In the latest trading session, Chipotle Mexican Grill (NYSE:CMG) closed at $2,688.77, marking a modest uptick of +0.64% from the previous day’s close. Notably, the stock outperformed the broader market, with the S&P 500 registering a daily gain of 0.52%, while the Dow added 0.12%, and the Nasdaq surged 0.9%.
Leading up to today’s trading, shares of the popular Mexican food chain had surged by 10.92% over the past month, surpassing the gains seen in the Retail-Wholesale sector (0.38%) and the S&P 500 (3.85%) during the same period.
Investors are eagerly awaiting Chipotle Mexican Grill’s upcoming financial results. Analysts predict an EPS of $11.34, indicating an 8% growth compared to the corresponding quarter last year. Additionally, the consensus estimate projects revenue of $2.66 billion, reflecting a robust 12.27% increase from the same quarter last year.
For the entire fiscal year, Zacks Consensus Estimates forecast earnings of $53.21 per share and revenue of $11.22 billion, representing impressive changes of +18.61% and +13.63%, respectively, from the previous year.
Market watchers should also pay attention to any recent revisions in analyst forecasts for Chipotle Mexican Grill, as these adjustments often reflect evolving short-term business dynamics. Upward revisions in estimates typically indicate analysts’ optimism about the company’s performance and profit potential.
Assessing its valuation metrics, Chipotle Mexican Grill maintains a Forward P/E ratio of 50.21, indicating a premium compared to the industry average of 21.25. Furthermore, the company’s PEG ratio stands at 2.3, slightly higher than the industry average of 2.09, highlighting its projected earnings growth relative to its price.
It’s noteworthy that the Retail – Restaurants industry, to which Chipotle belongs, holds a Zacks Industry Rank of 98, positioning it in the top 39% of all industries. Research indicates that industries ranked in the top 50% tend to outperform those in the bottom half by a considerable margin.
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