Cava Group Earnings Preview

Cava Group CAVA is set to give its latest quarterly earnings report on Tuesday, 2025-08-12. Here's what investors need to know before the announcement.

Analysts estimate that Cava Group will report an earnings per share (EPS) of $0.13.

Anticipation surrounds Cava Group's announcement, with investors hoping to hear about both surpassing estimates and receiving positive guidance for the next quarter.

New investors should understand that while earnings performance is important, market reactions are often driven by guidance.

Overview of Past Earnings

Last quarter the company beat EPS by $0.07, which was followed by a 2.27% drop in the share price the next day.

Here's a look at Cava Group's past performance and the resulting price change:

Market Performance of Cava Group's Stock

Shares of Cava Group were trading at $85.05 as of August 08. Over the last 52-week period, shares are down 9.25%. Given that these returns are generally negative, long-term shareholders are likely upset going into this earnings release.

Analyst Views on Cava Group

For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding Cava Group.

With 11 analyst ratings, Cava Group has a consensus rating of Neutral. The average one-year price target is $108.82, indicating a potential 27.95% upside.

Comparing Ratings with Competitors

This comparison focuses on the analyst ratings and average 1-year price targets of Aramark, Dutch Bros and Texas Roadhouse, three major players in the industry, shedding light on their relative performance expectations and market positioning.

• Analysts currently favor an Outperform trajectory for Aramark, with an average 1-year price target of $46.0, suggesting a potential 45.91% downside.
• Analysts currently favor an Outperform trajectory for Dutch Bros, with an average 1-year price target of $82.56, suggesting a potential 2.93% downside.
• Analysts currently favor an Neutral trajectory for Texas Roadhouse, with an average 1-year price target of $200.45, suggesting a potential 135.68% upside.

Peer Analysis Summary

The peer analysis summary outlines pivotal metrics for Aramark, Dutch Bros and Texas Roadhouse, demonstrating their respective standings within the industry and offering valuable insights into their market positions and comparative performance.

Key Takeaway:

Cava Group ranks in the middle for revenue growth among its peers. It is at the bottom for gross profit and return on equity.

Unveiling the Story Behind Cava Group

Cava Group Inc owns and operates a chain of restaurants. It is the category-defining Mediterranean fast-casual restaurant brand, bringing together healthful food and bold, satisfying flavors at scale. The company's dips, spreads, and dressings are centrally produced and sold in grocery stores. The company's operations are conducted as two reportable segments: CAVA and Zoes Kitchen. The company generates all of its revenue from the CAVA segment.

Cava Group's Economic Impact: An Analysis

Market Capitalization Perspectives: The company's market capitalization falls below industry averages, signaling a relatively smaller size compared to peers. This positioning may be influenced by factors such as perceived growth potential or operational scale.

Revenue Growth: Cava Group displayed positive results in 3 months. As of 31 March, 2025, the company achieved a solid revenue growth rate of approximately 28.12%. This indicates a notable increase in the company's top-line earnings. When compared to others in the Consumer Discretionary sector, the company excelled with a growth rate higher than the average among peers.

Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 7.75%, the company showcases strong profitability and effective cost control.

Return on Equity (ROE): Cava Group's ROE lags behind industry averages, suggesting challenges in maximizing returns on equity capital. With an ROE of 3.62%, the company may face hurdles in achieving optimal financial performance.

Return on Assets (ROA): Cava Group's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 2.14% ROA, the company effectively utilizes its assets for optimal returns.

Debt Management: Cava Group's debt-to-equity ratio is below the industry average. With a ratio of 0.57, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

To track all earnings releases for Cava Group visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.