Are Cava Group Inc (CAVA) stocks a prudent buy?

Cava Group Inc [CAVA] stock is trading at $144.80, up 3.66%. One of the good ways to gauge the recent performance is if the stock’s short-term value is rising or falling. The CAVA shares have gain 4.67% over the last week, with a monthly amount glided 6.03%, and seem to be holding up well over a long-time horizon.

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From an analyst’s perspective:

Cava Group Inc [NYSE: CAVA] stock has seen the most recent analyst activity on November 20, 2024, when Bernstein initiated its Mkt Perform rating and assigned the stock a price target of $145. Previously, UBS started tracking the stock with Neutral rating on September 27, 2024, and set its price target to $135. On August 29, 2024, downgrade downgraded it’s rating to Equal-Weight and revised its price target to $110 on the stock. Citigroup reiterated its Neutral rating and increased its price target to $115 on August 23, 2024. JP Morgan downgraded its rating to a Neutral but $77 remained the price target by the analyst firm on June 03, 2024. Piper Sandler downgraded its rating to Neutral for this stock on May 30, 2024, and upped its price target to $92. In a note dated April 15, 2024, Barclays initiated an Equal Weight rating and provided a target price of $58 on this stock.

Cava Group Inc [CAVA] stock has fluctuated between $31.47 and $172.43 over the past year. Currently, Wall Street analysts expect the stock to reach $130.64 within the next 12 months. Cava Group Inc [NYSE: CAVA] shares were valued at $144.80 at the most recent close of the market. An investor can expect a potential drop of -9.78% based on the average CAVA price forecast.

Analyzing the CAVA fundamentals

Cava Group Inc [NYSE:CAVA] reported sales of 913.49M for the trailing twelve months, which represents a growth of 38.89%. Gross Profit Margin for this corporation currently stands at 0.29% with Operating Profit Margin at 0.06%, Pretax Profit Margin comes in at 0.06%, and Net Profit Margin reading is 0.06%. To continue investigating profitability, this company’s Return on Assets is posted at 0.05, Equity is 0.09 and Total Capital is 0.05.

Before buying any particular stock, readers tend to pay close attention to the indicators that support and create resistance. The company’s stock is currently sitting at 139.65 points at the first support level, and at 134.49 for the second support level. However, for the 1st resistance point, the stock is sitting at 147.58, and for the 2nd resistance point, it is at 150.35.

Ratios To Look Out For

For context, Cava Group Inc’s Current Ratio is 2.93. Also, the Quick Ratio is 2.87, while the Cash Ratio stands at 2.73. Considering the valuation of this stock, the price to sales ratio is 18.16, the price to book ratio is 26.91 and price to earnings (TTM) ratio is 318.03.

Transactions by insiders

Recent insider trading involved KOCHEVAR KAREN, Director, that happened on Nov 19 ’24 when 15000.0 shares were sold. Director, Artal International S.C.A. completed a deal on Nov 18 ’24 to sell 8.0 million shares. Meanwhile, Chief Financial Officer Tolivar Tricia K. sold 20000.0 shares on Nov 19 ’24.

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