CAVA Group (CAVA) Price Forecast: Post-Earnings Breakout Forms Bullish Flag

Earnings Catalyst Sparks Breakout

CAVA Group Inc. (CAVA) runs a fast-casual Mediterranean restaurant chain emphasizing healthy cuisine and customizable choices. The company reported Q4 2025 earnings after the close on February 24, 2026. Key metrics beat expectations and the report was followed by bullish analyst upgrades. That resulted in a breakaway gap and sharp rally in its stock the next day, leading to a high of $86.48.

The advance extended above the prior trend high at $72.98, a descending trendline, and the 200-day moving average. Note that the $72.98 price zone was previously both support and resistance since 2024. Each breakout provides technical evidence for a bullish trend reversal and continuation of the advance that began at the November trend low of $43.41. This decisive breakout following the earnings catalyst helped shift sentiment toward a potential long-term recovery in the stock.

Bullish Flag Takes Shape

Since the $86.48 peak reached two weeks ago, shares of CAVA have been pulling back and appear to be forming a possible bullish flag pattern. In its current configuration, a breakout of the flag is indicated above Tuesday’s lower swing high of $82.22. However, it may need more time to develop before a breakout triggers. The flag could still evolve into a different consolidation pattern.

Support Zones to Watch

The 20-day moving average at $74.36 provides an initial downside target, along with prior resistance marked by two swing highs near $72.98. In addition, the 50-week moving average is nearby at $71.57. If that price zone fails as support, then the 200-day moving average at $68.30 becomes a lower target. The 200-day line is also close to a rising trendline at the lower boundary of a rising channel.

Measured Upside Targets

An initial and easy upside target at $87.72 was nearly reached during the recent advance. That is the initial 100% projected target for a rising ABCD pattern. It is followed by a higher target near the 38.2% Fibonacci retracement level of the full decline from the November peak at $172.43. A lower swing high is located near that level at $93.69, and a 127.2% Fibonacci projection of the rising ABCD pattern is at $95.74.

If that price zone is reclaimed, then a range from $105.93 to the 50% retracement at $107.92 becomes an upside target. A sustained breakout from the developing flag would therefore reinforce the post-earnings reversal discussed earlier, potentially opening the door for a continuation of the recovery trend from the $43.41 November low, which completed an 88.6% Fibonacci retracement of the previous long-term advance.

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