Yahoo Finance Why the Market Dipped But Chipotle Mexican Grill (CMG) Gained Today
Chipotle Mexican Grill (CMG) closed the latest trading day at $62.65, indicating a +0.38% change from the previous session's end. The stock outpaced the S&P 500's daily loss of 0.41%. On the other hand, the Dow registered a loss of 0.12%, and the technology-centric Nasdaq decreased by 0.71%.
Heading into today, shares of the Mexican food chain had gained 0.47% over the past month, lagging the Retail-Wholesale sector's gain of 2.65% and the S&P 500's gain of 3.53% in that time.
The investment community will be paying close attention to the earnings performance of Chipotle Mexican Grill in its upcoming release. The company is slated to reveal its earnings on July 24, 2024. The company's upcoming EPS is projected at $0.31, signifying a 24% increase compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $2.92 billion, up 16.26% from the year-ago period.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $1.11 per share and revenue of $11.35 billion, indicating changes of +23.33% and +14.97%, respectively, compared to the previous year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Chipotle Mexican Grill. Such recent modifications usually signify the changing landscape of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.01% lower. Currently, Chipotle Mexican Grill is carrying a Zacks Rank of #3 (Hold).
Looking at its valuation, Chipotle Mexican Grill is holding a Forward P/E ratio of 56.43. This indicates a premium in contrast to its industry's Forward P/E of 20.02.
We can additionally observe that CMG currently boasts a PEG ratio of 2.49. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Retail - Restaurants industry currently had an average PEG ratio of 1.78 as of yesterday's close.
The Retail - Restaurants industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 162, putting it in the bottom 36% 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.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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Chipotle Mexican Grill, Inc. (CMG): Free Stock Analysis Report
