CAVA Group (NYSE:CAVA) Posts Quarterly Earnings Results, Beats Estimates By $0.03 EPS

Posted by Joseph Casey on May 20th, 2026

CAVA Group (NYSE:CAVA – Get Free Report) announced its earnings results on Tuesday. The company reported $0.20 earnings per share for the quarter, topping the consensus estimate of $0.17 by $0.03, FiscalAI reports. CAVA Group had a return on equity of 8.43% and a net margin of 5.40%.The business had revenue of $438.27 million during the quarter, compared to the consensus estimate of $418.46 million. During the same period in the prior year, the company posted $0.22 EPS. The business’s quarterly revenue was up 32.1% on a year-over-year basis.

Here are the key takeaways from CAVA Group’s conference call:

CAVA posted a strong Q1 2026 with revenue up 32.2% to $434.4 million, same-restaurant sales up 9.7%, and traffic growth of 6.8%.
New unit performance remained very strong, with 20 net new restaurants added in the quarter, bringing the total to 459 locations, and management said new restaurant productivity was above 100%.
Adjusted EBITDA rose 37.6% year over year to $61.7 million, and the company generated $15.5 million of free cash flow while ending the quarter with zero debt and $403 million of cash and investments.
CAVA launched its first-ever seafood item, Pomegranate Glazed Salmon, and said it has been performing in line with test expectations, though it also warned the item will be a margin headwind for the rest of the year.
The company raised full-year 2026 guidance, now expecting 75-77 new openings, 4.5%-6.5% same-restaurant sales growth, and $181 million-$191 million of Adjusted EBITDA.

CAVA Group Stock Performance

Shares of CAVA opened at $78.05 on Wednesday. The stock has a 50-day simple moving average of $84.98 and a 200-day simple moving average of $69.27. The stock has a market capitalization of $9.09 billion, a PE ratio of 144.54, a PEG ratio of 5.62 and a beta of 1.90. CAVA Group has a 1 year low of $43.41 and a 1 year high of $98.79.

Insider Activity

In other news, insider Theodoros Xenohristos sold 9,044 shares of CAVA Group stock in a transaction dated Monday, May 11th. The stock was sold at an average price of $79.75, for a total value of $721,259.00. Following the completion of the transaction, the insider owned 327,882 shares in the company, valued at approximately $26,148,589.50. This trade represents a 2.68% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders own 6.70% of the company’s stock.

Hedge Funds Weigh In On CAVA Group

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Bridgewater Associates LP raised its position in shares of CAVA Group by 2.4% during the 4th quarter. Bridgewater Associates LP now owns 6,827 shares of the company’s stock worth $401,000 after acquiring an additional 163 shares in the last quarter. Advisors Asset Management Inc. grew its stake in shares of CAVA Group by 53.5% in the 4th quarter. Advisors Asset Management Inc. now owns 694 shares of the company’s stock valued at $41,000 after purchasing an additional 242 shares during the last quarter. Brown Advisory Inc. boosted its stake in shares of CAVA Group by 9.3% in the second quarter. Brown Advisory Inc. now owns 2,979 shares of the company’s stock valued at $251,000 after buying an additional 253 shares in the last quarter. State Board of Administration of Florida Retirement System boosted its stake in shares of CAVA Group by 0.4% in the fourth quarter. State Board of Administration of Florida Retirement System now owns 77,227 shares of the company’s stock valued at $4,532,000 after buying an additional 290 shares in the last quarter. Finally, Horizon Investments LLC boosted its stake in shares of CAVA Group by 47.9% in the third quarter. Horizon Investments LLC now owns 1,040 shares of the company’s stock valued at $63,000 after buying an additional 337 shares in the last quarter. Hedge funds and other institutional investors own 73.15% of the company’s stock.

Wall Street Analyst Weigh In

A number of equities analysts have recently weighed in on the company. TD Cowen increased their price target on CAVA Group from $90.00 to $100.00 and gave the stock a “buy” rating in a report on Thursday, April 2nd. Northcoast Research upgraded CAVA Group to a “strong sell” rating in a report on Tuesday, April 21st. Argus reiterated a “hold” rating on shares of CAVA Group in a report on Friday, February 27th. Wolfe Research assumed coverage on CAVA Group in a report on Monday, March 9th. They set an “outperform” rating and a $93.00 price target for the company. Finally, Royal Bank Of Canada increased their price target on CAVA Group from $90.00 to $100.00 and gave the stock an “outperform” rating in a report on Friday, May 1st. One investment analyst has rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating, eleven have issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average target price of $88.81.

Check Out Our Latest Research Report on CAVA

More CAVA Group News

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

Positive Sentiment: CAVA reported Q1 earnings of $0.20 per share, ahead of the $0.17 consensus estimate, and revenue of $438.27 million versus expectations of $418.46 million, signaling solid operational execution. CAVA Group Reports First Quarter 2026 Results
Positive Sentiment: Comparable sales and traffic trends came in strong, helping support a raised full-year outlook and boosting confidence that momentum can continue. Cava Revenue Climbs in as Traffic Grows
Positive Sentiment: Management’s guidance increase and commentary about resilience despite a tougher macro backdrop suggest the growth story remains intact, which is encouraging for investors paying a premium valuation. Cava Defies Restaurant Downturn Fears With Raised Outlook
Neutral Sentiment: CAVA also highlighted its push into AI, using data tools to predict orders, optimize labor, and personalize customer interactions, which could help long-term efficiency but is not an immediate financial catalyst. Cava wants AI to help power its Mediterranean bowl empire
Neutral Sentiment: Analyst and media coverage has focused on the earnings beat and valuation debate, reinforcing that investor attention is centered on whether CAVA can sustain high growth after a strong quarter. Cava Group (CAVA) Q1 Earnings and Revenues Beat Estimates
Negative Sentiment: Despite the strong quarter, CAVA’s earnings per share were slightly below last year’s level, and the stock still trades at a rich valuation, which may limit upside if growth slows. CAVA Group Faces First Comp Sales Test As Growth Story Meets Rich Valuation

CAVA Group Company Profile

(Get Free Report)

CAVA Group, Inc (NYSE: CAVA) is a leading fast-casual restaurant company specializing in Mediterranean-inspired cuisine. Operating under the CAVA brand, the company offers customizable bowls, pitas and salads built around a variety of proteins, grains, fresh vegetables and house-made spreads. With a focus on high-quality ingredients and made-to-order preparation, CAVA aims to deliver a casual yet elevated dining experience for dine-in, takeout and catering customers.

Founded in 2011 in the Washington, DC metro area by Ike Grigoropoulos, Dimitri Katsanis and Brett Schulman, CAVA has pursued an aggressive growth strategy that included the 2018 acquisition of Zoe’s Kitchen.