Analysts on Wall Street project that Cava Group (CAVA) will announce quarterly earnings of $0.13 per share in its forthcoming report, representing a decline of 13.3% year over year. Revenues are projected to reach $293.31 million, increasing 20.3% from the same quarter last year.
The consensus EPS estimate for the quarter has undergone a downward revision of 18% in the past 30 days, bringing it to its present level. This represents how the covering analysts, as a whole, have reassessed their initial estimates during this timeframe.
Ahead of a company's earnings disclosure, it is crucial to give due consideration to changes in earnings estimates. These revisions serve as a noteworthy factor in predicting potential investor reactions to the stock. Numerous empirical studies consistently demonstrate a strong relationship between trends in earnings estimate revision and the short-term price performance of a stock.
While investors usually depend on consensus earnings and revenue estimates to assess the business performance for the quarter, delving into analysts' forecasts for certain key metrics often provides a more comprehensive understanding.
That said, let's delve into the average estimates of some Cava metrics that Wall Street analysts commonly model and monitor.
Analysts predict that the 'Revenue- CAVA Restaurant' will reach $292.18 million. The estimate suggests a change of +21% year over year.
The average prediction of analysts places 'CAVA Same Restaurant Sales Growth' at 3.2%. The estimate is in contrast to the year-ago figure of 18.1%.
Based on the collective assessment of analysts, 'End of period CAVA Restaurants' should arrive at 416 . The estimate compares to the year-ago value of 352 .
The collective assessment of analysts points to an estimated 'New CAVA restaurant openings, including converted Zoes Kitchen locations' of 17 . The estimate compares to the year-ago value of 11 .
Analysts expect 'Occupancy as a percentage of CAVA Revenue' to come in at 6.7%. Compared to the current estimate, the company reported 6.8% in the same quarter of the previous year.
The combined assessment of analysts suggests that 'Restaurant-Level profit- CAVA' will likely reach $73.71 million. The estimate is in contrast to the year-ago figure of $61.82 million.
View all Key Company Metrics for Cava here>>>
Cava shares have witnessed a change of -2% in the past month, in contrast to the Zacks S&P 500 composite's +3.6% move. With a Zacks Rank #4 (Sell), CAVA is expected underperform the overall market performance in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
CAVA Group, Inc. (CAVA): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
