Chipotle Has A Credibility Problem And Ackman Isn't Helping Right Now

|
About: Chipotle Mexican Grill, Inc. (CMG)
by: Orange Peel Investments
This article is exclusive for subscribers.
Orange Peel Investments
Long/short equity
Summary

CMG misses on almost every data point yesterday.

Guidance is the only thing that has prevented a full out stock crash, we believe.

We're not sure guidance should be trusted, we think management has lack of visibility into the business.

By Parke Shall

While Chipotle's (NYSE:CMG) quarterly earnings came out and disappointed many investors, the company offered guidance that was relatively optimistic sounding. It was enough to stop a major selloff in shares