Fast-casual restaurant chain Chipotle Mexican Grill (CMG 8.70%) just reported financial results for 2023, showing that it now has 3,437 locations, 271 of which opened in the last year. The chain is big enough to qualify as one of the top 20 largest chains in the U.S. by locations. But it wants to rise further up the restaurant ranks.In an interview with CNBC's Jim Cramer on Tuesday, Chipotle CEO Brian Niccol said the company plans to more than double its store count, reaching 7,000 locations at some point. ...

Chipotle Mexican Grill, Inc. (CMG) released fourth-quarter 2023 results, with earnings and revenues beating the Zacks Consensus Estimate. The top and bottom lines increased on a year-over-year basis. Earnings surpassed the consensus estimate for the fourth consecutive quarter.Following the earnings release, shares of the company rose 2.9% during the after-hours trading session on Feb 6.Q4 Earnings & Revenue DiscussionIn the quarter under review, Chipotle reported adjusted earnings per share (EPS) of $10.36, ...

Financial Position and Assets - Cash and cash equivalents increased to $560.6 million as of December 31, 2023, compared to $384.0 million in 2022[199] - Total current assets rose to $1.62 billion in 2023 from $1.18 billion in 2022[199] - Long-term investments grew to $564.5 million in 2023, up from $388.1 million in 2022[199] - The company holds $1.9 billion in cash, cash equivalents, and investments as of December 31, 2023[182] - Leasehold improvements, property, and equipment increased to $2.17 billion in 2023 from $1.95 billion in 2022[199] - Operating lease assets grew to $3.58 billion in 2023, up from $3.30 billion in 2022[199] - Prepaid expenses and other current assets increased from $86,412 in 2022 to $117,462 in 2023[256] - Leasehold improvements, property and equipment, net increased from $1,951,147 in 2022 to $2,170,038 in 2023[260] - Cash and cash equivalents increased from $1,254,114 in 2022 to $1,652,564 in 2023[269] - Equity method investments decreased from $11,697 in 2022 to $8,896 in 2023[276] Liabilities and Equity - Total liabilities increased to $4.98 billion in 2023 from $4.56 billion in 2022[199] - Shareholders' equity expanded to $3.06 billion in 2023, compared to $2.37 billion in 2022[199] - Retained earnings rose to $6.06 billion in 2023, compared to $4.83 billion in 2022[199] - Accrued payroll and benefits increased from $170,456 in 2022 to $227,537 in 2023[257] - Chipotle Rewards liability, ending balance increased from $38,057 in 2022 to $44,750 in 2023[264] - Deferred compensation obligations totaled $27,178 as of December 31, 2023, with scheduled payments of $5,339 in 2024 and $9,319 thereafter[307][311] Revenue and Profitability - Total revenue for 2023 reached $9.87 billion, a 14.3% increase from $8.63 billion in 2022[201] - Net income for 2023 was $1.23 billion, up 36.7% from $899.1 million in 2022[201] - Diluted earnings per share (EPS) for 2023 was $44.34, a 38.4% increase from $32.04 in 2022[201] - Food and beverage revenue grew to $9.80 billion in 2023, a 14.6% increase from $8.56 billion in 2022[201] - Income before income taxes increased from $1,181,531 in 2022 to $1,620,506 in 2023[280] - Net income for 2023 was $1,228,737, with basic earnings per share of $44.59 and diluted earnings per share of $44.34[318] Expenses and Costs - Labor costs increased to $2.44 billion in 2023, up 11.1% from $2.20 billion in 2022[201] - Depreciation and amortization expenses rose to $319.4 million in 2023, an 11.4% increase from $286.8 million in 2022[201] - Stock-based compensation expense for 2023 was $126.7 million, with approximately 114,000 stock awards subject to performance conditions[193] - Stock-based compensation expense increased to $124.0 million in 2023, up 26.5% from $98.0 million in 2022[206] - Advertising, marketing, and promotional costs totaled $264.085 million in 2023, $250.673 million in 2022, and $222.091 million in 2021[248] - Stock-based compensation expense is recognized on a straight-line basis, with performance-based awards vesting over a three-year performance and service period[250] - Pre-opening costs for restaurants, including rent, wages, and food, are expensed as incurred prior to opening[251] - Operating lease cost for 2023 was $436,313, with total lease payments of $5,743,452 as of December 31, 2023[314][316] Taxes and Tax-Related Items - The effective income tax rate for 2023 was 24.2%, up from 23.9% in 2022, primarily due to a decrease in excess tax benefits related to option exercises and equity vesting[282] - The provision for income taxes in 2023 was $391,769, compared to $282,430 in 2022 and $159,779 in 2021[282] - Gross foreign net operating losses (NOLs) were $149,891 as of December 31, 2023, up from $114,727 in 2022, and can be carried forward indefinitely[285] - Gross state NOLs were $62,492 as of December 31, 2023, down from $73,327 in 2022, and expire over varying intervals[285] - The company had gross valuation allowances against certain foreign deferred tax assets of $160,607 as of December 31, 2023, up from $124,609 in 2022[286] - Interest expense related to uncertain tax positions was $1,541 in 2023, compared to $384 in 2022 and $180 in 2021[287] Stock-Based Compensation and Equity - Stock-based compensation expense for 2023 was $126,686, up from $99,821 in 2022 and $178,703 in 2021[290] - The company had $424,107 authorized for repurchasing shares of common stock as of December 31, 2023, including a $200,000 additional authorization approved in December 2023[292] - The total intrinsic value of SOSARs exercised in 2023 was $142,830, compared to $77,124 in 2022 and $498,399 in 2021[297] - Unrecognized stock-based compensation expense for non-vested PSU stock awards was $69,610 as of December 31, 2023, expected to be recognized over a weighted-average period of 1.9 years[302] - Performance share awards range from 0% to 300% of the target based on growth in comparable restaurant sales and average restaurant margin over a three-year period starting January 1, 2021[305] - The 2018 Performance Share Awards modification resulted in incremental compensation expense of $71,441, with $7,255 recognized in 2022[307] - Employee Stock Purchase Plan (ESPP) allows employees to purchase common stock at 92.5% of the lower fair market value, with 250 shares authorized and 248 available as of December 31, 2023[309] - 401(k) Plan matching contributions totaled $13,821 in 2023, $12,923 in 2022, and $10,527 in 2021[310] Leases and Operating Costs - Operating lease assets and liabilities are recognized at the lease commencement date, with lease liabilities representing the present value of unpaid lease payments[227] - Total lease costs include fixed operating lease costs, variable lease costs, and short-term lease costs, with variable costs based on a percentage of gross sales in excess of specified levels[228] - Operating lease cost for 2023 was $436,313, with total lease payments of $5,743,452 as of December 31, 2023[314][316] Investments and Other Financial Activities - Capitalized internal costs for restaurant acquisition, development, and construction were $15.385 million in 2023, $12.695 million in 2022, and $10.870 million in 2021[223] - The company has a $500,000 revolving credit facility with JPMorgan Chase Bank, bearing interest at SOFR plus 1.475%, with no outstanding borrowings as of December 31, 2023[322] - The company owns 10.2% of Tractor's common stock, with purchases from Tractor totaling $43,555 in 2023[324] - Investment in Vebu Inc. resulted in purchases of $991 in 2023, with the company maintaining significant influence over Vebu[324] Impairment and Asset Valuation - Long-lived assets are reviewed for impairment, with impairment charges representing the excess of an asset's carrying amount over its estimated fair value[253] - Basic earnings per share is calculated by dividing income available to common shareholders by the weighted-average number of shares of common stock outstanding during each period[254] Credit and Allowances - The allowance for credit losses increased to $2.74 million in 2023, up 132.4% from $1.18 million in 2022[215] - Revenue recognized from gift card liability balance at the beginning of the year increased from $59,175 in 2022 to $61,389 in 2023[263]

Key PointsChipotle Mexican Grill had a smoking quarter in Q4 and gave favorable guidance for 2024. Capital return is solid and reduces the share count while the company and shareholder equity grow.Analysts support this market and are driving it higher; the first revisions are in and put upward pressure on the price action. 5 stocks we like better than Chipotle Mexican GrillChipotle Mexican Grill NYSE: CMG is the best-in-breed among restaurants for many reasons. CEO Brian Niccol resurrected this failing stor ...

Markets bounced back this Tuesday from a Monday sell-off, though not all the way back to Friday highs (on the Dow, S&P 500 and Nasdaq; the Russell 2000 saw its near-term high in late January). The Dow gained +141 points, +0.37%, while the S&P gained +0.23%. The Nasdaq, while positive, was essentially flat at +0.07%, while the small-cap Russell won the day, +0.85%, and continues inching its way back toward breakeven.Ford (F) is enjoying one of its best trading days in recent memory, shooting up +4% ahead of ...

Chipotle Mexican Grill (CMG) reported $2.52 billion in revenue for the quarter ended December 2023, representing a year-over-year increase of 15.4%. EPS of $10.36 for the same period compares to $8.29 a year ago.The reported revenue represents a surprise of +0.98% over the Zacks Consensus Estimate of $2.49 billion. With the consensus EPS estimate being $9.73, the EPS surprise was +6.47%.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations ...

Chipotle Mexican Grill is targeting its messaging based on digital data from its loyalty members, as across the restaurant industry, leading players are competing to offer the most personalized experience.  The fast-casual giant, which has more than 3,400 locations across five countries, on a call with analysts discussing its fourth quarter and full year 2023 financial results, reported Tuesday (Feb. 6) that it is leveraging the insights gleaned from its digital loyalty program to more effectively boost cus ...

Shares of Chipotle Mexican Grill Inc. rose after hours on Tuesday after the Mexican fast-casual chain reported fourth-quarter results that topped Wall Street’s estimates, as consumer demand and higher prices on the menu outweighed higher ingredient costs. The company reported fourth-quarter net income of $282.1 million, or $10.21 a share, compared with $223.7 million, or $8.02 a share, during the same quarter in 2022. Chipotle reported adjusted earnings of $10.36 a share. Revenue rose 15.4%, to $2.52 billio ...

Chipotle Mexican Grill on Tuesday posted quarterly earnings and revenue that beat analysts' expectations as more customers visited its restaurants.Shares of the company rose more than 1% in extended trading.Here's what the company reported compared with what Wall Street was expecting, based on a survey of analysts by LSEG, formerly known as Refinitiv:Earnings per share: $10.36 adjusted vs. $9.75 expectedRevenue: $2.52 billion vs. $2.49 billion expectedChipotle reported fourth-quarter net income of $282.1 mi ...

We have a big day of stock market information on deck, most of which doesn’t happen until after the opening bell rings this morning. We have a full docket of Fed presidents reporting later today, including Cleveland’s Loretta Mester, Minneapolis’ Neel Kashkari, Boston’s Susan Collins and Philadelphia’s Patrick Harker. There are also plenty of after-market-close earnings reports from Ford (F) , Chipotle (CMG) , Gilead (GILD) and Snap (SNAP) — all of which have a Zacks Rank #3 (Hold) rating as of this morning ...