CAVA Group CAVA
United StatesConsumer Cyclical · RestaurantsUSD
82.00 USD (+57.5%)
24 analysts
Trading 2120.30 €Open account ↗
Lightyear0.90 €Open account ↗
N260.90 €Open account ↗
XTB1.00 €★ featured · affiliateOpen account ↗Trading 2120.30 €Open account ↗Lightyear0.90 €Open account ↗XTB1.00 €★ featured · affiliateOpen account ↗200.00 € order · cheapest cheapest available in your country iCompare all 22 brokers →What does it do?
CAVA Group, Inc. is a fast-casual restaurant chain serving Mediterranean and Greek-inspired cuisine, with a rapid growth business model based on opening new restaurants and a strong focus on menu customization and customer experience.
Key points
from its scores- ✓Strong growth8.3
- ✕Demanding valuation1.0
- ✕Little or no dividend1.5
- ✕Unfavourable risk and backdrop2.7
AI analysis
bottom line, main risk, context and newsIt is not the time to enter given the extreme valuation and negative cash generation.
CAVA shows very strong revenue growth (31.30%) and a healthy balance sheet (Net Debt/EBITDA of 0.53, liquidity of 2.48), but its valuation is extremely demanding (P/E of 94.67, EV/EBITDA of 38.39) and its free cash flow conversion is negative (-0.45), which weighs on quality and investment attractiveness at these prices.
The main risk is valuation: with a P/E of 94.67 and a negative FCF yield, any slowdown in revenue growth or restaurant openings could trigger a severe correction in the stock price.
Context and risks
No recent relevant news and no material exposure to current macro factors: the company has no significant debt (Net Debt/EBITDA of 0.53), does not depend on commodities or conflict maritime routes, and its restaurant business is not subject to specific regulatory or geopolitical risks beyond the industry standard.
Is CAVA Group stock cheap or expensive?
at the analysis dateOn P/E and EV / EBITDA, it trades 336% above the Consumer Cyclical median on average.
| Multiple | Company | Sector | Difference |
|---|---|---|---|
| P/E | 94.7 | 17.8 | +430% |
| EV / EBITDA | 38.4 | 11.2 | +242% |
| Price / book | 7.2 | 2.9 | +152% |
| Price / sales | 4.4 | 1.3 | +253% |
Sector: median of the 228 Consumer Cyclical companies analysed. In bold, the multiples used for the comparison.
Valuation score: 1.0 out of 10 (median for Consumer Cyclical: 6.6).
Average analyst target: 82.00 USD, +57.5% versus the price.
A premium can be justified if the company is of higher quality or grows faster than its sector: Quality / Moat 3.6 (sector 5.7), Growth 8.3 (sector 5.9).
Classic formulas with standard assumptions (10.0% growth, 8-9% discount rate). Indicative only: they change a lot with the assumptions and are not a recommendation.
Work out its fair value yourself →How much would you have made investing every month? →
Comparing it with its sector does not say whether it is a good buy: this is not investment advice.
Score by category
0 to 10 · hover overtap each one to see what it measuresKey metrics
at the analysis date · compared with the Consumer Cyclical medianValuation
- P/E
- 94.7
- Forward P/E
- 69.9
- EV / EBITDA
- 38.4
- Price / book
- 7.2
- Price / sales
- 4.4
- PEG
- 4.55
- Market cap
- 6.1B USD
- Enterprise value
- 6.2B USD
Profitability
- ROE
- 8.3%
- ROA
- 3.5%
- ROIC (approx.)
- 7.7%
- Gross margin
- 37.7%
- Operating margin
- 7.6%
- Net margin
- 4.8%
- Free cash flow
- −721,500 USD
- FCF yield
- −0.0%
- Cash conversion
- −0%
Solvency
- Total debt
- 520.7M USD
- Net debt
- 85.1M USD
- Cash
- 435.6M USD
- EBITDA
- 160.6M USD
- Net debt / EBITDA
- 0.53
- Debt / equity
- 61.90
- Current ratio
- 2.48
- Quick ratio
- 2.36
Growth
- Revenue growth
- +31.3%
- Earnings growth
- +19.8%
- EPS (TTM)
- 0.55 USD
- EPS (forward)
- 0.74 USD
Dividend
- Dividend yield
- 0.0%
- Payout
- 0.0%
Risk and market
- Beta
- 1.81
- Analyst consensus
- Buy (24)
- Target price
- 82.00 USD
- 52-week range
- 43.41 – 98.79
Recent news
All CAVA news →Compare it with its sector
All 228 in Consumer Cyclical →Frequently asked questions about CAVA Group
Is CAVA Group stock cheap or expensive?
On P/E and EV / EBITDA, it trades 336% above the Consumer Cyclical median on average. Valuation score: 1.0 out of 10 (median for Consumer Cyclical: 6.6). Average analyst target: 82.00 USD, +57.5% versus the price. This is not investment advice.
What score does CAVA Group get on MeridIAn Screener?
It scores 3.8 out of 10, rank 1,995 of 2,130 (better than 6% of the companies analysed). Its strongest category is Growth (8.3) and its weakest, Valuation (1.0). Analysis of 08/10/2026.
What is CAVA Group's P/E ratio?
Its P/E is 94.7: the share price equals 94.7 times earnings per share over the last 12 months. The Consumer Cyclical median is 17.8. Based on the earnings analysts expect, the forward P/E is 69.9.
How much is CAVA Group worth on the stock market?
Its market capitalisation is 6.1B USD and its enterprise value, debt included, is 6.2B USD.
How much debt does CAVA Group have?
Its net debt (debt minus cash) is 85.1M USD. That is 0.53 times its EBITDA; the Consumer Cyclical median is 1.91.
Does CAVA Group pay a dividend?
It pays no dividend, or almost none.
How has CAVA Group stock performed over the last year?
It has fallen 16.2% over the last year, excluding dividends. Over the last 52 weeks it has traded between 43.41 and 98.79 USD. Past performance does not guarantee future results.
What do analysts think of CAVA Group?
24 analysts cover it; their average recommendation is “Buy” and their average target is 82.00 USD (+57.5% versus the price). It is an estimate, not market data.