CAVA Group Inc (NYSE:CAVA) shares were climbing on Wednesday after the company reported upbeat third-quarter earnings.

The company reported its results amid an exciting earnings season. Here are some key analyst takeaways.

TD Cowen On Cava Group

Analyst Andrew Charles maintained a Buy rating, while raising the price target from $130 to $150.

Cava Group reported its third-quarter adjusted EBITDA at $33.5 million, higher than the consensus of $29 million, with the beat being "primarily sales driven," which flowed through to restaurant level margins of 25.6%, versus consensus of 24.9%, Charles said in a note.

Management raised its 2024 same-store sales guidance to 12%-13%, from its prior forecast of 8.5%-10.5%, which reflects 14.5%-18.5% in the fourth quarter, he added.

The company has "notable tangible sales drivers including the recent loyalty program revamp, successful menu innovations and speed of service enhancing tools," the analyst wrote. He further stated that improved brand awareness played a key role and "has a long runway to grow further."

Check out other analyst stock ratings.

Wedbush On Cava Group

Analyst Nick Setyan reiterated an Outperform while lifting the price target from $155 to $190.

Cava Group adjusted earnings of 15 cents per share came in ahead of consensus of 11 cents per share on same store sales growth of 18.1%, beating consensus of 12.3%, Setyan said. "Guest counts increased 12.9%, with average check-up 5.2%," he added.

The company raised its 2024 same-store sales growth guidance from 8.5%-9.5% to 12%-13%, "implying low-to-mid teens SS growth for Q4," the analyst stated. "We continue to view the maturation cycle of new units, CAVA’s attractive and growing value proposition, growth in advertising, increased brand awareness, menu innovation, growth in digital, a new loyalty program, and throughput-focused operational initiatives as drivers of SSS growth in the near- to medium-term," he further wrote.

CAVA Price Action: Shares of Cava Group had jumped 3.29% to $149.70 at the time of publication on Wednesday.

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Photo: Courtesy Cava