued due to high valuation metrics and recent price surge.

1. CAVA's PE ratio of 171.87 and EV/EBITDA of 85.47 indicate high valuation levels relative to industry standards.
2. The stock rose 4.35% in pre-market and 7.73% during regular hours, possibly due to JPMorgan's upgrade to Buy with a $110 target.
3. While the company has strong growth prospects, including potential expansion to 3,500 locations, the current price may not sustain if growth slows.

CAVA Group, Inc. operates a category-defining Mediterranean fast-casual restaurant brand. The Company operates approximately 309 fast-casual CAVA restaurants in 24 states and Washington, D.C. The number of CAVA restaurants excludes two locations operating under a licensing arrangement and digital kitchens. Its Mediterranean cuisine unites taste and health, with a menu that features chef-crated and customizable bowls and pitas. Its dips, spreads, and dressings are centrally produced and sold in grocery stores. Its menu fulfills a range of dietary preferences, from hearty and indulgent to vegan, vegetarian, gluten-free, dairy-free, paleo, keto, and nut-free diets. The Company's 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 multi-channel access to in-restaurant dining, digital pick-up, drive-thru pick-up in select restaurants, delivery, catering, and consumer packaged goods offerings.

CAVA stock is predicted to reach $140-$160 by 2030, driven by its strong expansion plans and solid financial performance. Analysts expect significant growth due to its successful Mediterranean fast-casual concept and increasing store count. The stock's current momentum and positive analyst sentiment support this bullish outlook.

CAVA has a total of 8100 employees.