Cava Group initiated with an Outperform at Baird

Baird analyst Drew North initiated coverage of Cava Group with an Outperform rating and $50 price target. Cava possesses a differentiated, on-trend concept that is well positioned to deliver a “scarce growth profile for an extended period,” the analyst tells investors in a research note. The firm says a significant premium for the shares can be justified by the company’s visible development opportunity, healthy unit-level returns on capital, and strong operating momentum.