Chandler Lutz

Chipotle Mexican Grill: Beware of Value Trap

I have to say, I really like chipotle's growth prospects and potential returns. I do have to agree that the stock is still too expansive. I do think that the company still has a tremendous competitive advantage in terms of pricing. After all, I can get a (natural) chicken burrito for about $5.70...a great deal. I do think that chipotle will benefit as many consumers trade down to lower priced restaurants. Nevertheless, I am waiting to enter a position at about 12 - 15 times earnings and once the knife stops falling...