CAVA Group, Inc. (NYSE:CAVA) stock is down 2.68% over the past three months. Here’s what you need to know.

What To Know: In May, the company reported earnings for the first-quarter. Cava reported adjusted earnings per share of 22 cents, beating the consensus estimate of 14 cents. In addition, the company reported sales of $331.83 million, beating the consensus estimate of $326.88 million, and representing a 28.2% year-over-year climb.

The company reported same restaurant sales growth of 10.8% and traffic growth of 7.5%. Cava opened 15 new restaurants during the quarter, bringing its total to 382 — an 18.3% year-over-year increase.

Cava also updated its fiscal-year guidance, now expecting 64 to 68 new restaurant openings and same-restaurant sales growth of 6% to 8%. Additionally, the company raised its pre-opening cost outlook to $14.5 million to $15.5 million, which may have weighed on the stock as it cuts into profit.

Following the earnings report, multiple analysts issued price target adjustments.

• TD Securities analyst Andrew Charles reiterated a Buy rating on Cava and maintained a  $120 price target.
• Baird analyst David Tarantino maintained an Outperform rating on Cava and raised the price target from $105 to $115.
• Citigroup analyst Jon Tower maintained a Neutral rating on Cava and raised the price target from $114 to $115.

More recently, analysts from Stifel and JP Morgan announced price target changes.

• Stifel analyst Chris O’Cull maintained a Buy rating on Cava and lowered the price target from $175 to $125.
• JP Morgan analyst John Ivankoe maintained an Overweight rating on Cava and lowered the price target from $115 to $95.

The consensus price target for Cava is $116.53, with the lowest price target at $48 and the highest price target at $150.

Recent price target downgrades may have added to the stock’s selling pressure.

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CAVA Price Action: At the time of writing, Cava shares are trading 8.42% higher at $84.45, according to data from Benzinga Pro.

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