Yahoo Finance Cava Group (CAVA) Stock Declines While Market Improves: Some Information for Investors
Cava Group (CAVA) closed the most recent trading day at $91.79, moving -1.42% from the previous trading session. The stock fell short of the S&P 500, which registered a gain of 0.16% for the day. Elsewhere, the Dow gained 0.04%, while the tech-heavy Nasdaq added 0.49%.
Shares of the Mediterranean restaurant chain witnessed a gain of 13% over the previous month, beating the performance of the Retail-Wholesale sector with its gain of 2.04% and the S&P 500's gain of 3.22%.
Investors will be eagerly watching for the performance of Cava Group in its upcoming earnings disclosure. The company is forecasted to report an EPS of $0.12, showcasing a 42.86% downward movement from the corresponding quarter of the prior year. Meanwhile, the latest consensus estimate predicts the revenue to be $219.47 million, indicating a 26.94% increase compared to the same quarter of the previous year.
CAVA's full-year Zacks Consensus Estimates are calling for earnings of $0.34 per share and revenue of $903.42 million. These results would represent year-over-year changes of +61.9% and +23.98%, respectively.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Cava Group. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 34.83% higher. Currently, Cava Group is carrying a Zacks Rank of #2 (Buy).
Looking at valuation, Cava Group is presently trading at a Forward P/E ratio of 271.57. For comparison, its industry has an average Forward P/E of 19.34, which means Cava Group is trading at a premium to the group.
The Retail - Restaurants industry is part of the Retail-Wholesale sector. With its current Zacks Industry Rank of 171, this industry ranks in the bottom 33% of all industries, numbering over 250.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
CAVA Group, Inc. (CAVA) : Free Stock Analysis Report
