Royal Bank Of Canada Cuts CAVA Group (NYSE:CAVA) Price Target to $85.00

Posted by Geri Gentry on Sep 20th, 2026

CAVA Group (NYSE:CAVA – Free Report) had its price objective cut by Royal Bank Of Canada from $95.00 to $85.00 in a research note issued to investors on Thursday,Benzinga reports. They currently have an outperform rating on the stock.

Several other equities analysts have also issued reports on the stock. Seaport Research Partners started coverage on shares of CAVA Group in a report on Wednesday. They issued a “buy” rating and a $58.00 price target on the stock. KeyCorp decreased their price objective on CAVA Group from $110.00 to $95.00 and set an “overweight” rating for the company in a report on Wednesday, August 12th. Northcoast Research raised CAVA Group from a “sell” rating to a “neutral” rating in a research report on Thursday, August 13th. BMO Capital Markets set a $100.00 target price on CAVA Group in a research note on Wednesday, May 20th. Finally, TD Cowen dropped their target price on CAVA Group from $100.00 to $85.00 and set a “buy” rating on the stock in a research note on Wednesday, August 12th. One investment analyst has rated the stock with a Strong Buy rating, sixteen have issued a Buy rating and ten have given a Hold rating to the stock. Based on data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus target price of $88.64.

Get Our Latest Stock Analysis on CAVA Group

CAVA Group Stock Performance

CAVA stock opened at $51.67 on Thursday. CAVA Group has a one year low of $43.41 and a one year high of $98.79. The firm has a market cap of $6.04 billion, a price-to-earnings ratio of 93.96, a PEG ratio of 4.01 and a beta of 1.74. The firm has a 50-day simple moving average of $64.07 and a two-hundred day simple moving average of $75.91.

CAVA Group (NYSE:CAVA – Get Free Report) last issued its quarterly earnings data on Tuesday, August 11th. The company reported $0.19 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.18 by $0.01. CAVA Group had a net margin of 4.82% and a return on equity of 8.28%. The firm had revenue of $368.44 million for the quarter, compared to the consensus estimate of $360.09 million. During the same quarter in the previous year, the firm earned $0.16 EPS. The company’s quarterly revenue was up 31.3% compared to the same quarter last year. As a group, equities analysts predict that CAVA Group will post 0.55 earnings per share for the current fiscal year.

CAVA Group declared that its board has initiated a share buyback program on Friday, September 18th that authorizes the company to repurchase $100.00 million in shares. This repurchase authorization authorizes the company to buy up to 1.7% of its shares through open market purchases. Shares repurchase programs are usually an indication that the company’s management believes its stock is undervalued.

Insider Activity at CAVA Group

In related news, insider Douglas Thompson acquired 6,500 shares of the stock in a transaction dated Monday, August 31st. The stock was acquired at an average cost of $66.52 per share, for a total transaction of $432,380.00. Following the completion of the purchase, the insider owned 19,371 shares of the company’s stock, valued at approximately $1,288,558.92. This represents a 50.50% increase in their position. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders own 6.70% of the company’s stock.

Hedge Funds Weigh In On CAVA Group

Hedge funds have recently made changes to their positions in the company. Wellington Altus USA Inc. purchased a new stake in CAVA Group during the 2nd quarter valued at about $113,000. Engineers Gate Manager LP purchased a new position in shares of CAVA Group in the second quarter worth about $670,000. NewEdge Advisors LLC raised its stake in shares of CAVA Group by 5.3% in the second quarter. NewEdge Advisors LLC now owns 13,050 shares of the company’s stock worth $1,024,000 after purchasing an additional 656 shares during the last quarter. Nykredit A S acquired a new stake in shares of CAVA Group during the second quarter worth about $272,000. Finally, VIRGINIA RETIREMENT SYSTEMS ET Al acquired a new stake in shares of CAVA Group during the second quarter worth about $1,711,000. 73.15% of the stock is owned by institutional investors and hedge funds.

More CAVA Group News

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

Positive Sentiment: CAVA’s board authorized a $100 million share-repurchase program running through September 2027. The company may buy shares in the open market, private transactions, or under Rule 10b5-1 trading plans. Buybacks can support earnings per share and signal management’s confidence that the stock is undervalued. CAVA Announces a $100 Million Share Repurchase Program
Positive Sentiment: A bullish investment case points to CAVA’s strong operating momentum, including approximately 9% same-store sales growth, 5.3% higher traffic, and more than 26% year-over-year revenue and EBITDA growth. The company also plans to expand to more than 1,000 restaurants by 2032, supporting its long-term growth opportunity. Cava Looks Appetizing Even If The Valuation Is High
Positive Sentiment: Seaport Global initiated coverage with a Buy rating, while JPMorgan maintained an Overweight rating. These recommendations indicate that some analysts view the recent decline as an attractive entry point.
Neutral Sentiment: JPMorgan lowered its price target from $85 to $80 but retained its Overweight rating, implying substantial potential upside if CAVA meets its growth expectations. JPMorgan CAVA Price Target
Negative Sentiment: Royal Bank of Canada also cut its target from $95 to $85, reflecting a more cautious view despite maintaining an Outperform rating. Other commentary highlights the restaurant sector’s headwinds, while CAVA’s elevated valuation leaves the stock sensitive to any slowdown in traffic, margins, or new-store growth. Why Is CAVA Stock Crashing

CAVA Group Company Profile

(Get Free Report)

CAVA Group, Inc is a U.S.-based restaurant company that operates the CAVA fast-casual Mediterranean restaurant brand. Its restaurants offer customizable meals, including grain bowls, salads, pitas, dips, spreads and sides made with Mediterranean-inspired ingredients and flavors. Customers can order meals in restaurants, through digital channels and for catering.

The company’s menu is centered on a build-your-own format, allowing guests to select proteins, grains, greens, toppings, sauces and dips.