From Nasdaq:

Chipotle Mexican Grill stock is expected to see little to no movement with fourth-quarter revenues and earnings matching expectations. Despite slowing growth, profitability remains strong due to raised prices. A strong balance sheet sees the company opening 62 new restaurants in the second quarter, and it’s anticipating comps in a mid to high-single-digit range.

CMG stock has seen strong gains of 75% over the last three years but its inconsistent performance has underperformed the S&P 500 in 2021 and 2022. Chipotle’s forecasted valuation is $2378 per share, almost in line with the current market price, with future performance and whether it will underperform the S&P over the next 12 months remaining uncertain.

Revenues for Chipotle are expected to be around $2.5 billion in Q4 2023, a growth of 11% year-over-year, and $9.8 billion for the full year. The company anticipates further expansion, with potential for 7,000 locations in North America and significant expansion potential in Canada, as well as across Europe. Chipotle’s Q4 2023 EPS is expected to come in at $9.73 per share, with a restaurant-level margin of 26.3% and a potential for continued profit growth driven by digital orders.

Chipotle’s stock price estimate aligns with the current market price, with an EPS estimate and P/E ratio pointing to a price estimate of $2377.75, almost in line with the current value. This valuation is on the steep side compared to popular restaurant stocks like McDonald’s and Starbucks. The company’s stock will be compared to its peers to see how it stacks up.



Read more: Up 11% Already This Year, Does Chipotle Stock Have More Room To Run After Q4 Results?