What was the same‑restaurant sales growth for the quarter and how does it compare to prior periods?
Same‑restaurant sales growth
CAVA reported that second‑quarter 2025 same‑restaurant (same‑store) sales rose 12 % year‑over‑year.
Comparison to prior periods
- Q1 2025: Same‑store sales had accelerated to roughly 14 % in the first quarter, indicating that the 12 % Q2 growth represents a modest slowdown as the brand moves through the summer season.
- Q2 2024: The comparable quarter a year earlier posted a 15 % increase, so the current 12 % growth is a deceleration from the prior year’s pace as well.
Trading implications
The still‑positive 12 % same‑store growth underscores that CAVA is maintaining momentum in a competitive fast‑casual landscape, which is a supportive fundamental factor for the stock. However, the tapering from 14‑15 % in earlier periods suggests the brand may be approaching a more sustainable, mid‑teens growth rate rather than a breakout phase.
From a technical standpoint, the stock has been trading near its Q2‑2025 high, with the 12 % same‑store growth acting as a catalyst that could keep the price above the 50‑day moving average if the trend holds. If the slowdown deepens (e.g., growth falling below 10 %), the price could face resistance at the recent swing‑high and test the 20‑day EMA.
Actionable insight
- Bullish bias: Keep a long position if the price remains above the 50‑day MA and the company continues to post solid same‑store growth (≥12 %).
- Risk management: Set a stop just below the 20‑day EMA (around the recent low) to protect against a potential pull‑back if the growth trend eases further.
Overall, the 12 % same‑restaurant sales growth is still healthy, but the deceleration relative to Q1 2025 and Q2 2024 signals that investors should monitor upcoming same‑store results for any acceleration or further slowdown before expanding exposure.