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Chipotle Mexican Grill (CMG) Stock Sinks As Market Gains: What You Should Know
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Chipotle Mexican Grill (CMG - Free Report) closed at $2,048.86 in the latest trading session, marking a -1.31% move from the prior day. This change lagged the S&P 500's daily gain of 0.85%. At the same time, the Dow added 0.14%, and the tech-heavy Nasdaq gained 5.61%.
Prior to today's trading, shares of the Mexican food chain had gained 0.72% over the past month. This has lagged the Retail-Wholesale sector's gain of 3.78% and the S&P 500's gain of 3.18% in that time.
Wall Street will be looking for positivity from Chipotle Mexican Grill as it approaches its next earnings report date. This is expected to be July 26, 2023. The company is expected to report EPS of $12.15, up 30.65% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $2.52 billion, up 13.81% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $44.07 per share and revenue of $9.86 billion, which would represent changes of +34.44% and +14.16%, respectively, from the prior year.
Any recent changes to analyst estimates for Chipotle Mexican Grill should also be noted by investors. 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 0.39% higher. Chipotle Mexican Grill currently has a Zacks Rank of #2 (Buy).
Investors should also note Chipotle Mexican Grill's current valuation metrics, including its Forward P/E ratio of 47.1. Its industry sports an average Forward P/E of 24.64, so we one might conclude that Chipotle Mexican Grill is trading at a premium comparatively.
Meanwhile, CMG's PEG ratio is currently 1.48. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Retail - Restaurants stocks are, on average, holding a PEG ratio of 2.01 based on yesterday's closing prices.
The Retail - Restaurants industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 25, which puts it in the top 10% 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.
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) Stock Sinks As Market Gains: What You Should Know
Chipotle Mexican Grill (CMG - Free Report) closed at $2,048.86 in the latest trading session, marking a -1.31% move from the prior day. This change lagged the S&P 500's daily gain of 0.85%. At the same time, the Dow added 0.14%, and the tech-heavy Nasdaq gained 5.61%.
Prior to today's trading, shares of the Mexican food chain had gained 0.72% over the past month. This has lagged the Retail-Wholesale sector's gain of 3.78% and the S&P 500's gain of 3.18% in that time.
Wall Street will be looking for positivity from Chipotle Mexican Grill as it approaches its next earnings report date. This is expected to be July 26, 2023. The company is expected to report EPS of $12.15, up 30.65% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $2.52 billion, up 13.81% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $44.07 per share and revenue of $9.86 billion, which would represent changes of +34.44% and +14.16%, respectively, from the prior year.
Any recent changes to analyst estimates for Chipotle Mexican Grill should also be noted by investors. 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 0.39% higher. Chipotle Mexican Grill currently has a Zacks Rank of #2 (Buy).
Investors should also note Chipotle Mexican Grill's current valuation metrics, including its Forward P/E ratio of 47.1. Its industry sports an average Forward P/E of 24.64, so we one might conclude that Chipotle Mexican Grill is trading at a premium comparatively.
Meanwhile, CMG's PEG ratio is currently 1.48. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Retail - Restaurants stocks are, on average, holding a PEG ratio of 2.01 based on yesterday's closing prices.
The Retail - Restaurants industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 25, which puts it in the top 10% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.