TD Cowen Cuts CAVA Price Target to $78

TD Cowen reiterated its Buy rating on CAVA Group, Inc. (NYSE: CAVA) on October 21, 2026, while lowering its price target from $85.00 to $78.00. According to the research note released on October 21, 2026, the firm keeps a long-term positive stance on the restaurant operator even as it scales back its target price. CAVA Group closed at $55.00 on the day of the rating update.

CAVA CAVA Group, Inc.

$54.87 ▼ -9.38% year to date

1M 3M YTD

Daily close · Oct 21, 2026

TD Cowen's Call on CAVA Group, Inc.

In its October 21, 2026 update, TD Cowen kept its Buy rating intact while reducing the target to $78.00 from $85.00. The firm joins a handful of other major banks that have updated their views on the Mediterranean restaurant chain in recent weeks. Wall Street coverage includes Seaport Global initiating coverage with a Buy rating and a $58.00 target on September 16, 2026, followed by RBC Capital maintaining an Outperform rating and lowering its target from $95.00 to $85.00 on September 17, 2026. JP Morgan maintained an Overweight rating with an $80.00 target on September 18, 2026, and Melius Research upgraded the stock to a Buy with a $95.00 target on October 8, 2026.

Other Institutional Activity in CAVA Group, Inc.

Large investment firms have adjusted their positions in the restaurant chain during recent reporting periods. Alliancebernstein L.P. reduced its holdings by 2,542,540 shares, ending with 6,642,936 shares valued at about $361,707,870. Artal Group S.A. cut its stake by 2,999,665 shares, closing the period with 6,507,990 shares worth approximately $354,360,060. Meanwhile, 1832 Asset Management L.P. grew its holdings by 1,006,311 shares, finishing with 2,525,500 shares valued at about $137,513,476.

CAVA Group, Inc. Stock Down 5.3%

Shares of CAVA recently traded around $54.42 as of October 22, 2026, down about 1.1% from their $55.00 close on the rating date. The stock changes hands well below its 50-day moving average of $58.96 and its 200-day moving average of $72.04. The restaurant operator holds a market capitalization of $6.42 billion and a trailing P/E ratio of 100.0, with a forward P/E ratio of 73.93.

Recent Earnings

CAVA Group generated trailing twelve-month revenue of $1.37 billion and basic earnings of $0.55 per share. The company posted a net profit margin of 4.8% and a return on equity of 8.3%. Year-over-year revenue growth reached 31.3%. The company's next quarterly financial results are scheduled for release on November 4, 2026.

Insider Buying and Selling at CAVA Group, Inc.

Company insiders have executed several transactions over the past few months. Officer Kelly Costanza disposed of 15,360 shares on June 17, 2026, for a total value of $1,380,764. Director Karen Kochevar sold 10,000 shares at $90.00 per share on June 18, 2026, totaling $900,000. On the buying side, Chief Operating Officer Douglas W Thompson picked up 6,500 shares at $66.52 apiece on August 31, 2026, worth $432,380. Officer Joseph John Kadow purchased 1,000 shares at $49.96 each on September 15, 2026, for a total of $49,960.

About CAVA Group, Inc.

Headquartered in Washington, District of Columbia, CAVA Group, Inc. develops and operates a expanding chain of fast-casual Mediterranean restaurants across the United States. Beyond its physical dining locations, the company sells branded dips, spreads, and dressings through retail grocery stores and provides digital ordering via mobile and online channels. Founded in 2006, the business continues to scale its footprint in the domestic restaurant sector.

Bottom Line

TD Cowen's revised price target reflects changing market expectations for the restaurant chain as shares trade below their key moving averages. Investors will look to the upcoming earnings report on November 4, 2026, for further insight into same-store sales growth and margin trends.