Michigan survey ahead; Applied Digital surges; gold dips - what’s moving markets
Cava Group Inc’s stock reached a new 52-week low, closing at 65.03 USD. The Mediterranean restaurant chain, with a market capitalization of $7.73 billion, maintains strong liquidity with a current ratio of 2.72, though InvestingPro data shows significant price volatility with a beta of 2.64. This milestone reflects a challenging year for the company, as evidenced by a significant 1-year change of -45.72%. Despite robust revenue growth of 28.21% over the last twelve months, the stock trades at a P/E ratio of 55.6. The decline in stock value underscores the difficulties faced by the company in navigating market conditions over the past year. Investors and analysts will be closely monitoring Cava’s strategic responses to these challenges as the company seeks to stabilize and potentially recover its market position, with analyst price targets ranging from $72 to $125.
In other recent news, CAVA Group Inc has experienced a series of adjustments in stock price targets by several research firms, reflecting concerns over its sales growth and revenue performance. BofA Securities lowered its price target to $100 from $121, citing a modest revenue miss with CAVA reporting $280.6 million, slightly below the expected $283.6 million. The company also reported same-store sales growth of 2.1%, which was below the consensus forecast of 6.2%. Piper Sandler also reduced its price target to $100 from $122, maintaining an Overweight rating, following CAVA’s second-quarter 2025 results that revealed slower sales growth than anticipated.
Bernstein SocGen Group adjusted its price target to $100 from $115, maintaining an Outperform rating, due to concerns about negative same-store sales growth in newly opened locations. Similarly, CFRA lowered its target to $120 from $148, citing expectations for slower comparable sales growth in 2025 due to softer consumer spending impacting restaurant traffic. TD Cowen reduced its target to $90 from $120, maintaining a Buy rating, with concerns about sales maturation potentially impacting future growth. These developments highlight recent adjustments by analysts regarding CAVA Group’s performance and future prospects.
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