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Chipotle Hits Above $1,000 for Record High in Monday Trading

By Jennifer Saibil – May 19, 2020 at 9:40AM

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After a fabulous first quarter, the stock keeps gaining.

Chipotle Mexican Grill (CMG 2.09%) has been hot recently. Yesterday the stock hit a record high, going over $1,000 per share for the first time.

Some like it spicy

The Mexican-food restaurant chain has been able to adjust its operations to handle digital orders and move into takeout and delivery mode. Most orders during the the period were to-go, and only around 100 restaurants closed during the current pandemic.

A plate of loaded nachos.

Image source: Getty Images.

Chipotle released first-quarter earnings results on April 21 for the period ending March 31. Revenue increased 7.8% to $1.4 billion and comps increased 3.3%, which reflected weaker comps in March. Digital sales increased 80% and accounted for 26.3% of sales.

The company's share price dropped in March as low as $415 from a year-to-date high of $934, but came back up to break $1,000, hitting $1,017 in trading on Monday.

Building the brand

One of the highlights of the first quarter was an increase in loyalty program members. In the month before the earnings release, daily sign-ups almost quadrupled. In the first quarter, 65% of new members were new to Chipotle, and 61% of previously in-store members joined digital. The company opened 28 stores during the first quarter and has another 49 in progress.

CEO Brian Niccol said, "Cultivating a better world takes commitment from all of us, and we are fortunate to have the financial strength to weather this storm."

Chipotle stock closed on Monday at $998.58.

Jennifer Saibil has no position in any of the stocks mentioned. The Motley Fool owns shares of and recommends Chipotle Mexican Grill. The Motley Fool has a disclosure policy.

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Chipotle Mexican Grill, Inc. Stock Quote
Chipotle Mexican Grill, Inc.
CMG
$1,536.15 (2.09%) $31.45

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