JPMorgan has lowered the price target for Cava Group Inc from $85 to $80 while maintaining an ‘Outperform’ rating. The stock is currently trading at $51.21, which is 42% below its six-month high. According to InvestingPro, the stock appears undervalued at current levels.
Analyst John Ivanko adjusted the rating after visiting the restaurant and meeting with management. JPMorgan hosted CEO Brett Schulman, CFO Tricia Tolivar, and investor relations representative Matt Milanovich at the Cava restaurant near Dupont Circle and the George Washington University campus. The establishment opened on April 29, 2026. The analyst described it as operating seven days a week in two service formats: focusing on in-person orders and seating in the dining area, as well as a designated area for digital orders.
JPMorgan recommended buying Cava shares, highlighting the brand's potential for national scale and a corporate structure with a high cash ratio. The company's current liquidity ratio is 2.48, and revenue has increased by 27%.
Among other events: following the release of second-quarter 2026 results, CAVA shares attracted attention from several analysts' reports. The company reported a 9.0% increase in comparable sales and over a 5% increase in traffic at comparable locations. The adjusted EBITDA was approximately $55 million—slightly below Guggenheim's estimates but above the consensus forecast of $53 million. KeyBanc lowered its target from $110 to $95 while maintaining an ‘Outperform’ rating. Guggenheim lowered its target from $100 to $95 due to margin pressure, maintaining a ‘Buy’ rating. DA Davidson adjusted its target from $84 to $75 with a ‘Neutral’ rating. Seaport Global initiated coverage with a ‘Buy’ rating and a target of $58, noting potential in the Mediterranean fast-food segment. StoneX reaffirmed ‘Buy’ with a target of $110 after discussions with CAVA's CEO and CFO.
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