Cava Group (CAVA) closed at $137.32 in the latest trading session, marking a +1.68% move from the prior day. The stock outpaced the S&P 500's daily loss of 0.76%. Elsewhere, the Dow lost 0.28%, while the tech-heavy Nasdaq lost 1.2%.

Shares of the Mediterranean restaurant chain have appreciated by 17.35% over the course of the past month, outperforming the Retail-Wholesale sector's gain of 7.49% and the S&P 500's gain of 2.71%.

The investment community will be paying close attention to the earnings performance of Cava Group in its upcoming release. The company is expected to report EPS of $0.06, up 200% from the prior-year quarter. In the meantime, our current consensus estimate forecasts the revenue to be $225.54 million, indicating a 27.3% growth compared to the corresponding quarter of the prior year.

Investors should also pay attention to any latest changes in analyst estimates for Cava Group. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Cava Group currently has a Zacks Rank of #3 (Hold).

Digging into valuation, Cava Group currently has a Forward P/E ratio of 219.85. Its industry sports an average Forward P/E of 23.48, so one might conclude that Cava Group is trading at a premium comparatively.

The Retail - Restaurants industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 30, finds itself in the top 12% echelons of all 250+ industries.

The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.

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