Shares of Cava Group (NYSE: CAVA) are skyrocketing this year. The Mediterranean restaurant chain's stock price has surged 160% higher in six months, more than tripling from a temporary dip in the fall of 2023.

So Cava certainly has market momentum on its side, but it's not a cheap stock today. Shares are changing hands at lofty multiples such as 13 times sales and 345 times earnings. Will the company grow into these generous ratios, or is the stock overdue for a price correction?

Let's take a look.

Continue reading

Source Fool.com