Cava Group initiated with an Outperform at RBC Capital

RBC Capital initiated coverage of Cava Group (CAVA) with an Outperform rating and $80 price target Cava is the “dominant brand in the fast-growing” Mediterranean space with a “long runway” for unit growth, the analyst tells investors in a research note. The firm believes the stock’s 45% drop year-to-date offers a buying opportunity given the company’s improving unit economics.