Chipotle leverages technology for growth, leading to increased digital sales share and revenue.

From Nasdaq: 2024-07-21 05:10:00

Chipotle (NYSE: CMG) has leveraged technology, launching an enhanced digital ordering app in 2017, with AI and robotics now key in the ordering process. This led to a 37% digital sales share in Q1 2024, helping revenue and growth, alongside innovations in robotics for food prep like a digital makeline and Autocado, the avocado robot.

Despite not being a tech stock, Chipotle benefits from tech, notably during the pandemic with 23% net income growth in Q1 2024. With stock split, share price rose 35% over past year, even with P/E ratio at a tech-like 59. Tech-related innovations may define Chipotle stock, impacting future growth and investor interest.

Investors may hesitate due to tech valuation being factored into stock price, but Chipotle offers a unique value proposition amid tech advancements. The Motley Fool Stock Advisor team, on the other hand, highlights 10 other stocks for investors to consider, not including Chipotle in their top picks.



Read more at Nasdaq: Should Investors Treat Chipotle Like It’s a Tech Stock?