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Chipotle Mexican Grill (CMG) Stock Moves -0.52%: What You Should Know
In the latest trading session, Chipotle Mexican Grill (CMG - Free Report) closed at $1,504.14, marking a -0.52% move from the previous day. This change was narrower than the S&P 500's 0.76% loss on the day. Elsewhere, the Dow lost 0.76%, while the tech-heavy Nasdaq lost 10.92%.
Prior to today's trading, shares of the Mexican food chain had gained 6.09% over the past month. This has outpaced the Retail-Wholesale sector's gain of 5.54% and the S&P 500's gain of 2.18% in that time.
Investors will be hoping for strength from Chipotle Mexican Grill as it approaches its next earnings release, which is expected to be February 7, 2023. The company is expected to report EPS of $8.85, up 58.6% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.23 billion, up 13.79% from the year-ago period.
Investors might also notice recent changes to analyst estimates for Chipotle Mexican Grill. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.06% lower. Chipotle Mexican Grill is currently sporting a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Chipotle Mexican Grill has a Forward P/E ratio of 35.51 right now. Its industry sports an average Forward P/E of 21.65, 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 1.32. 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. The Retail - Restaurants was holding an average PEG ratio of 2.05 at yesterday's closing price.
The Retail - Restaurants industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 214, putting it in the bottom 16% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow CMG in the coming trading sessions, be sure to utilize Zacks.com.