CAVA Rebounds on Strong Q2 Beat as Cyclospora Fears Ease, Cisco Reports After the Bell and Markets Hit Records

CAVA Group was on pace for its best single-day gain in five months on August 12, after reporting second-quarter results that topped Wall Street estimates across the board. The Mediterranean fast-casual chain posted earnings per share of $0.19 on revenue of $365.4 million, beating consensus expectations of $0.18 EPS and $360.1 million in revenue. Comparable sales grew 9%, well above the Street's 7.2% estimate, and adjusted EBITDA rose 30% to $54.7 million.

CAVA also reassured investors about the impact of an industrywide cyclospora outbreak linked to Mexican-sourced shredded iceberg lettuce: the company noted its supply chain excludes Mexican leafy greens and its menu contains no iceberg lettuce, and CFO Tricia Tolivar said same-restaurant sales had bounced back to the mid single digits with consumer concern over the outbreak fading. Analysts at KeyBanc and Wolfe Research called the reaffirmed guidance conservative given the headwind. Elsewhere, Kontoor Brands jumped 13% after reporting 19% revenue growth and raising its full-year earnings guidance.

Quantinuum popped following its first earnings report as a publicly traded company, with the quantum computing firm establishing initial 2026 revenue guidance of $28 to $32 million. Cisco Systems, which reported fiscal fourth-quarter results after the close, had been expected to deliver revenue of roughly $16.85 billion, representing nearly 15% year-over-year growth, with non-GAAP EPS of around $1.17. The VXF, which tracks all U.S. stocks outside the S&P 500, hit a record high during the session, a sign of broad market strength beyond large-cap names.