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

CAVA Group (NYSE:CAVA) had its price target cut by research analysts at Mizuho from $56.00 to $54.00 in a research note issued to investors on Monday, Benzinga reports. The firm currently has a “neutral” rating on the stock. Mizuho‘s target price would indicate a potential downside of 11.79% from the company’s current price.

Other research analysts have also recently issued research reports about the stock. Compass Point upgraded shares of CAVA Group to a “neutral” rating in a research report on Monday, September 14th. UBS Group decreased their price objective on CAVA Group from $90.00 to $85.00 and set a “buy” rating on the stock in a research report on Thursday, October 22nd. Guggenheim decreased their price objective on CAVA Group from $100.00 to $95.00 and set a “buy” rating on the stock in a research report on Thursday, August 13th. Wolfe Research lifted their target price on CAVA Group from $79.00 to $82.00 and gave the company an “outperform” rating in a research note on Wednesday, August 12th. Finally, Robert W. Baird upgraded CAVA Group to a “strong-buy” rating in a research report on Monday, August 24th. One analyst has rated the stock with a Strong Buy rating, seventeen have issued a Buy rating and ten have given a Hold rating to the company’s stock. According to MarketBeat, CAVA Group has an average rating of “Moderate Buy” and a consensus target price of $83.81.

CAVA Group Stock Performance

Shares of NYSE CAVA traded up $2.07 during trading on Monday, reaching $61.22. The company had a trading volume of 1,319,611 shares, compared to its average volume of 3,389,795. CAVA Group has a 52 week low of $43.41 and a 52 week high of $98.79. The stock has a market cap of $7.15 billion, a PE ratio of 113.27, a PEG ratio of 4.61 and a beta of 1.75. The business’s 50 day moving average price is $55.73 and its 200-day moving average price is $71.09.

CAVA Group (NYSE:CAVA) last announced its earnings results on Wednesday, November 4th. The company reported $0.11 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.12 by ($0.01). CAVA Group had a return on equity of 7.87% and a net margin of 4.50%. The company had revenue of $356.44 million for the quarter, compared to analyst estimates of $358.40 million. During the same quarter in the previous year, the company posted $0.12 earnings per share. CAVA Group’s revenue for the quarter was up 21.0% on a year-over-year basis. Equities analysts anticipate that CAVA Group will post 0.54 earnings per share for the current year.

CAVA Group declared that its Board of Directors has initiated a stock repurchase plan on Friday, September 18th that permits the company to repurchase $100 million in outstanding shares. This repurchase authorization permits the company to purchase up to 1.7% of its stock through open market purchases. Share repurchase plans are typically a sign that the company’s leadership believes its stock is undervalued.

Insider Transactions at CAVA Group

In other CAVA Group news, insider Douglas Thompson bought 6,500 shares of the firm’s stock in a transaction on Monday, August 31st. The stock was purchased at an average cost of $66.52 per share, with a total value of $432,380.00. Following the completion of the purchase, the insider owned 19,371 shares in the company, valued at approximately $1,288,558.92. The trade was a 50.50% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at the SEC website. Insiders own 6.70% of the company’s stock.

Institutional Investors Weigh In On CAVA Group

Large investors have recently made changes to their positions in the stock. Allworth Financial LP boosted its position in CAVA Group by 26.8% during the third quarter. Allworth Financial LP now owns 964 shares of the company’s stock worth $52,000 after purchasing an additional 204 shares during the period. Maryland State Retirement & Pension System increased its holdings in shares of CAVA Group by 26.7% in the third quarter. Maryland State Retirement & Pension System now owns 6,143 shares of the company’s stock valued at $332,000 after purchasing an additional 1,293 shares during the last quarter. Keybank National Association OH raised its position in shares of CAVA Group by 34.7% in the third quarter. Keybank National Association OH now owns 10,046 shares of the company’s stock valued at $543,000 after purchasing an additional 2,587 shares during the period. D.B. Root & Company LLC boosted its holdings in shares of CAVA Group by 17.3% during the 3rd quarter. D.B. Root & Company LLC now owns 9,727 shares of the company’s stock worth $526,000 after buying an additional 1,436 shares during the period. Finally, New York Life Investment Management LLC bought a new stake in shares of CAVA Group during the 3rd quarter worth about $797,000. Institutional investors own 73.15% of the company’s stock.

About CAVA Group

CAVA Group operates CAVA, a fast-casual restaurant brand focused on Mediterranean-inspired food. Its menu includes customizable bowls, pitas and salads, along with dips, spreads, sides and beverages.

The business began in 2006 with a Mediterranean restaurant in Rockville, Maryland, founded by childhood friends Brett Schulman, Dimitri Moshovitis and Ted Xenohristos. CAVA has since grown into a restaurant chain serving customers in multiple U.S. states.

Co-founder Brett Schulman serves as CAVA Group’s chief executive officer.