CAVA Group (NYSE:CAVA) Trading Down 4.7% – Time to Sell?

Shares of CAVA Group, Inc. (NYSE:CAVA) fell 4.7% on Monday . The company traded as low as $73.94 and last traded at $73.23. Approximately 170,688 shares were traded during trading, a decline of 95% from the average daily volume of 3,318,505 shares. The stock had previously closed at $76.88.

Analyst Ratings Changes

CAVA has been the topic of several recent research reports. BMO Capital Markets set a $100.00 price target on CAVA Group in a report on Wednesday, May 20th. Barclays boosted their price objective on CAVA Group from $70.00 to $74.00 and gave the stock an “equal weight” rating in a report on Wednesday, May 20th. Piper Sandler upped their target price on shares of CAVA Group from $85.00 to $92.00 and gave the company an “overweight” rating in a research report on Wednesday, May 20th. Roth Mkm reaffirmed a “buy” rating and issued a $106.00 target price on shares of CAVA Group in a research note on Wednesday, May 20th. Finally, Benchmark lifted their price target on shares of CAVA Group from $80.00 to $110.00 and gave the stock a “buy” rating in a research report on Monday, April 20th. One equities research analyst has rated the stock with a Strong Buy rating, seventeen have issued a Buy rating, ten have given a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of $93.44.

CAVA Group Price Performance

The business has a 50 day simple moving average of $82.04 and a 200-day simple moving average of $76.34. The stock has a market capitalization of $8.51 billion, a price-to-earnings ratio of 140.34, a PEG ratio of 5.27 and a beta of 1.69.

CAVA Group (NYSE:CAVA) last released its quarterly earnings results on Tuesday, May 19th. The company reported $0.20 EPS for the quarter, topping analysts’ consensus estimates of $0.17 by $0.03. CAVA Group had a return on equity of 7.92% and a net margin of 4.79%.The company had revenue of $438.27 million for the quarter, compared to analyst estimates of $360.89 million. During the same quarter last year, the firm posted $0.22 earnings per share. CAVA Group’s revenue was up 32.1% compared to the same quarter last year. As a group, equities analysts predict that CAVA Group, Inc. will post 0.55 earnings per share for the current year.

Insider Activity

In other news, insider Kelly Costanza sold 12,490 shares of the stock in a transaction on Wednesday, June 17th. The shares were sold at an average price of $90.00, for a total transaction of $1,124,100.00. Following the completion of the sale, the insider owned 98,490 shares of the company’s stock, valued at $8,864,100. This represents a 11.25% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CAO Adam David Phillips sold 757 shares of the firm’s stock in a transaction on Monday, June 15th. The stock was sold at an average price of $89.43, for a total transaction of $67,698.51. Following the sale, the chief accounting officer owned 6,848 shares in the company, valued at approximately $612,416.64. The trade was a 9.95% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last ninety days, insiders sold 91,747 shares of company stock worth $7,970,838. Corporate insiders own 6.70% of the company’s stock.

Hedge Funds Weigh In On CAVA Group

Large investors have recently added to or reduced their stakes in the company. Los Angeles Capital Management LLC bought a new stake in shares of CAVA Group in the fourth quarter valued at about $25,000. Harbor Investment Advisory LLC grew its holdings in shares of CAVA Group by 347.8% during the fourth quarter. Harbor Investment Advisory LLC now owns 515 shares of the company’s stock worth $30,000 after buying an additional 400 shares in the last quarter. TD Private Client Wealth LLC grew its holdings in shares of CAVA Group by 118.2% during the fourth quarter. TD Private Client Wealth LLC now owns 600 shares of the company’s stock worth $35,000 after buying an additional 325 shares in the last quarter. Strategic Investment Solutions Inc. IL acquired a new stake in CAVA Group in the 3rd quarter valued at approximately $36,000. Finally, Allworth Financial LP raised its position in CAVA Group by 57.4% in the 4th quarter. Allworth Financial LP now owns 650 shares of the company’s stock valued at $38,000 after buying an additional 237 shares during the last quarter. Institutional investors own 73.15% of the company’s stock.

About CAVA Group

CAVA Group, Inc (NYSE: CAVA) is a leading fast-casual restaurant company specializing in Mediterranean-inspired cuisine. Operating under the CAVA brand, the company offers customizable bowls, pitas and salads built around a variety of proteins, grains, fresh vegetables and house-made spreads. With a focus on high-quality ingredients and made-to-order preparation, CAVA aims to deliver a casual yet elevated dining experience for dine-in, takeout and catering customers.

Founded in 2011 in the Washington, DC metro area by Ike Grigoropoulos, Dimitri Katsanis and Brett Schulman, CAVA has pursued an aggressive growth strategy that included the 2018 acquisition of Zoe’s Kitchen.