Cava Group price target raised to $66 from $58 at UBS

UBS raised the firm’s price target on Cava Group (CAVA) to $66 from $58 and keeps a Neutral rating on the shares. The restaurant sector setup is expected to improve in 2026 after heavy pressure in 2025, with upside from stimulus benefits, easier comparisons, and more attractive valuations, though macro pressures on lower-income and younger consumers may weigh on the second half, the analyst tells investors in a research note. Industry same-store sales should modestly improve but remain in the low single digits with negative traffic, while margin gains are likely but tempered by limited pricing power, higher discounting, and food inflation risks, UBS adds.