Chipotle Mexican Grill Receives Neutral Rating from Zacks (CMG)
Chipotle Mexican Grill (NYSE:CMG)‘s stock had its “neutral” rating reaffirmed by Zacks in a research report issued to clients and investors on Monday, Analyst Ratings Network.com reports. They currently have a $535.00 price target on the stock. Zacks‘ price target indicates a potential upside of 4.96% from the company’s current price.
Zacks‘ analyst wrote, “Chipotle’s third-quarter 2013 earnings of $2.66 per share missed the Zacks Consensus Estimate by nearly 4% due to lower margin and increased costs. However, earnings were up 17.2% year over year, led by higher top line. The company’s revenues increased 18.0% year over year and also beat the Zacks Consensus Estimate by 1.1% backed by higher comps and unit expansion. Comps increased 70 bps sequentially and 140 bps year over year to 6.2% led by higher traffic. We believe that the company’s initiative to provide GMO-free foods will trigger its business in the ensuing quarters. We believe that the company has compelling growth drivers like the ShopHouse concept and catering program to sustain the revenue momentum. However, higher food costs and increased marketing spending may hurt Chipotle’s margin, going ahead. A limited consumer spending environment has also added to the woes. Thus, we remain Neutral on the stock. “
Chipotle Mexican Grill (NYSE:CMG) traded down 0.10% during mid-day trading on Monday, hitting $509.25. The stock had a trading volume of 906,010 shares. Chipotle Mexican Grill has a 52 week low of $233.82 and a 52 week high of $511.10. The stock’s 50-day moving average is $426.1 and its 200-day moving average is $387.6. The company has a market cap of $15.753 billion and a P/E ratio of 51.63.
Chipotle Mexican Grill (NYSE:CMG) last posted its quarterly earnings results on Thursday, October 17th. The company reported $2.66 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.77 by $0.11. The company had revenue of $826.90 million for the quarter, compared to the consensus estimate of $820.28 million. During the same quarter in the previous year, the company posted $2.27 earnings per share. The company’s revenue for the quarter was up 18.0% on a year-over-year basis. On average, analysts predict that Chipotle Mexican Grill will post $10.48 earnings per share for the current fiscal year.
A number of other analysts have also recently weighed in on CMG. Analysts at Miller Tabak downgraded shares of Chipotle Mexican Grill from a “buy” rating to a “hold” rating in a research note to investors on Monday. They now have a $490.00 price target on the stock. They noted that the move was a valuation call. Separately, analysts at Piper Jaffray Cos. raised their price target on shares of Chipotle Mexican Grill from $450.00 to $480.00 in a research note to investors on Friday. They now have an “overweight” rating on the stock. Finally, analysts at Deutsche Bank raised their price target on shares of Chipotle Mexican Grill from $400.00 to $440.00 in a research note to investors on Friday. They now have a “hold” rating on the stock. One equities research analyst has rated the stock with a sell rating, eleven have assigned a hold rating and thirteen have issued a buy rating to the stock. The company currently has an average rating of “Hold” and an average price target of $445.91.
In other Chipotle Mexican Grill news, CEO Montgomery Moran unloaded 3,830 shares of the stock in a transaction that occurred on Monday, October 14th. The stock was sold at an average price of $444.09, for a total value of $1,700,864.70. Following the transaction, the chief executive officer now directly owns 133,837 shares of the company’s stock, valued at approximately $59,435,673. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link.
Chipotle Mexican Grill, Inc and its subsidiaries (NYSE:CMG) operate restaurants throughout the United States, as well as two restaurants in Toronto, Canada and two in London, England.
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