Analyst Ratings For Chipotle Mexican Grill

Providing a diverse range of perspectives from bullish to bearish, 13 analysts have published ratings on Chipotle Mexican Grill CMG in the last three months.

Summarizing their recent assessments, the table below illustrates the evolving sentiments in the past 30 days and compares them to the preceding months.

Analysts have set 12-month price targets for Chipotle Mexican Grill, revealing an average target of $2386.31, a high estimate of $2800.00, and a low estimate of $2070.00. This current average has increased by 13.24% from the previous average price target of $2107.22.

Diving into Analyst Ratings: An In-Depth Exploration

The standing of Chipotle Mexican Grill among financial experts becomes clear with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to Chipotle Mexican Grill. This insight gives a snapshot of analysts' perspectives on the current state of the company.
• Rating: Gaining insights, analysts provide qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of Chipotle Mexican Grill compared to the broader market.
• Price Targets: Analysts gauge the dynamics of price targets, providing estimates for the future value of Chipotle Mexican Grill's stock. This comparison reveals trends in analysts' expectations over time.

To gain a panoramic view of Chipotle Mexican Grill's market performance, explore these analyst evaluations alongside essential financial indicators. Stay informed and make judicious decisions using our Ratings Table.

Stay up to date on Chipotle Mexican Grill analyst ratings.

All You Need to Know About Chipotle Mexican Grill

Chipotle Mexican Grill is the largest fast-casual chain restaurant in the United States, with systemwide sales of $8.6 billion in 2022. The Mexican concept is predominately company-owned (it recently inked a development agreement with Alshaya Group in the Middle East), with a footprint of nearly 3,200 stores at the end of 2022, heavily indexed to the United States, although the firm maintains a small presence in Canada, the U.K., France, and Germany. Chipotle sells burritos, burrito bowls, tacos, quesadillas, and beverages, with a selling proposition built around competitive prices, high-quality food sourcing, speed of service, and convenience. The company generates its revenue entirely from restaurant sales and delivery fees.

Chipotle Mexican Grill: Delving into Financials

Market Capitalization Highlights: Above the industry average, the company's market capitalization signifies a significant scale, indicating strong confidence and market prominence.

Revenue Growth: Over the 3 months period, Chipotle Mexican Grill showcased positive performance, achieving a revenue growth rate of 11.34% as of 30 September, 2023. This reflects a substantial increase in the company's top-line earnings. When compared to others in the Consumer Discretionary sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 12.67%, the company showcases strong profitability and effective cost control.

Return on Equity (ROE): Chipotle Mexican Grill's ROE excels beyond industry benchmarks, reaching 11.08%. This signifies robust financial management and efficient use of shareholder equity capital.

Return on Assets (ROA): Chipotle Mexican Grill's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 4.05% ROA, the company effectively utilizes its assets for optimal returns.

Debt Management: With a below-average debt-to-equity ratio of 1.39, Chipotle Mexican Grill adopts a prudent financial strategy, indicating a balanced approach to debt management.

The Core of Analyst Ratings: What Every Investor Should Know

Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.

Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.

Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.

This article was generated by Benzinga's automated content engine and reviewed by an editor.