Chipotle Mexican Grill (CMG) closed the most recent trading day at $48.07, moving -1.5% from the previous trading session. The stock's change was more than the S&P 500's daily loss of 2.24%. Elsewhere, the Dow saw a downswing of 1.73%, while the tech-heavy Nasdaq depreciated by 3.07%.
The Mexican food chain's shares have seen an increase of 2.11% over the last month, surpassing the Retail-Wholesale sector's loss of 3.33% and the S&P 500's loss of 4.17%.
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 April 23, 2025. The company is expected to report EPS of $0.28, up 3.7% from the prior-year quarter. In the meantime, our current consensus estimate forecasts the revenue to be $2.94 billion, indicating an 8.72% growth compared to the corresponding quarter of the prior year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $1.27 per share and revenue of $12.55 billion, indicating changes of +13.39% and +10.9%, respectively, compared to the previous year.
Investors should also take note of any recent adjustments to analyst estimates for Chipotle Mexican Grill. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. The Zacks Consensus EPS estimate has moved 1.09% lower within the past month. Chipotle Mexican Grill presently features a Zacks Rank of #3 (Hold).
In terms of valuation, Chipotle Mexican Grill is presently being traded at a Forward P/E ratio of 38.39. This signifies a premium in comparison to the average Forward P/E of 21.01 for its industry.
Meanwhile, CMG's PEG ratio is currently 1.9. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. CMG's industry had an average PEG ratio of 2.02 as of yesterday's close.
The Retail - Restaurants industry is part of the Retail-Wholesale sector. With its current Zacks Industry Rank of 211, this industry ranks in the bottom 15% of all industries, numbering over 250.
The Zacks Industry Rank gauges the strength of our individual 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
This article originally published on Zacks Investment Research (zacks.com).
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