Company: CAVA
Filing Date: 2025-02-26
Form Type: 10-K
Source: 0001628280-25-007882
Chunk: 193

Company: CAVA GROUP, INC.
Filing Date: 2025-02-26
Form: 10-K
Item: Item 1
Chunk 193
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 of the common stock on the date of grant. The terms of all stock options may not exceed 10 years. Vesting terms are determined by our Board of Directors and generally vest annually in equal installments over four years of continuous service, except for 0.6 million options that were granted to the Company’s CEO in connection with the IPO that vest over five years of continuous service. A summary of the Company’s stock option activity is as follows:Weighted Average(in thousands, except per share amounts)Number Of OptionsExercise PriceRemaining Contractual Term (Years)Aggregate Intrinsic ValueOutstanding - December 31, 20233,078 $11.45 6.8$97,054 Granted7 47.84 Exercised(768)4.12 Forfeited or expired(53)15.34 Outstanding - December 29, 20242,264 $13.96 6.9$227,328 Exercisable - December 29, 20241,070 $9.43 5.3Vested and expected to vest - December 29, 20242,264 $13.96 6.9$227,328 As of December 29, 2024, there was $8.9 million of unrecognized compensation costs related to option awards. This cost is expected to be recognized over a weighted-average period of 3.0 years. The aggregate intrinsic value of options exercised during fiscal 2024, 2023, and 2022, was $99.3 million, $1.1 million, and $0.1 million, respectively.The following table reflects the weighted-average assumptions utilized in the Black-Scholes option pricing model during the fiscal years indicated:202420232022Expected term (in years)16.36.46.2Volatility246.7%46.0%45.0%Risk-free interest rate4.1%3.8%1.7%Dividend rate—%—%—%Weighted-average grant date fair value per share$24.47$9.98$2.97

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__________________1    Expected term was calculated using the simplified method, which is an average of the contractual term and vesting period of the option, as we do not have sufficient historical data for determining the expected term of our stock option awards. 2    Volatility was based on a group of industry peers with sufficient history. Restricted Stock