Prospect Financial Services LLC Invests $1.35 Million in CAVA Group, Inc. $CAVA

Prospect Financial Services LLC bought a new stake in CAVA Group, Inc. (NYSE:CAVA) in the second quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The firm bought 17,170 shares of the company’s stock, valued at approximately $1,348,000. CAVA Group makes up about 0.7% of Prospect Financial Services LLC’s investment portfolio, making the stock its 27th biggest holding.

Several other large investors also recently bought and sold shares of CAVA. Bison Wealth LLC bought a new position in CAVA Group during the fourth quarter valued at $208,000. Goldman Sachs Group Inc. increased its holdings in shares of CAVA Group by 14.3% in the 1st quarter. Goldman Sachs Group Inc. now owns 606,780 shares of the company’s stock worth $52,432,000 after buying an additional 75,828 shares during the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its holdings in shares of CAVA Group by 17.3% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 236,622 shares of the company’s stock worth $20,447,000 after buying an additional 34,860 shares during the last quarter. Brown Advisory Inc. raised its position in shares of CAVA Group by 9.3% during the 2nd quarter. Brown Advisory Inc. now owns 2,979 shares of the company’s stock valued at $251,000 after buying an additional 253 shares in the last quarter. Finally, Cresset Asset Management LLC raised its position in shares of CAVA Group by 20.3% during the 2nd quarter. Cresset Asset Management LLC now owns 9,165 shares of the company’s stock valued at $772,000 after buying an additional 1,549 shares in the last quarter. Institutional investors own 73.15% of the company’s stock.

Analysts Set New Price Targets

A number of research analysts recently commented on CAVA shares. Argus set a $92.00 price target on shares of CAVA Group in a report on Friday, May 22nd. Wall Street Zen upgraded CAVA Group from a “sell” rating to a “hold” rating in a research report on Sunday, May 24th. BMO Capital Markets set a $100.00 price objective on CAVA Group in a research note on Wednesday, May 20th. Piper Sandler lifted their target price on CAVA Group from $85.00 to $92.00 and gave the stock an “overweight” rating in a report on Wednesday, May 20th. Finally, Freedom Capital raised CAVA Group to a “hold” rating in a research report on Wednesday, July 1st. Seventeen investment analysts have rated the stock with a Buy rating and nine have given a Hold rating to the company. According to data from MarketBeat.com, CAVA Group has an average rating of “Moderate Buy” and a consensus target price of $89.44.

Insider Transactions at CAVA Group

In related news, insider Theodoros Xenohristos sold 3,252 shares of the business’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 $290,826.36. Following the completion of the transaction, the insider owned 324,630 shares in the company, valued at $29,031,660.90. The trade was a 0.99% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Kelly Costanza sold 12,490 shares of the company’s stock in a transaction on Wednesday, June 17th. The shares were sold at an average price of $90.00, for a total value of $1,124,100.00. Following the completion of the transaction, the insider directly owned 98,490 shares in the company, valued at $8,864,100. This trade represents a 11.25% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last 90 days, insiders sold 82,703 shares of company stock valued at $7,249,579. Company insiders own 6.70% of the company’s stock.

CAVA Group Trading Up 3.2%

Shares of NYSE:CAVA opened at $74.46 on Friday. CAVA Group, Inc. has a 12 month low of $43.41 and a 12 month high of $98.79. The company has a market capitalization of $8.70 billion, a price-to-earnings ratio of 135.38, a PEG ratio of 5.16 and a beta of 1.74. The firm’s 50-day moving average is $73.07 and its 200 day moving average is $76.85.

CAVA Group (NYSE:CAVA) last announced its quarterly earnings data on Tuesday, August 11th. The company reported $0.19 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.18 by $0.01. CAVA Group had a net margin of 4.82% and a return on equity of 8.28%. The business had revenue of $368.44 million during the quarter, compared to the consensus estimate of $360.09 million. During the same quarter last year, the firm earned $0.16 earnings per share. The firm’s quarterly revenue was up 31.3% compared to the same quarter last year. As a group, equities analysts forecast that CAVA Group, Inc. will post 0.53 EPS for the current fiscal year.

Key CAVA Group News

Here are the key news stories impacting CAVA Group this week:

• Positive Sentiment: Second-quarter results exceeded expectations, with approximately 9% same-restaurant sales growth, continued traffic recovery, and revenue and earnings above consensus. Full-year guidance was maintained, suggesting management remains confident in the growth outlook. CAVA Earnings: The Easiest Comp of the Year Meets a Tough Valuation
• Positive Sentiment: Analyst sentiment provided additional support. Roth Capital reiterated a Buy rating, TD Cowen issued a Buy, RBC indicated further upside, and Northcoast Research upgraded CAVA from Sell to Neutral. Roth Capital Reiterates Buy Rating for CAVA Group CAVA Group Gets a Buy from TD Cowen
• Neutral Sentiment: The earnings reaction has renewed debate over whether mid-single-digit comparable-sales growth can justify CAVA’s elevated valuation. With a high earnings multiple, investors may demand sustained rapid expansion and margin improvement.
• Negative Sentiment: Operating margins declined during the quarter, and KeyCorp issued a pessimistic forecast. These concerns could limit further gains if growth slows or profitability fails to scale. KeyCorp Issues Pessimistic Forecast for CAVA Group Stock Price
• Negative Sentiment: A broader cyclospora outbreak and salmonella flare-up are weighing on restaurant-industry food-safety perceptions and may reduce dining-out activity. No company-specific connection to CAVA was identified, but the issue represents a potential sector-level risk.

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.