(CAVA) CAVA - Overview
Sector: Consumer Cyclical | Industry: Restaurants | Exchange: NYSE (USA) | Market Cap: 8.949m USD | Total Return: -22.4% in 12m
Industry Rotation: +0.8
Avg Turnover: 237M
EPS Trend: 2.4%
Qual. Beats: 0
Rev. Trend: 89.7%
Qual. Beats: 1
Warnings
P/E ratio 142.4
Altman Z'' 0.64 < 1.0 - financial distress zone
Tailwinds
Confidence
CAVA Group, Inc. operates a Mediterranean fast-casual restaurant chain across the United States, utilizing a service model that combines in-store assembly lines with digital ordering platforms. Beyond its physical restaurant footprint, the company maintains a retail presence by distributing branded dips, spreads, and dressings through third-party grocery channels.
The business follows a vertically integrated model, managing its own production facilities to maintain consistency across its Mediterranean-focused menu. As a competitor in the fast-casual sector, CAVA leverages a hub-and-spoke distribution strategy to scale its fresh food offerings efficiently. Investors can review detailed valuation metrics on ValueRay to further analyze the companys market position. Headquartered in Washington, D.C., the firm has expanded its reach since its founding in 2006 to become a prominent player in the health-conscious dining market.
- Aggressive unit count growth targets drive long-term revenue and market share expansion
- Same-store sales growth relies on high average check and traffic volume
- Labor and food commodity inflation directly impact restaurant-level profit margins
- Consumer shift toward health-conscious Mediterranean fast-casual dining supports brand loyalty
- Successful integration of acquired Zoe’s Kitchen locations optimizes operational efficiency levels
| Net Income: 63.7m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.02 > 0.02 and ΔFCF/TA -2.60 > 1.0 |
| NWC/Revenue: 22.75% < 20% (prev 27.14%; Δ -4.38% < -1%) |
| CFO/TA 0.14 > 3% & CFO 184.8m > Net Income 63.7m |
| Net Debt (183.3m) to EBITDA (150.7m): 1.22 < 3 |
| Current Ratio: 2.65 > 1.5 & < 3 |
| Outstanding Shares: last quarter (118.0m) vs 12m ago -0.22% < -2% |
| Gross Margin: 18.38% > 18% (prev 0.25%; Δ 1.81k% > 0.5%) |
| Asset Turnover: 93.27% > 50% (prev 82.39%; Δ 10.87% > 0%) |
| Interest Coverage Ratio: 12.43 > 6 (EBITDA TTM 150.7m / Interest Expense TTM 6.19m) |
| A: 0.20 (Total Current Assets 431.1m - Total Current Liabilities 162.7m) / Total Assets 1.36b |
| B: -0.19 (Retained Earnings -253.6m / Total Assets 1.36b) |
| C: 0.06 (EBIT TTM 77.0m / Avg Total Assets 1.26b) |
| D: -0.44 (Book Value of Equity -253.5m / Total Liabilities 580.4m) |
| Altman-Z'' Score: 0.64 = B |
| DSRI: 1.19 (Receivables 19.0m/13.0m, Revenue 1.18b/963.7m) |
| GMI: 1.37 (GM 18.38% / 25.09%) |
| AQI: 0.87 (AQ_t 0.06 / AQ_t-1 0.07) |
| SGI: 1.22 (Revenue 1.18b / 963.7m) |
| TATA: -0.09 (NI 63.7m - CFO 184.8m) / TA 1.36b) |
| Beneish M-Score: -2.54 (Cap -4..+1) = A |
Over the past week, the price has changed by -3.19%, over one month by -13.08%, over three months by +21.42% and over the past year by -22.40%.
- StrongBuy: 8
- Buy: 2
- Hold: 7
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 89.8 | 16.8% |
P/E Forward = 149.2537
P/S = 7.5857
P/B = 11.8554
Revenue TTM = 1.18b USD
EBIT TTM = 77.0m USD
EBITDA TTM = 150.7m USD
Long Term Debt = 466.2m USD (from capitalLeaseObligations, last quarter)
Short Term Debt = 48.5m USD (from shortTermDebt, last quarter)
Debt = 466.2m USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 183.3m USD (from netDebt column, last quarter)
Enterprise Value = 9.02b USD (8.95b + Debt 466.2m - CCE 393.0m)
Interest Coverage Ratio = 12.43 (Ebit TTM 77.0m / Interest Expense TTM 6.19m)
EV/FCF = 345.1x (Enterprise Value 9.02b / FCF TTM 26.1m)
FCF Yield = 0.29% (FCF TTM 26.1m / Enterprise Value 9.02b)
FCF Margin = 2.22% (FCF TTM 26.1m / Revenue TTM 1.18b)
Net Margin = 5.40% (Net Income TTM 63.7m / Revenue TTM 1.18b)
Gross Margin = 18.38% ((Revenue TTM 1.18b - Cost of Revenue TTM 962.9m) / Revenue TTM)
Gross Margin QoQ = 14.89% (prev 18.73%)
Tobins Q-Ratio = 6.63 (Enterprise Value 9.02b / Total Assets 1.36b)
Interest Expense / Debt = 1.33% (Interest Expense 6.19m / Debt 466.2m)
Taxrate = 19.05% (1.16m / 6.08m)
NOPAT = 62.3m (EBIT 77.0m * (1 - 19.05%))
Current Ratio = 2.65 (Total Current Assets 431.1m / Total Current Liabilities 162.7m)
Debt / Equity = 0.60 (Debt 466.2m / totalStockholderEquity, last quarter 779.7m)
Debt / EBITDA = 1.22 (Net Debt 183.3m / EBITDA 150.7m)
Debt / FCF = 7.01 (Net Debt 183.3m / FCF TTM 26.1m)
Total Stockholder Equity = 756.4m (last 4 quarters mean from totalStockholderEquity)
RoA = 5.04% (Net Income 63.7m / Total Assets 1.36b)
RoE = 8.43% (Net Income TTM 63.7m / Total Stockholder Equity 756.4m)
RoCE = 6.30% (EBIT 77.0m / Capital Employed (Equity 756.4m + L.T.Debt 466.2m))
RoIC = 8.24% (NOPAT 62.3m / Invested Capital 756.4m)
WACC = 10.79% (E(8.95b)/V(9.41b) * Re(11.30%) + D(466.2m)/V(9.41b) * Rd(1.33%) * (1-Tc(0.19)))
Discount Rate = 11.30% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 34.78 | Cagr: 0.0%
[DCF] Terminal Value 59.16% ; FCFF base≈36.8m ; Y1≈24.2m ; Y5≈11.1m
[DCF] Fair Price = N/A (negative equity: EV 148.0m - Net Debt 183.3m = -35.3m; debt exceeds intrinsic value)
EPS Correlation: 2.37 | EPS CAGR: 91.85% | SUE: 0.30 | # QB: 0
Revenue Correlation: 89.74 | Revenue CAGR: 15.73% | SUE: 1.04 | # QB: 1
EPS current Quarter (2026-06-30): EPS=0.17 | Chg30d=+0.77% | Revisions=+50% | Analysts=21
EPS current Year (2026-12-31): EPS=0.53 | Chg30d=+2.17% | Revisions=+67% | GrowthEPS=-1.3% | GrowthRev=+23.8%
EPS next Year (2027-12-31): EPS=0.73 | Chg30d=+2.55% | Revisions=+71% | GrowthEPS=+36.3% | GrowthRev=+20.6%
[Analyst] Revisions Ratio: +71%