Chipotle Mexican Grill
The 10-second takeaway
For the quarter ended June 30 (Q2), Chipotle Mexican Grill missed estimates on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue improved significantly and GAAP earnings per share grew significantly.
Margins improved across the board.
Chipotle Mexican Grill tallied revenue of $690.9 million. The 20 analysts polled by S&P Capital IQ expected revenue of $705.9 million on the same basis. GAAP reported sales were 21% higher than the prior-year quarter's $571.6 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $2.56. The 22 earnings estimates compiled by S&P Capital IQ predicted $2.30 per share. GAAP EPS of $2.56 for Q2 were 61% higher than the prior-year quarter's $1.59 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 38.8%, 210 basis points better than the prior-year quarter. Operating margin was 19.6%, 470 basis points better than the prior-year quarter. Net margin was 11.8%, 290 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $710.7 million. On the bottom line, the average EPS estimate is $2.31.
Next year's average estimate for revenue is $2.76 billion. The average EPS estimate is $8.87.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 2,585 members out of 3,106 rating the stock outperform, and 521 members rating it underperform. Among 1,009 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 900 give Chipotle Mexican Grill a green thumbs-up, and 109 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Chipotle Mexican Grill is hold, with an average price target of $438.84.
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