CAVA

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CAVA reported Q3 2024 EPS of 15 cents, beating analyst estimates by 4 cents.
Revenues surged 39% year-over-year (YoY) to $243.82 million, beating consensus estimates for $233.05 million.
Restaurant sales comps rose 18.1% YoY as guest traffic surged 12.9% YoY.
5.2% increase came from menu pricing and product mix, the surge in guest traffic is a solid sign of organic growth.
The Mediterranean could be the next major cultural cuisine category.While the results were spectacular, it's important not to rush in head first on the stock.
FOMO investors found that out the hard way after earnings. Shares shot up as high as $172.43 the following morning from $145.03, only to "sell the news" after the price gap fell to a low of $133.00 several days later. The stock still trades around the $115.08 level with a P/E of 250 but near its $110.00 pre-earnings support level, which is much cheaper than the $172.43 peak that someone bought the day after earnings.