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Chipotle Mexican Grill (CMG) Dips More Than Broader Markets: What You Should Know
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Chipotle Mexican Grill (CMG - Free Report) closed at $1,538.29 in the latest trading session, marking a -0.65% move from the prior day. This move lagged the S&P 500's daily loss of 0.61%. Meanwhile, the Dow lost 0.42%, and the Nasdaq, a tech-heavy index, added 0.17%.
Heading into today, shares of the Mexican food chain had gained 1.63% over the past month, outpacing the Retail-Wholesale sector's gain of 0.94% and the S&P 500's gain of 0.89% in that time.
Chipotle Mexican Grill will be looking to display strength as it nears its next earnings release, which is expected to be February 7, 2023. On that day, Chipotle Mexican Grill is projected to report earnings of $8.81 per share, which would represent year-over-year growth of 57.89%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.23 billion, up 13.82% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $33.30 per share and revenue of $8.69 billion. These totals would mark changes of +31% and +15.09%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Chipotle Mexican Grill. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.02% higher. Chipotle Mexican Grill currently has a Zacks Rank of #3 (Hold).
Digging into valuation, Chipotle Mexican Grill currently has a Forward P/E ratio of 46.5. Its industry sports an average Forward P/E of 21.48, so we one might conclude that Chipotle Mexican Grill is trading at a premium comparatively.
It is also worth noting that CMG currently has a PEG ratio of 1.73. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. CMG's industry had an average PEG ratio of 2.25 as of yesterday's close.
The Retail - Restaurants industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 159, putting it in the bottom 37% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Chipotle Mexican Grill (CMG) Dips More Than Broader Markets: What You Should Know
Chipotle Mexican Grill (CMG - Free Report) closed at $1,538.29 in the latest trading session, marking a -0.65% move from the prior day. This move lagged the S&P 500's daily loss of 0.61%. Meanwhile, the Dow lost 0.42%, and the Nasdaq, a tech-heavy index, added 0.17%.
Heading into today, shares of the Mexican food chain had gained 1.63% over the past month, outpacing the Retail-Wholesale sector's gain of 0.94% and the S&P 500's gain of 0.89% in that time.
Chipotle Mexican Grill will be looking to display strength as it nears its next earnings release, which is expected to be February 7, 2023. On that day, Chipotle Mexican Grill is projected to report earnings of $8.81 per share, which would represent year-over-year growth of 57.89%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.23 billion, up 13.82% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $33.30 per share and revenue of $8.69 billion. These totals would mark changes of +31% and +15.09%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Chipotle Mexican Grill. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.02% higher. Chipotle Mexican Grill currently has a Zacks Rank of #3 (Hold).
Digging into valuation, Chipotle Mexican Grill currently has a Forward P/E ratio of 46.5. Its industry sports an average Forward P/E of 21.48, so we one might conclude that Chipotle Mexican Grill is trading at a premium comparatively.
It is also worth noting that CMG currently has a PEG ratio of 1.73. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. CMG's industry had an average PEG ratio of 2.25 as of yesterday's close.
The Retail - Restaurants industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 159, putting it in the bottom 37% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.