CAVA GROUP INC (CAVA) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CAVA - US1489291021 - Common Stock
60.15 USD
-1.57 (-2.54%)
60.15 USD
0 (0%)
CAVA gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 133 industry peers in the Hotels, Restaurants & Leisure industry. CAVA has a great financial health rating, but its profitability evaluates not so good. CAVA is valued quite expensive, but it does show an excellent growth.
1. Profitability
1.1 Basic Checks
In the past year CAVA was profitable.
In the past year CAVA had a positive cash flow from operations.
1.2 Ratios
CAVA's Return On Assets of 10.40% is amongst the best of the industry. CAVA outperforms 82.71% of its industry peers.
CAVA has a Return On Equity of 17.87%. This is in the better half of the industry: CAVA outperforms 75.19% of its industry peers.
With a Return On Invested Capital value of 4.18%, CAVA perfoms like the industry average, outperforming 47.37% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.4% | ||
| ROE | 17.87% | ||
| ROIC | 4.18% |
ROA(3y)0.8%
ROA(5y)N/A
ROE(3y)-2.18%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
CAVA has a better Profit Margin (12.14%) than 78.95% of its industry peers.
CAVA has a worse Operating Margin (5.44%) than 60.15% of its industry peers.
With a Gross Margin value of 32.01%, CAVA is not doing good in the industry: 73.68% of the companies in the same industry are doing better.
CAVA's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.44% | ||
| PM (TTM) | 12.14% | ||
| GM | 32.01% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y7.15%
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CAVA is destroying value.
CAVA has more shares outstanding than it did 1 year ago.
CAVA has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
CAVA has an Altman-Z score of 8.55. This indicates that CAVA is financially healthy and has little risk of bankruptcy at the moment.
With an excellent Altman-Z score value of 8.55, CAVA belongs to the best of the industry, outperforming 94.74% of the companies in the same industry.
There is no outstanding debt for CAVA. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 8.55 |
ROIC/WACC0.48
WACC8.78%
2.3 Liquidity
A Current Ratio of 2.69 indicates that CAVA has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 2.69, CAVA belongs to the top of the industry, outperforming 90.23% of the companies in the same industry.
CAVA has a Quick Ratio of 2.63. This indicates that CAVA is financially healthy and has no problem in meeting its short term obligations.
CAVA's Quick ratio of 2.63 is amongst the best of the industry. CAVA outperforms 90.23% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.69 | ||
| Quick Ratio | 2.63 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 19.57% over the past year.
CAVA shows a strong growth in Revenue. In the last year, the Revenue has grown by 23.93%.
CAVA shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 24.44% yearly.
EPS 1Y (TTM)19.57%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-20%
Revenue 1Y (TTM)23.93%
Revenue growth 3Y24.44%
Revenue growth 5YN/A
Sales Q2Q%19.86%
3.2 Future
CAVA is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 21.46% yearly.
Based on estimates for the next years, CAVA will show a quite strong growth in Revenue. The Revenue will grow by 19.32% on average per year.
EPS Next Y9.98%
EPS Next 2Y9.41%
EPS Next 3Y16.07%
EPS Next 5Y21.46%
Revenue Next Year21.86%
Revenue Next 2Y21.14%
Revenue Next 3Y20.78%
Revenue Next 5Y19.32%
3.3 Evolution
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 109.36, CAVA can be considered very expensive at the moment.
Based on the Price/Earnings ratio, CAVA is valued a bit more expensive than 60.15% of the companies in the same industry.
CAVA's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 26.92.
Based on the Price/Forward Earnings ratio of 102.55, the valuation of CAVA can be described as expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CAVA indicates a slightly more expensive valuation: CAVA is more expensive than 64.66% of the companies listed in the same industry.
CAVA's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 23.46.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 109.36 | ||
| Fwd PE | 102.55 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CAVA is valued expensively inside the industry as 81.20% of the companies are valued cheaper.
CAVA's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 274.85 | ||
| EV/EBITDA | 49.2 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates CAVA does not grow enough to justify the current Price/Earnings ratio.
CAVA's earnings are expected to grow with 16.07% in the coming years. This may justify a more expensive valuation.
PEG (NY)10.96
PEG (5Y)N/A
EPS Next 2Y9.41%
EPS Next 3Y16.07%
5. Dividend
5.1 Amount
No dividends for CAVA!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
60.15
-1.57 (-2.54%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners83.51%
Inst Owner Change2.99%
Ins Owners5.6%
Ins Owner Change0.06%
Market Cap6.98B
Revenue(TTM)1.13B
Net Income(TTM)137.44M
Analysts79.31
Price Target69.63 (15.76%)
Short Float %12.93%
Short Ratio3.34
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)5.24%
Min EPS beat(2)-5.84%
Max EPS beat(2)16.32%
EPS beat(4)2
Avg EPS beat(4)10.27%
Min EPS beat(4)-24.49%
Max EPS beat(4)55.09%
EPS beat(8)6
Avg EPS beat(8)86.09%
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-2.88%
Min Revenue beat(2)-3.68%
Max Revenue beat(2)-2.08%
Revenue beat(4)0
Avg Revenue beat(4)-1.65%
Min Revenue beat(4)-3.68%
Max Revenue beat(4)-0.42%
Revenue beat(8)3
Avg Revenue beat(8)0.36%
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-2.59%
PT rev (3m)-26.22%
EPS NQ rev (1m)-3.53%
EPS NQ rev (3m)-52.92%
EPS NY rev (1m)-4.67%
EPS NY rev (3m)-4.84%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.28%
Revenue NY rev (1m)-0.58%
Revenue NY rev (3m)-0.75%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 109.36 | ||
| Fwd PE | 102.55 | ||
| P/S | 6.16 | ||
| P/FCF | 274.85 | ||
| P/OCF | 40.01 | ||
| P/B | 9.07 | ||
| P/tB | 9.12 | ||
| EV/EBITDA | 49.2 |
EPS(TTM)0.55
EY0.91%
EPS(NY)0.59
Fwd EY0.98%
FCF(TTM)0.22
FCFY0.36%
OCF(TTM)1.5
OCFY2.5%
SpS9.76
BVpS6.63
TBVpS6.6
PEG (NY)10.96
PEG (5Y)N/A
Graham Number9.06
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.4% | ||
| ROE | 17.87% | ||
| ROCE | 5.29% | ||
| ROIC | 4.18% | ||
| ROICexc | 6.27% | ||
| ROICexgc | 6.3% | ||
| OM | 5.44% | ||
| PM (TTM) | 12.14% | ||
| GM | 32.01% | ||
| FCFM | 2.24% |
ROA(3y)0.8%
ROA(5y)N/A
ROE(3y)-2.18%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y7.15%
GM growth 5YN/A
F-Score6
Asset Turnover0.86
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 212.17% | ||
| Cap/Sales | 13.16% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 132.28% | ||
| Profit Quality | 18.47% | ||
| Current Ratio | 2.69 | ||
| Quick Ratio | 2.63 | ||
| Altman-Z | 8.55 |
F-Score6
WACC8.78%
ROIC/WACC0.48
Cap/Depr(3y)238.66%
Cap/Depr(5y)N/A
Cap/Sales(3y)16.25%
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)19.57%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-20%
EPS Next Y9.98%
EPS Next 2Y9.41%
EPS Next 3Y16.07%
EPS Next 5Y21.46%
Revenue 1Y (TTM)23.93%
Revenue growth 3Y24.44%
Revenue growth 5YN/A
Sales Q2Q%19.86%
Revenue Next Year21.86%
Revenue Next 2Y21.14%
Revenue Next 3Y20.78%
Revenue Next 5Y19.32%
EBIT growth 1Y41.66%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year226.38%
EBIT Next 3Y70.78%
EBIT Next 5Y51.85%
FCF growth 1Y138.4%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y135.99%
OCF growth 3Y262.05%
OCF growth 5YN/A
CAVA GROUP INC / CAVA FAQ
What is the ChartMill fundamental rating of CAVA GROUP INC (CAVA) stock?
ChartMill assigns a fundamental rating of 5 / 10 to CAVA.
Can you provide the valuation status for CAVA GROUP INC?
ChartMill assigns a valuation rating of 0 / 10 to CAVA GROUP INC (CAVA). This can be considered as Overvalued.
How profitable is CAVA GROUP INC (CAVA) stock?
CAVA GROUP INC (CAVA) has a profitability rating of 3 / 10.
Can you provide the financial health for CAVA stock?
The financial health rating of CAVA GROUP INC (CAVA) is 8 / 10.
What is the expected EPS growth for CAVA GROUP INC (CAVA) stock?
The Earnings per Share (EPS) of CAVA GROUP INC (CAVA) is expected to grow by 9.98% in the next year.