Chipotle Stock Simmers Ahead Of Q4 Earnings: Bullish Breakout Or Just Sizzle?

Chipotle Mexican Grill Inc CMG will be reporting its fourth-quarter earnings on Tuesday. Wall Street expects 24 cents in EPS and $2.85 billion in revenues as the company reports after market hours.

The stock is up 18.09% over the past year, down 2.55% YTD.

Let’s look at what the charts indicate for Chipotle stock and how the stock currently maps against Wall Street estimates.

Read Also: Top Wall Street Forecasters Revamp Chipotle Mexican Grill Price Expectations Ahead Of Q4 Earnings

Chipotle Stock Under Buying Pressure Ahead Of Q4 Earnings

Chipotle stock is currently navigating a stagnant trend, but underlying buying pressure hints at potential bullish momentum.

Chart created using Benzinga Pro

Chipotle stock trades at $58.56, sitting above both its eight-day simple moving average (SMA) of $58.17 and 20-day SMA of $57.61, both signaling a short-term bullish setup.

However, longer-term trends present a mixed picture, with Chipotle stock trading below its 50-day SMA of $60.46 and 200-day SMA of $59.13, indicating residual bearish pressure.

Momentum indicators further complicate the outlook. The Moving Average Convergence Divergence (MACD) is at a negative 0.47, a bearish signal, while the Relative Strength Index (RSI) sits at 49.56, suggesting neutral conditions.

Investors should monitor whether buying pressure can push Chipotle above key resistance levels to confirm a bullish breakout or if resistance from long-term moving averages keeps the stock under pressure.

Chipotle Analysts See 22% Upside

Ratings & Consensus Estimates: The consensus analyst rating on Chipotle stock stands at a Buy currently with a price target of $776.64. Recent ratings from Raymond James, RBC Capital and Bernstein have set a $71.33 average price target for Chipotlestock, implying a 21.79% upside.

Stock Price Action: Chipotle stock closed the trading day Monday at $58.36, up 0.02%.

Read Next:

• Chipotle Mexican Grill Q4 Earnings Preview: New Store Figures, Comparable Sales On Watch

Image: Shutterstock