Long Position on CAVA @ $40.75 on 12/20/2023 (Fundamentals)

CAVA Group, Inc. (CAVA) owns and operates a chain of Mediterranean restaurants.

The company offers salads, dips, spreads, toppings, and dressings.

It sells its products through whole food markets and grocery stores. The company also provides online food ordering services. Cava Group, Inc. was founded in 2006 and is based in Washington, District of Columbia.

CAVA Group, Inc. reported earnings on November 7th. The company reported earnings of $0.06 per share on revenue of $175.55 million for the third quarter ended September 2023. The consensus estimate was a loss of $0.01 per share on revenue of $171.23 million. The company beat expectations by 200.00%.

The company said it now expects 2023 Adjusted EBITDA of $70.0 million to $73.0 million. The company's previous guidance was Adjusted EBITDA of $62.0 million to $67.0 million for the year ending December 31, 2023.

After examining the company's strong foot traffic and increase of stores, share prices should head higher.

Entry Point: $40.75

Trading Range: $29.05 - $58.10

Stop Loss: $38.75

Target Price: $44.80

Position closed on 12/27/2023 at price of $44.82 with a 9.99% gain in 7 days.

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