![]() #Chipotle stock pro recommendation drivers“We view the growth in digital, supported by the rollout of loyalty, menu innovation, and marketing spend as primary drivers of mid-to-high single-digit same-store sales growth in 2019,” analysts wrote in a note published Thursday. Wedbush analysts maintained their neutral stock rating but moved their price target to $750 from $700 based on growth expectations for same-store sales and margins. This is particularly notable for the improved perception of food quality and new menu items.Īmong the items that have appeared on the Chipotle menu over the past year are bacon, tacos and nachos. However, the UBS Evidence Lab QSR survey found that Chipotle’s brand perception has grown versus the competition on a year-over-year basis. Stock price: Chipotle shares have gained nearly 6% over the past three months, outpacing both the S&P 500 index SPX, +0.28%, which is up 2.7%, and the Dow Jones Industrial Average DJIA, +0.07%, up 2.5%.īesides the illness issues, Chipotle stumbled out the gate with the launch of queso. Revenue: FactSet and Estimize are guiding for revenue of $1.41 billion, up from $1.27 billion last year.Ĭhipotle has beaten FactSet’s revenue expectations the last two quarters. UBS rates Chipotle stock sell with a $600 price target.Ĭhipotle has an average stock rating of hold with an average target price of $705.43, according to 34 analysts polled by FactSet.Įarnings: FactSet expects earnings per share of $3.74, up from $2.87 last year.Ĭhipotle has beaten FactSet’s expectations the last six quarters.Įstimize, which crowdsources estimates from analysts, fund managers and academics, expects EPS of $3.76. The FactSet consensus is for 8.2% growth. Meanwhile, UBS analysts led by Dennis Geiger think the company’s fundamentals were strong during the quarter, but say investors will want same-store sales growth to exceed 9%. On balance, our belief is that investors will start to anticipate a reduced rate of growth and improvement, likely leading to churn in the shares and contraction in the multiple and thus making the shares unattractive at current levels.” “he company will soon start lapping its own improvements and one-time structural changes such as closing underperforming locations. “The way we see the shares here is that the debate about whether the brand can recover from food safety issues in an environment of increased competition is over, and the stock performance now turns on the whether the rate of recovery can exceed expectations currently factored into estimates and valuation,” wrote John Zolidis, president of Quo Vadis Capital. ![]() Chipotle stock closed at an all-time high of $764.04 on July 18, beating the previous all-time high reached just a couple of days earlier, on July 16. is scheduled to report second-quarter earnings after the closing bell on Tuesday and while analysts are bullish about this quarter, they’re starting to question just how long Chipotle’s hot streak will last.Ĭhipotle CMG, -0.54% stock is up 72% for 2019 so far after a yearslong struggle to recover from illness outbreaks in 2015. Chipotle stock has rallied more than 72% in 2019Ĭhipotle Mexican Grill Inc. ![]()
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