Cava Group (CAVA) closed the most recent trading day at $126.60, moving +1.34% from the previous trading session. The stock outperformed the S&P 500, which registered a daily gain of 0.9%. Elsewhere, the Dow gained 0.81%, while the tech-heavy Nasdaq added 1.22%.

The Mediterranean restaurant chain's shares have seen an increase of 7.04% over the last month, surpassing the Retail-Wholesale sector's gain of 5.79% and the S&P 500's gain of 3.15%.

The investment community will be paying close attention to the earnings performance of Cava Group in its upcoming release. The company is predicted to post an EPS of $0.11, indicating an 83.33% growth compared to the equivalent quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $233.7 million, showing a 33.12% escalation compared to the year-ago quarter.

For the full year, the Zacks Consensus Estimates project earnings of $0.43 per share and a revenue of $938.54 million, demonstrating changes of +104.76% and +28.8%, respectively, from the preceding year.

Investors should also pay attention to any latest changes in analyst estimates for Cava Group. These revisions help to show the ever-changing nature of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Cava Group currently has a Zacks Rank of #3 (Hold).

In terms of valuation, Cava Group is currently trading at a Forward P/E ratio of 293.46. Its industry sports an average Forward P/E of 22.65, so one might conclude that Cava Group is trading at a premium comparatively.

The Retail - Restaurants industry is part of the Retail-Wholesale sector. Currently, this industry holds a Zacks Industry Rank of 174, positioning it in the bottom 31% of all 250+ industries.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.

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