Core Viewpoint - The departure of Chipotle's CEO presents an opportunity to evaluate the company's stock performance and future prospects, especially given the strong historical returns under his leadership [1][2]. Leadership Transition - Following the CEO's departure, Chipotle appointed Scott Boatwright, the Chief Operating Officer, as interim CEO, who has been with the company since 2017 and contributed significantly to its success [3]. - The company also accelerated the appointment of Adam Rymer as Chief Financial Officer, with former CFO Jack Hartung remaining to assist during the transition [4]. - Chipotle is focusing on internal promotions for its leadership roles, which may enhance company culture and morale according to survey data [5]. Growth Strategy - Chipotle aims to expand its restaurant count to 7,000 locations in North America and increase its international presence, with 3,615 locations currently operational [6]. - The company reported third-quarter 2024 results showing $2.8 billion in revenue and $387.4 million in net income, reflecting year-over-year growth of 13% and 23.7% respectively [7]. - The growth was driven by the addition of 294 new company-owned locations and a 6% increase in comparable-restaurant sales, with a 3.3% rise in transactions and a 2.7% increase in average check [8][9]. Financial Health - Chipotle maintains a strong balance sheet with no debt and $2.3 billion in cash and investments, allowing for stock repurchases totaling $488.1 million in the most recent quarter [10]. - The company has $1.1 billion remaining under its current buyback program, which reduces the number of outstanding shares and increases shareholder ownership [10]. Future Projections - Management projects the opening of 315 to 345 new company-operated restaurants in 2025 and aims to increase average-unit volumes from $3.2 million to over $4 million [11][12]. - If successful, annual revenue could exceed $28 billion, representing a 162% increase from the trailing-12-month results of $10.7 billion [12]. Stock Valuation - Chipotle's stock has historically traded at high valuations, with a five-year median price-to-earnings ratio of 63.9, but is currently trading at a slight discount of 54.6 times earnings [13]. - The company needs to build shareholder confidence by meeting its earnings and expansion goals, making it a potentially attractive investment opportunity despite leadership changes [14].

Can Chipotle keep climbing?The post-Brian Niccol era is underway at Chipotle Mexican Grill (CMG 5.06%), and it's off to an inauspicious start.Shares of the burrito chain are down about 8% since the company missed top-line estimates and reported its slowest earnings growth in more than two years.Chipotle posted same-store sales growth of 6%, which contributed to revenue's 13% rise to $2.79 billion, though that fell short of the analyst consensus at $2.82 billion. Further down the income statement, its restau ...

The Retail-Wholesale group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Is Chipotle Mexican Grill (CMG) one of those stocks right now? A quick glance at the company's year-to-date performance in comparison to the rest of the Retail-Wholesale sector should help us answer this question.Chipotle Mexican Grill is one of 210 companies in the Retail-Wholesale group. The Retail-Wholesale group currently sits at #8 within the Zacks Sector Rank. ...

Chipotle said that it has been consistently offering "generous portions" in an effort to satisfy the customers who complained on social media that they were getting skimped on the size of their servings.  Interim CEO Scott Boatwright told analysts on Tuesday that proof is on the company's social media platforms, where he said people are "posting big burritos, big bowls and really excited about portioning they're getting in the Chipotle brand." Boatwright said that it's a "reverse of what we saw earlier in t ...

Chipotle is growing like crazy, so why is the stock down?Expectations are so high for Chipotle (CMG -7.87%) that even an incredible quarter isn't met with a positive reaction from the market. In the video below, Travis Hoium shows why good isn't good enough.*Stock prices used were end-of-day prices of Oct. 30, 2024. The video was published on Oct. 30, 2024. ...

Chipotle Mexican Grill TodayCMGChipotle Mexican Grill$55.76 -4.73 (-7.82%) 52-Week Range$38.01▼$69.26P/E Ratio54.62Price Target$64.47Add to WatchlistThe market for Chipotle Mexican Grill NYSE: CMG stock served up a nice dip, and savvy investors are buying. Lackluster results and guidance drove the dip in price action, but the move is entirely sentiment-driven; the results failed to impress relative to the consensus estimates but are still excellent, driving value gains for investors.  The initial takeaway i ...

Chipotle says it's tried to ensure "consistent and generous portions" after customer complaints.The move and unusual price fluctuations for avocados have hit the chain's profitability.Execs say the brand's focus on offering value has had a positive response. Sign up to get the inside scoop on today’s biggest stories in markets, tech, and business — delivered daily. Read preview Thanks for signing up! Go to newsletter preferences Thanks for signing up! Access your favorite topics in a personalized ...

Is this stellar business facing troubling headwinds? Shares of popular restaurant chain Chipotle Mexican Grill (CMG -6.61%) fell on Wednesday after the company reported financial results for the third quarter of 2024. While financial results were strong, analysts seemed skeptical about the business looking forward. As of 11:30 a.m. ET, Chipotle stock was down almost 7%. A good quarter but investors are worried In Q3, Chipotle's business was booming. Same-store sales jumped by 6% year over year, helped by tr ...

Shares of Chipotle Mexican Grill, Inc. (CMG) declined 5.3% in the after-hour trading session yesterday after the company reported mixed third-quarter results. The company's earnings beat the Zacks Consensus Estimate for the seventh consecutive quarter but revenues missed the same after beating in the preceding four quarters. However, both top and bottom lines increased year over year. The company benefited from new restaurant openings and a rise in comparable restaurant sales. Higher transactions and an inc ...

About this content About Josh Lamb After graduating from the University of Kent in the summer of 2022 with a degree in History, Josh joined Proactive later that year as a journalist in the UK editorial team. Josh has reported on a range of areas whilst at Proactive, including energy companies during a time of global crisis, aviation and airlines as the sector recovers from the pandemic, as well as covering economic, social and governance issues. Read more About the publisher Proactive financial news and ...