Latest news with #Cava
Globe and Mail
2 days ago
- Business
- Globe and Mail
Can Cava Become the Next Chipotle?
Key Points Cava plans to expand its store presence from less than 400 locations today to 1,000 in 2032. Bullish investors would love for the up-and-coming fast-casual concept to become as big as Chipotle. Chipotle not only has 10 times as many stores as Cava, but the Tex-Mex chain is still growing. 10 stocks we like better than Cava Group › Chipotle Mexican Grill (NYSE: CMG) brought innovation to the restaurant sector, pioneering the fast-casual dining concept and scaling it across the U.S. and beyond. The Tex-Mex chain is a leader in the industry, with strong growth and impressive profitability. Its success has spawned copycats. Cava (NYSE: CAVA) is a Mediterranean-inspired fast-casual restaurant chain that's expanding rapidly itself. But it's much smaller today. That hasn't prevented investors from asking what the business might look like down the road. Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue » Does Cava have what it takes to one day become the next Chipotle? Here's what investors must know. Opening new stores rapidly Cava is finding success thanks to some key factors. It's betting on consumers' rising interest in healthy food choices. The Mediterranean diet is considered one of the healthiest in the world. What's more, Cava is trying to copy what has worked so well for Chipotle: The fast-casual dining concept. This combines the speed, convenience, and accessibility people appreciate with fast-food restaurants, but it does so with higher-quality ingredients. By benefiting from these two trends, Cava has seen tremendous growth. The company opened 15 net new stores in the fiscal 2025 first quarter (ended April 20), bringing the total to 382. This supported a 28.2% year-over-year gain in revenue, which was boosted by impressive same-store sales (SSS) growth of 10.8%. That figure is noteworthy because it happened during a time when consumer sentiment has been under pressure. Cava's profitability is getting better. Last fiscal quarter, the operating margin came in at 4.7%. This was a meaningful improvement from the 3.6% operating margin from the year-ago period. Looking ahead, the leadership team has plans to get to 1,000 stores by 2032. Expanding the physical footprint by about three-fold would unquestionably lead to much higher revenue and earnings down the road. Cava's biggest bulls hope this happens, and it would get the business closer to Chipotle's size. Don't question Chipotle's dominance To be clear, Chipotle is experiencing a slowdown, as people prioritize getting more value from the money they spend. The company's same-store sales dipped in each of the last two quarters, a very unusual occurrence for the industry leader. Nonetheless, Chipotle is still a top-notch performer in the restaurant market. The business has developed durable competitive advantages, thanks to its scale. Chipotle has 3,839 stores right now, and it raked in $3.1 billion in revenue in the second quarter, both numbers that are light years ahead of Cava. Chipotle has a more visible brand, and its huge sales base allows it to better leverage marketing, product, and technological investments. At its current size, it's easy to argue that Cava hasn't built an economic moat. Its brand is becoming more well-known, and as it scales, there could be some cost advantages. However, I don't see there being any strengths today. I believe there's a very low probability that Cava will get to Chipotle's store count or market cap. Chipotle isn't sitting still. It might be approaching 4,000 stores soon. But over the long term, the company wants to have 7,000 locations open in North America. I don't see Cava ever reaching that level. Chipotle plans to open 330 stores just this year, which is nearly as many as Cava has in total. Investors who are hoping that the Mediterranean chain can catch up to the purveyor of burritos and bowls must seriously temper their expectations. Chipotle has a commanding lead that Cava likely won't chip away at. Cava's valuation is also very expensive. Shares currently trade at a price-to-earnings ratio of 71.9, a whopping 78% more expensive than Chipotle. Cava isn't worthy of investment consideration. Should you invest $1,000 in Cava Group right now? Before you buy stock in Cava Group, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Cava Group wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $636,628!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,063,471!* Now, it's worth noting Stock Advisor's total average return is 1,041% — a market-crushing outperformance compared to 183% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of July 21, 2025
Yahoo
22-07-2025
- Business
- Yahoo
Cava makes its debut in Michigan
Cava Photo courtesy of Cava You can find original article here Nrn. Subscribe to our free daily Nrn newsletter. Cava has opened its first location in Michigan, in the Detroit suburb of Canton, as part of its broader plan to expand across the state. 'We're thrilled to join the Southeast Michigan community and introduce more guests to the bold, vibrant flavors of the Mediterranean,' regional leader Gino Carlin said in a statement. 'Entering the state of Michigan marks our 28th state, and we're eager to welcome more guests in the Midwest and throughout the country to our table to enjoy our Mediterranean cuisine and hospitality.' The Michigan entry comes on the heels of Cava's debut in Indiana in March and a successful debut in Chicago last year, which chief executive officer Brett Schulman called the company's most successful market opening to date. The company finished 2024 with 58 net new restaurants for 367 total and is projecting 64 to 68 new units in 2025, including in new markets Detroit and Pittsburgh. It's targeting 1,000 locations by 2032. Chief financial officer Tricia Tolivar recently told analysts that new restaurants are performing strongly. 'The cohort that opened in Q4 is performing at average weekly sales levels above 2023,' she said. 'We're still early in looking at these restaurants and understanding how they're going to behave, but we feel very confident in our ability to deliver $2.3 million (average unit volumes) in year one with 10% growth driving to $2.5 million and then 8% growth in the following years.' Cava's first quarter earnings included a 10.8% increase in same-store sales driven by 7.5% traffic growth. During its quarterly earnings call in May, Schulman said "we continued to demonstrate the strength of our category-defining brand, further cementing Mediterranean as the next major cultural cuisine category." Contact Alicia Kelso at
Daily Mirror
16-07-2025
- Daily Mirror
Woman does food shop at Lidl in Spain but is floored by cost of bill
Amanda Griffiths recently went to Lidl in Spain to do her food shop, but she was left floored by the bill. She showed off her "shopping haul", and people couldn't get over what she paid When we go abroad, it's normal to want to do a little supermarket shopping. After all, a lot of people self-cater when they go on holiday, so it's normal to want to stock up on food; however, one woman recently had a bit of a shock when she headed to Lidl in Spain to do her shopping. Amanda Griffiths, who posts as The Griffs on TikTok, recently detailed her experience in a video online. She decided to stick to Lidl to do her shop and she spent around €114.00, which works out at around £96.00, and she admitted the prices have "definitely gone up." In the clip, she said she was hoping the food would last them a while, apart from having to nip out for things like bread and milk. She then showed off what she managed to bag for the price tag, and it's not the first time people have been shocked by the ongoings in Spain. Various items were included in the haul such as a watermelon, a large packet of toilet roll, beers, crisps, soft drinks, Cava and some cleaning products. She also bought essential staples like fruit, vegetables, meat and snacks. In the caption, Amanda admitted inflation is "definitely present" in Spain, noting that the price of fruit and vegetables has "definitely gone up." She said, for this reason, she thinks it's really important that people don't waste food. Since the video was shared, it's been viewed hundreds of times, and dozens of people were quick to comment too. They shared all sorts of thoughts and personal stories. One wrote: "I do think it was worth it - the fruit looks lovely." Another added: "That's cheaper than here I'm sure. Great haul lovely lady." Amanda confessed she thinks it's cheaper than the UK, but she added the prices have "definitely gone up" in Spain too. A third person had a different idea, writing: "Everything seems fairly priced in all fairness. Lovely fruit." Meanwhile, a fourth also commented: "The wine is so cheap. Wow." Someone else also chimed in with: "Honestly, they (the prices) do keep going up." Regarding food prices in Spain, Euro Weekly states:"The prices for drinks and snacks have surged by 50% in tourist zones. Across Spain, sun-seeking tourists on tight budgets, locals struggling with rising costs and familiar anxieties have resurfaced once again. "Has the food suddenly become unaffordable? According to the latest data, the Spanish overall food inflation sits around 2.2%, which is roughly in line with the wider Eurozone. "There is inflation in Spain, and prices are higher than they were in 2024. However, the idea is that Spain might be experiencing a food price crisis, but the data suggests otherwise." It was also reported Spain's food, alcohol and tobacco prices increased by 2.2% in April, according to the EU's official harmonised index. The Eurozone food and drink inflation stands at around 2.2% at present, which is said to have decreased a little.
Yahoo
15-07-2025
- Business
- Yahoo
Naf Naf Grill CEO to retire
This story was originally published on Restaurant Dive. To receive daily news and insights, subscribe to our free daily Restaurant Dive newsletter. Greg William, the CEO of Naf Naf Middle Eastern Grill since 2020, is retiring, according to a Monday press release. CFO Grady Metoyer will assume the CEO responsibilities at the 39-unit Mediterranean fast casual chain on an interim basis, according to the press release. William will work with Metoyer and the board over the next two months to ensure a smooth transition, then will remain an active board member and investor, the company said. William became the brand's first franchisee in 2019 and expanded the Chicago-based brand into Indianapolis and Carmel, Indiana. He ascended to the CEO post a year later. Metoyer, meanwhile, has served as CFO for eight years, according to the press release. He has over 25 years of experience in the food and beverage industry and has worked in various finance positions at Sysco and its subsidiary SYGMA as well as Food Brand, a 100-unit fast casual operator. Naf Naf has experienced both growth and contraction in recent years, according to its Franchise Disclosure Document. Its unit count jumped from 29 to 38 in 2022, before remaining flat the next year and nudging up to 41 as of the end of 2024 — before settling at the 39-store figure in the press release. The chain has been working with Love's Travel Stops & Country Store to open non-traditional locations. Additionally, its average unit volume hangs around $1 million, with company-operated units seeing an average net sales of $1.2 million and franchisees stores an average of about $855,000. This AUV is low in comparison to the segment leader, Cava, with stores boasting an AUV for $2.9 million in 2024, according to an earnings release. Like many Mediterranean fast casual brands, Naf Naf may be hoping to catch consumer interest in healthy, bowl-based options and Mediterranean flavors to power its future growth. But for the brand, as for other competitors like Taim, this growth will depend on finding ways to differentiate itself from Cava, which is well-positioned to outperform the restaurant industry and grow quickly, according to analysts. And Naf Naf will face that competitive battle on its own territory now. When Cava entered the Chicago market last year, the brand said it was its strongest market entry ever. Recommended Reading Naf Naf grows partnership with Love's Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Miami Herald
15-07-2025
- Politics
- Miami Herald
Trump inherited a mess from Biden, so why so much controversy over Alligator Alcatraz?
Immigration facility Why do we have a red hot controversy over the detention facility known as Alligator Alcatraz? Because the Trump administration is attempting to deport illegal immigrants. The administration inherited a huge number of illegal immigrants the day Trump took office. Apparently, there are not enough detention facilities. If Democrats oppose this effort, why not go to Congress and try to pass a bill to forbid all deportations? Does Miami-Dade County Mayor Cava have experience inspecting jails? Gary Sisler, Cutler Bay Indoctrination? Insane Miami Herald reporter Garrett Shanley's July 14 story, 'Florida spends $4 million on new 'ideology-free' college accreditor,' suggests a return to McCarthyism, a period of indoctrination as hinted to by President Trump who said that his 'secret weapon' — using accreditation — 'will force schools to adapt policies favored by conservatives.' Gov. Ron DeSantis spoke of liberal cartels, Juntas and woke, ideological-laden words used in indoctrination. Threatening academic freedom, replacing it with 'policies favored by conservatives' is indoctrination. Liberalism is a universal mosaic of neutral principles like constitutional, scientific and legal processes, including human rights. Science demands facts to counter superstition. Human rights, if not applied, become a farce. Courts without due process allow the powerful to put a finger on the scales of justice. The U.S. Constitution, unenforced, becomes a door mat. Liberalism does not take sides. It requires accuracy when making accusations. Its legal procedures prevent miscarriages of justice by insuring the protection of due process. Its belief in evidence uproots superstitions and unmasks conspiracy theories. Its support for human and civil rights is the bedrock of democracy. Liberalism advocates for free markets, well-regulated, with progressive taxation, just as Adam Smith, the father of liberal capitalism, suggested. Advocating Floridians to pay $4 million to be indoctrinated is not conservative; it is madness. Phil Beasley, Plantation Playhouse drama The Coconut Grove Playhouse is not being 'revived.' It is being dismantled slowly, strategically and under the false branding of cultural renewal. What Bari Newport describes in her July 3 Miami Herald op-ed, 'Why the Coconut Grove Playhouse project is a revival, not a demolition,' is not a bold investment in Miami's future. It is an underwhelming compromise dressed up as progress. A historic 1,100-seat landmark, capable of hosting national touring acts and regional collaborations, is being reduced to a 300-seat boutique venue the public never requested nor was it proven to be financially viable. The community was promised restoration. What they have received instead is selective demolition, missed deadlines and a decade of delay from the agencies entrusted with stewardship. Florida owns this land and Miami-Dade County was granted a lease with a clear purpose: restore the property as a public theater, with timely progress and proper upkeep. While the county may have won its case in a Miami-Dade courtroom, the real legal question lies with the state. Whether a breach of lease justifies taking the property back is now supported by mounting evidence. State officials, including those from the Florida Department of Environmental Protection and the Division of Historical Resources, have documented troubling violations, including the penetration of the historic façade through its original window openings. This is a clear indication that the project has veered far from preservation. World-class performances or internationally acclaimed talent will never be attracted to a glorified black-box theater with 300 seats. It is not viable, not visionary and not what Miami deserves. If this were truly about artistic excellence, we would be having an open conversation about programming, access and impact, not sneaking asbestos abatement contracts through without public review, or clearing parking lots in the middle of legal limbo. Where are the public notices? Where is the transparency? Why were key architectural voices and preservation experts excluded? Will voters allow the county to get away with it? Will the state intervene before it is too late? This plan is being championed by insiders, while so many of the most respected voices in American theater, including Edward Albee, Zev Buffman, Arva Parks, Vic Meyrich, Howard Rogut and countless local artists and residents oppose it outright. They do not oppose progress — they oppose erasure. They know the economic and artistic future of this space depends on a real stage, real scale and real integrity. This is not about politics; it is about accountability. Miami-Dade residents and Floridians deserve better than this. If the county cannot meet the terms of its lease — terms it agreed to and obligations it ignored — then the state has a duty to step in. The Playhouse deserves its legacy and the people deserve the truth. Fabián Basabe, representative, Florida House of Representatives, Tallahassee Quick build One thing that is particularly striking about Alligator Alcatraz is the speed at which it was constructed. It reminds me of the incredible pace at which the Sanibel Causeway was repaired after Hurricane Ian in 2022. If only the governor could take over the small bridge project that has been taking forever to complete between Southwest 70th and 72nd avenues along 136th street, a main thoroughfare. I suspect he could have had it done for far less cost, with the prefabricated components trucked to the site in less than two months, in view of the shortness of the span. Robert E. Panoff, Pinecrest Real patriots In the May 23 Miami Herald op-ed, 'Florida ranks low on patriotism? I don't believe it,' writer Mary Anna Mancuso suggested Republicans are more patriotic than Democrats. I am a reformed Reagan Republican and a patriot who, to borrow the famous saying, 'I didn't leave the Republican Party, it left me.' Patriots speak up against stupidity, injustice, hate, violence, bigotry and misogyny. We embrace protesting as our right to free speech. We don't ban books. We don't prevent others from choosing their sexual orientation or partner. Patriotism is not owned by any party. We are liberals, moderates, conservatives, Republicans, independents, Democrats and those slowly waking up politically who have never protested before. We won't stay silent when seeing due process ignored and people arrested based on their appearance or tattoos. We don't need to wave flags, but our flag waves on our lawns with signage stating, 'Protect Democracy.' We marched proudly in the 'No Kings' protest. I do not recognize today's Republican Party, which is filled with too many haters waving MAGA hats and flags and deriding those who disagree with suppressive policies. Nope. The party has no right to claim itself as 'more patriotic' than the rest of us. John and Debbie Dolson, Coconut Grove Worthy sacrifice Every time President Trump wants to show the world how powerful he is by imposing or increasing tariffs, he is really just taxing the American people. His presidency's two biggest legislative accomplishments were giving the ultra rich large tax breaks, paid for by increasing the national debt for future generations. His loyal legions accept this economic assisted suicide as the price for persecuting the LGBTQ community, controlling women's bodies and putting people of color in their place. If you ask what would Jesus do, perhaps he would seek residency in Canada, Mexico, or anywhere ICE agents don't profile dark-skinned middle easterners. Roberto Romero, Snellville, GA Fumble or Hail Mary? Former Miami Dolphins quarterback Teddy Bridgewater has been suspended from his head football coaching position at Miami Northwestern, his high school alma mater, for providing 'impermissible benefits' to his players. These benefits included paying for Uber rides, physical therapy, pregame meals, recovery help, field paint and more. If that's true, Bridgewater should be celebrated, not suspended. Paul Bacon, Hallandale Beach
