Chipotle Mexican Grill, Inc. (CMG) - NYSE
  • Fri, Jul. 22, 2:06 PM
    • JPMorgan upgrades Chipotle (CMG +4.9%) to Overweight from Neutral after digesting the company's Q2 earnings report.
    • The firm thinks comparable store sales have not bottomed out for Chipotle and that the focus will return to profitability. Earnings growth will return to "normal" around FY18, estimates JP.
    • A price target of $510 is derived by taking 25x FY20 EPS of $26 discounted back at 10% and adding back in FY19 cash.
    • Previously: Promotions ravage margins at Chipotle (July 21)
    • Previously: Chipotle talks Chiptopia and Chorizo on conference call (July 21)
    | Fri, Jul. 22, 2:06 PM | 14 Comments
  • Thu, Jul. 21, 4:36 PM
    • Chipotle (NYSE:CMG) reports comparable restaurant sales fell 23.6% in Q2. Transactions were down 19% as promotional activity accounted for the discrepancy between the two marks.
    • Restaurant-level operating margin plunged to 15.5% from 28.0% a year ago.
    • Food costs as a percentage of sales rose 110 bps to 34.2%. Most chains are seeing a benefit from lower commodity costs, but Chipotle has lost some scale.
    • Chipotle says Q3 is off to a "nice start" in a very non-specific update. By nice start, Chipotle means a 200 bps to 300 bps sequential improvement in comp sales which still puts it at around -20%. The company did tip off that it anticipates opening 220 to 235 restaurants this year.
    • Previously: Chipotle Mexican Grill misses by $0.06, misses on revenue (July 21)
    • CMG -1.93% AH to $410.00.
    | Thu, Jul. 21, 4:36 PM | 52 Comments
  • Wed, Jul. 13, 11:07 AM
    • Shares of Chipotle (CMG +2%) are higher after Sequoia Fund takes a position in the restaurant chain.
    • Sequoia says it went through a rigorous due diligence effort while delving into Chipotle's food safety program before pulling the trigger on the investment.
    • "While we expect Chipotle to suffer through a slow and bumpy recovery, we believe the company has an opportunity to more than double its U.S. store base over time at terrific unit economics," points out Sequoia .
    • Sequoia Fund letter to shareholders (.pdf)
    | Wed, Jul. 13, 11:07 AM | 8 Comments
  • Thu, Jul. 7, 10:23 AM
    • Shares of Chipotle (NYSE:CMG) are down just 1.7% after a single report of food poisoning in Manhattan drove some early selling (algos?). The stock is still the worst performer in the restaurant sector on the day.
    • The incident appears isolated and perhaps unrelated at the moment, but is an indicator of the sensitivity of investors to the food poisoning issue.
    • The focus on Chipotle will shift toward Q2 earnings before too long with the report now only two weeks out. The impact of promotions on margins and the early look at Q3 traffic will be critical.
    • Previously: Chipotle lower amid anecdotal Manhattan food poisoning report (July 7)
    | Thu, Jul. 7, 10:23 AM | 19 Comments
  • Thu, Jul. 7, 9:42 AM
    • Chipotle (NYSE:CMG) is down 3.4% in early trading in a sharp move opposite the direction of where other restaurant stocks are trading.
    • File this under anecdotal, but best-selling author Eric Van Lustbader tweeted out this morning that his editor ending up in urgent care last night after eating out at Chipotle.
    | Thu, Jul. 7, 9:42 AM | 42 Comments
  • Mon, Jun. 27, 2:43 PM
    • Chipotle (CMG -3%) introduces a three-month loyalty program intended to get customers back into its stores following a string of food safety lapses last year.
    • Maxim analyst Stephen Anderson is not swayed, reiterating his Sell rating and $285 price target on the shares and saying that while the giveaways are not as extreme as those earlier this year, they represent the new normal for CMG as it works to rebuild store traffic and regain consumer trust.
    • Anderson also warns that CMG faces permanently higher costs from increased food safety compliance, is exposed to potential higher minimum wage laws, and could still face legal risk stemming from the ongoing Federal criminal probe, all of which could hurt earnings.
    | Mon, Jun. 27, 2:43 PM | 12 Comments
  • Wed, Apr. 27, 11:59 AM
    • Chipotle (CMG -6.4%) execs spent a good portion of last night's earnings call explaining how the chain intends to reel back in customers.
    • A limited rewards program is being explored, while aggressive marketing will attempt to differentiate the Chipotle brand in a positive way. New menu items (chorizo is one) and an expansion of Chipotle's delivery service will also be introduced.
    • There's been a considerable amount of debate, and very little consensus, on which restaurant companies or even grocery store chains have picked up the lost Chipotle customers. Panera staked its claim yesterday with a powerful Q1 comp.
    • Chipotle earnings call transcript
    • Now read Chipotle: Competition Is Intensifying; More Near-Term Downside
    | Wed, Apr. 27, 11:59 AM | 19 Comments
  • Tue, Apr. 26, 5:40 PM
    • Top gainers, as of 5.25 p.m.: AAC +12.7%. WNC +12.2%. CUDA +9.2%. HPQ +8.4%. FTNT +8.1%.
    • Top losers, as of 5.25p.m.: TWTR -12.6%. BWLD -12.4%. AAPL -7.7%. HRB -6.3%. CMG -6.2%.
    | Tue, Apr. 26, 5:40 PM
  • Tue, Apr. 26, 4:39 PM
    • Chipotle (NYSE:CMG) reports comparable restaurant sales were down 29.7% in Q1. Analysts expected about a 28% drop. Transactions were 21% lower during the quarter with the discrepancy due in part to a free burrito promotion.
    • Restaurant-level operating margin fell even further than anticipated, retreating to 6.8% from 27.5% a year ago.
    • Food costs as a percentage of sales rose 140 bps to 35.3%.
    • General and administrative expense as a percentage of sale increased 160 bps to 7.4%.
    • Chipotle issued no specific guidance for Q2 or the full year.
    • CMG -3.43% AH to $430.51.
    | Tue, Apr. 26, 4:39 PM | 20 Comments
  • Fri, Apr. 1, 8:02 AM
    | Fri, Apr. 1, 8:02 AM | 2 Comments
  • Wed, Mar. 16, 11:10 AM
    • Chipotle (CMG -2.1%) took center stage at a Bank of America consumer sector conference today to follow up on yesterday's guidance update.
    • Execs tried to spin the improving comp sales growth trend (less negative), although another dip lower during March took much of the wind out of that sail. A single incident at a Boston store in March played a factor.
    • A majority of customers will return to Chipotle, according to a survey. Only 5% to 7% of respondents indicated they are done with Chipotle.
    • Perhaps the biggest takeaway from the event is that the freebies from the restaurant chain will continue well into Q2 as the company looks to bring back traffic. On that note, a coupon displayed to the crowd showed an expiration date of 12/31/16 for a free burrito, burrito bowl, salad, or taco order. One ongoing problem highlighted during the talk is the cost of uneaten food as the company attempts to forecast traffic from promotional activity and ties that to food inventory.
    • Chipotle presentation webcast
    • Previously: Chipotle reports weak February comps, issues Q1 warning; shares drop (Mar. 15 2016)
    • Previously: Chipotle considers withdrawing from food-safety changes (Mar. 16 2016)
    | Wed, Mar. 16, 11:10 AM | 7 Comments
  • Tue, Mar. 15, 4:43 PM
    • With a recent spate of customer illnesses still weighing and free burrito offers only doing so much to help, Chipotle's (NYSE:CMG) comparable restaurant sales fell 26.1% Y/Y in February (28.7% excluding February's leap day), after having dropped 36.4% in January. (8-K filing)
    • Comps were down 33.8% during the first two weeks of February, and 24.7% over the last two weeks (excluding the leap day). They were down 21.5% during the week ending March 7, and 27.3% during the following week.
    • The fast-casual chain now expects a mid-single digit Q1 restaurant-level op. margin, and Q1 EPS of -$1.00 or worse. The EPS consensus is at $0.11.
    • Chipotle: "During the quarter we will incur higher expenses driven by increased marketing and promotions spend in other operating costs, which are anticipated to be significantly higher in the first half of 2016 compared to historic reporting periods. We also anticipate higher food costs due to additional food safety protocols put into place, as well as higher food costs related to food waste, rejection rates related to high resolution DNA testing, and lower volumes. We have also incurred higher labor costs to ensure we were fully staffed as customers redeemed their free burrito offer."
    • CMG -3.2% after hours to $486.82.
    | Tue, Mar. 15, 4:43 PM | 31 Comments
  • Tue, Mar. 8, 8:56 PM
    • Chipotle Mexican Grill (NYSE:CMG) -3.3% AH on news that one of its restaurants in Billerica, Mass., was shut down for a complete sanitization after employees became ill.
    • CMG says it does not know know if the employees are ill with Norovirus, and no known customer illnesses are connected to the specific restaurant.
    • The company is trying to recover after suffering several food-related illnesses, including E.Coli outbreaks in 14 states and two separate norovirus outbreaks.
    | Tue, Mar. 8, 8:56 PM | 43 Comments
  • Mon, Feb. 29, 11:16 AM
    • Investors are taking a favorable view of the restaurant sector with 35 out of the 41 stocks in the group in positive territory on a flattish market day.
    • Some fresh data on household income is adding to the view that consumers may spend more at restaurants this year (average guest check +2.4% in January). Relatively stable weather in the U.S. during February may help the traffic comparison improve (-3.2% in January).
    • Notable gainers include Sonic (SONC +4.8%), Ruth's Hospitality (RUTH +4.3%), Chipotle (CMG +3.2%), Wingstop (WING +2.9%), Bojangles (BOJA +1.9%), Krispy Kreme Dougnuts (KKD +2.2%), and Chuy's Holdings (CHUY +2.4%).
    • Previously: Restaurant traffic clipped by weather in January (Feb. 12 2016)
    | Mon, Feb. 29, 11:16 AM
  • Tue, Feb. 23, 7:58 AM
    • Deutsche Bank lowers its rating on Chipotle (NYSE:CMG) to Sell on its view that any recovery is already priced in.
    • The overall tone of DB"s note could be worrisome to Chipotle investors. The investment firm says it has concerns that menu fatigue was already setting in with Chipotle customer before the outbreaks and that the restaurant chain could lose customers permanently.
    • CMG -2.51% premarket to $512.69.
    | Tue, Feb. 23, 7:58 AM | 27 Comments
  • Mon, Feb. 8, 2:57 PM
    • Momentum favorites Chipotle (CMG -4.2%), Under Armour (UA -8.8%), Lululemon (LULU -6.5%), and Tesla Motors (TSLA -9.1%) are getting bashed again as investors decrease their risk tolerance.
    • The blended loss for the four CULT stocks is steeper than what the FANG stocks are peeling off on the day.
    • Aside from investor anxiety, Chipotle took a long lunch break today, while Tesla is reeling from analyst resets.
    • Previously: Is it time for Tesla Motors to take on a strategic partner? (Feb. 08 2016)
    • Previously: Chipotle's lunch break begins (Feb. 08 2016)
    | Mon, Feb. 8, 2:57 PM | 48 Comments
Company Description
Chipotle Mexican Grill, Inc. develops and operates fast-casual, fresh Mexican food restaurants throughout the U.S., which serve a focused menu of burritos, tacos, burrito bowls and salads. The company also has restaurants in Canada, England, France and Germany. The company was founded by Steve... More
Sector: Services
Industry: Restaurants
Country: United States