William Blair Has Negative Outlook of CMG FY2025 Earnings

Key Points

• William Blair has reduced its FY2025 earnings per share estimate for Chipotle Mexican Grill from $1.22 to $1.21, which is also below the consensus estimate of $1.29.
• Multiple analysts have lowered their price targets for Chipotle's stock, with Morgan Stanley decreasing theirs from $67 to $65 and Raymond James adjusting theirs from $62 to $60.
• Chipotle recently reported a net margin of 13.32% for the latest quarter, with revenue of $3.06 billion, slightly below the consensus estimate of $3.11 billion.

Chipotle Mexican Grill, Inc. (NYSE:CMG - Free Report) - Research analysts at William Blair cut their FY2025 EPS estimates for shares of Chipotle Mexican Grill in a note issued to investors on Thursday, July 24th. William Blair analyst S. Zackfia now anticipates that the restaurant operator will post earnings per share of $1.21 for the year, down from their prior forecast of $1.22. The consensus estimate for Chipotle Mexican Grill's current full-year earnings is $1.29 per share.

Other research analysts also recently issued research reports about the stock. Morgan Stanley dropped their price objective on shares of Chipotle Mexican Grill from $67.00 to $65.00 and set an "overweight" rating on the stock in a report on Thursday, April 24th. Raymond James Financial reissued an "outperform" rating and issued a $60.00 target price (down previously from $62.00) on shares of Chipotle Mexican Grill in a research note on Thursday. Argus cut shares of Chipotle Mexican Grill from a "buy" rating to a "hold" rating in a research note on Monday, April 28th. Guggenheim lowered their target price on shares of Chipotle Mexican Grill from $47.00 to $46.00 and set a "neutral" rating on the stock in a research note on Friday. Finally, Melius started coverage on shares of Chipotle Mexican Grill in a research note on Monday, July 14th. They issued a "hold" rating and a $60.00 target price on the stock. Nine investment analysts have rated the stock with a hold rating, nineteen have issued a buy rating and one has given a strong buy rating to the company's stock. According to data from MarketBeat.com, Chipotle Mexican Grill presently has a consensus rating of "Moderate Buy" and a consensus target price of $60.71.

Chipotle Mexican Grill Price Performance

Shares of CMG opened at $46.75 on Monday. The company has a market capitalization of $62.98 billion, a PE ratio of 41.74, a price-to-earnings-growth ratio of 2.38 and a beta of 1.08. Chipotle Mexican Grill has a one year low of $44.46 and a one year high of $66.74. The company's fifty day moving average price is $52.75 and its 200 day moving average price is $52.54.

Chipotle Mexican Grill (NYSE:CMG - Get Free Report) last announced its earnings results on Wednesday, July 23rd. The restaurant operator reported $0.33 EPS for the quarter, topping the consensus estimate of $0.32 by $0.01. The firm had revenue of $3.06 billion for the quarter, compared to the consensus estimate of $3.11 billion. Chipotle Mexican Grill had a net margin of 13.32% and a return on equity of 43.50%. The business's quarterly revenue was up 3.0% on a year-over-year basis. During the same quarter last year, the firm posted $0.34 EPS.

Insider Activity

In other news, insider Roger E. Theodoredis sold 113,875 shares of the firm's stock in a transaction dated Monday, June 2nd. The shares were sold at an average price of $49.70, for a total transaction of $5,659,587.50. Following the completion of the sale, the insider owned 109,815 shares in the company, valued at approximately $5,457,805.50. This trade represents a 50.91% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Corporate insiders own 1.02% of the company's stock.

Hedge Funds Weigh In On Chipotle Mexican Grill

Hedge funds have recently bought and sold shares of the business. Nuveen LLC bought a new stake in shares of Chipotle Mexican Grill during the 1st quarter valued at approximately $535,023,000. DZ BANK AG Deutsche Zentral Genossenschafts Bank Frankfurt am Main grew its holdings in Chipotle Mexican Grill by 4,138,574.1% during the 4th quarter. DZ BANK AG Deutsche Zentral Genossenschafts Bank Frankfurt am Main now owns 8,318,735 shares of the restaurant operator's stock worth $501,620,000 after acquiring an additional 8,318,534 shares during the last quarter. Alliancebernstein L.P. grew its holdings in Chipotle Mexican Grill by 29.5% during the 4th quarter. Alliancebernstein L.P. now owns 30,100,520 shares of the restaurant operator's stock worth $1,815,061,000 after acquiring an additional 6,853,470 shares during the last quarter. Goldman Sachs Group Inc. grew its holdings in Chipotle Mexican Grill by 98.1% during the 1st quarter. Goldman Sachs Group Inc. now owns 9,900,521 shares of the restaurant operator's stock worth $497,105,000 after acquiring an additional 4,903,969 shares during the last quarter. Finally, Voya Investment Management LLC grew its holdings in Chipotle Mexican Grill by 114.2% during the 4th quarter. Voya Investment Management LLC now owns 8,986,971 shares of the restaurant operator's stock worth $541,914,000 after acquiring an additional 4,790,464 shares during the last quarter. 91.31% of the stock is owned by institutional investors.

Chipotle Mexican Grill Company Profile

Chipotle Mexican Grill, Inc, together with its subsidiaries, owns and operates Chipotle Mexican Grill restaurants. It sells food and beverages through offering burritos, burrito bowls, quesadillas, tacos, and salads. The company also provides delivery and related services its app and website. It has operations in the United States, Canada, France, Germany, and the United Kingdom.

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