Latest news with #CavaGroupInc
San Francisco Chronicle
5 days ago
- Business
- San Francisco Chronicle
Cava: Q2 Earnings Snapshot
WASHINGTON (AP) — WASHINGTON (AP) — Cava Group Inc. (CAVA) on Tuesday reported second-quarter net income of $18.4 million. On a per-share basis, the Washington-based company said it had net income of 16 cents. The results exceeded Wall Street expectations. The average estimate of eight analysts surveyed by Zacks Investment Research was for earnings of 13 cents per share. The Mediterranean restaurant chain posted revenue of $280.6 million in the period, which did not meet Street forecasts. Eight analysts surveyed by Zacks expected $286.6 million. _____
Mint
15-05-2025
- Business
- Mint
Cava Avoids the Diner Pullback That's Hitting US Restaurants
Cava Group Inc. sales rose in the first quarter, defying the consumer malaise that rivals have blamed for a slowdown in restaurant visits. Sales at established restaurants grew 10.8% in the three months ended April 20, in line with the average estimate of analysts polled by Bloomberg, largely due to an increase in customers. Adjusted earnings per share were ahead of expectations. Cava shares fell 5.1% at 4:21 p.m. in late trading in New York. The company increased its full-year outlook for a measure of earnings excluding taxes, interest and other items but didn't boost its view for same-store sales. Cava has outpaced competitors in recent quarters, raising expectations among investors. The first-quarter performance got a boost from an easier comparison to a year earlier, when Cava posted its smallest same-store sales gain since going public in 2023. Still, the results contrast starkly with fast-casual peers such as Sweetgreen Inc. and Chipotle Mexican Grill Inc., which reported slumps that they attributed largely to consumers growing more cautious due to on-again, off-again tariff announcements. Fast-food chains such as McDonald's and Wendy's have also said weaker consumer sentiment hurt results in their latest quarters. Meals at Cava, which serves Mediterranean-inspired dishes, generally cost less than those offered by competitors such as Sweetgreen, a factor that appears to be playing in Cava's favor. The company raised prices by 1.7% in January, Chief Executive Officer Brett Schulman said, but isn't planning any further increases this year. 'I think the relative value is very important to consumers when they're being faced with so much uncertainty and pressures around them,' Schulman said in an interview. Customers opted for extras such as pita chips and also purchased pricier proteins such as steak and lamb, he added, while still staying 'within their budgets.' A chicken and rice bowl came to $12.25 before tax at Cava's Chicago location on Thursday, according to the company's website. Sweetgreen's harvest bowl, which also has chicken, cost $13.95 at a store in the same neighborhood, while the salad chain's crispy rice bowl was $14.25. Cava's fiscal first quarter included the turbulent period when President Donald Trump announced broad-based tariffs. Yet trends were steady throughout the period, with no noticeable customer pullback, according to the company. Inclement weather across the US and the fires in Los Angeles also hurt the industry in the first few months of the year. 'Our business and guests have been resilient' despite obstacles including challenging weather, fires and tariffs, Schulman said. The chain slightly raised its outlook for how many locations it will open this year. It bought all the equipment for the new restaurants last year, according to Schulman, so tariffs shouldn't hit its building costs. This article was generated from an automated news agency feed without modifications to text.
Bloomberg
15-05-2025
- Business
- Bloomberg
Cava Avoids the Diner Pullback That's Hitting US Restaurants
Cava Group Inc. sales rose in the first quarter, defying the consumer malaise that rivals have blamed for a slowdown in restaurant visits. Sales at established restaurants grew 10.8% in the three months ended April 20, in line with the average estimate of analysts polled by Bloomberg, largely due to an increase in customers. Adjusted earnings per share were ahead of expectations.
Yahoo
10-04-2025
- Business
- Yahoo
Jim Cramer Compares Cava Group Inc. (CAVA) to 'Early Chipotle' — Says 'Buy, Buy, Buy!'
We recently published a list of . In this article, we are going to take a look at where Cava Group Inc. (NYSE:CAVA) stands against other stocks that Jim Cramer discusses. On Thursday, April 3rd, the host of Mad Money opened the most recent show by addressing the growing concerns surrounding the current tariff policies. He questioned the effectiveness of these tariffs as he asked: 'What's the deal with these heavy-handed tariffs? Look, I've never been a dogmatic free trader. I believe in fair trade, a pretty fierce belief just so you know and we can only get that by lowering the boom on our trading partners who rip us off as a matter of policy.' READ ALSO: , and Cramer explained that while he has always supported the idea of tariffs in principle, especially when they are part of a well-thought-out strategy, he expressed frustration over how the new trade regime is being executed. He said he was taken aback by how poorly the administration was rolling out these changes, which he felt lacked a clear and coherent plan. Cramer then pointed out what James Surowiecki, the author of The Wisdom of Crowds, said about how the White House is calculating tariffs. 'The White House simply took our trade deficit with each country and then divided it by that country's exports to America. Then they cut that number in half to determine the tariff rate we'd be slapping on the country in question.' Cramer noted that just hours later, an unnamed official from the White House confirmed this and described it as 'the sum of all unfair trade practices, the sum of all cheating.' Cramer called it ill-advised. Later in the day, President Trump made a statement suggesting that he might be open to reducing tariffs if presented with 'phenomenal' offers. However, Cramer raised an important question: 'Who determines what those offers are, and what do they even mean?' He admitted that he had no clear answer to that question. 'Here's the bottom line: I wish I could get behind this new tariff regime because I've never been a free trader ever. But the White House doesn't seem to understand what it's trying to do and the not-really-reciprocal tariffs we got yesterday could do tremendous damage to the US economy, of course including the stock market, without changing the bad behavior of our trading partners. To me, this has become a lose-lose, which is very tough to accept because I wanted tariffs to change things, not to wreck things.' For this article, we compiled a list of 11 stocks that were discussed by Jim Cramer during Mad Money episodes that aired 1 year ago between April 5 and April 12. We then calculated their performance for the past 12 months, until April 2nd, 2025, market close. We have also included the hedge fund sentiment for the stocks, which we sourced from Insider Monkey's Q4 2024 database of over 900 hedge funds. The stocks are listed in the order that Cramer mentioned them. Please note that this article mentions Jim Cramer's previous opinions and may not account for any changes to his opinions regarding the stocks that are mentioned. It is primarily an examination of how his previously provided opinions have panned out. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter's strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here). A close-up image of a colorful salad platter with toppings and Group Inc. (NYSE:CAVA), a fast-casual Mediterranean restaurant chain, was viewed by Cramer as a younger version of Chipotle when he recommended it last year. He praised its growth potential, even if valuation looked steep at the time. 'I like Cava right here, to be honest, I like Cava. I think it's a terrific situation, it's come down from a high, it's got great fundamentals, long-term growth, feels a lot like Chipotle did when Chipotle started. You're not going to find the stock to be ever really cheap, it's got too good a bloodline to have that happen.' Cava shares have jumped 24% since his comment, as the company continued to scale rapidly and impress investors with its unit economics. The host of Mad Money remains bullish on Cava Group Inc (NYSE:CAVA) and considers the stock a long-term pick, according to his comments from April 2: 'I think it's an excellent long-term, what we call a regional-to-national story. They had 367 locations at the end of last year, and their stores are doing very well. They've got a ton of room to expand from a regional to a national player — that's right, go all over the country. For the record, Chipotle stock was never cheap either. I don't see any signs of the concept losing momentum. When Cava reported its latest quarter, it delivered 21% same-store sales growth — for heaven's sake! Now the stock's down 55% from its high, you have my blessing to start buying Monday. And if it keeps falling, you know what you should do — buy, buy, buy!' Overall, CAVA ranks 8th on our list of stocks that Jim Cramer discusses. While we acknowledge the potential of CAVA as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than CAVA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey. Sign in to access your portfolio
