Cava Group reported fourth-quarter revenue that exceeded analyst forecasts
Cava Group Inc (NYSE:CAVA) stock is surging, up 11.2% to trade at $56.16 at last glance, following the fast-casual restaurant's better-than-expected fourth-quarter results. Publicly traded since July 2023, today's pop earlier sent CAVA to a fresh record high of $58.22.
The Mediterranean fast-casual restaurant chain opened on June 15 at $42.00, after being priced at $22 the day prior. The shares closed at $43.30 on its debut, and are now up roughly 30% in 2024 already.
Options traders are blasting the equity after the event. So far, 27,000 calls and 16,000 puts have been exchanged, which 6.6 times CAVA's average daily options volume. The weekly 3/1 60-strike call is the most active contract, with new positions being bought to open there.
It's worth noting that short interest represents 9.2% of the stock's available float. It would take shorts roughly five days to cover their bets, at Cava Group stock's average pace of trading.