NOT FOR DISTRIBUTION
Header cover image

Market Cap

US$43.2b

Last Updated

2021/04/11 22:15 UTC

Data Sources

Company Financials +

Executive Summary

Chipotle Mexican Grill, Inc., together with its subsidiaries, owns and operates Chipotle Mexican Grill restaurants. More Details


Snowflake Analysis

High growth potential with excellent balance sheet.


Similar Companies

Share Price & News

How has Chipotle Mexican Grill's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: CMG is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: CMG's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

6.5%

CMG

1.0%

US Hospitality

2.1%

US Market


1 Year Return

98.6%

CMG

94.7%

US Hospitality

56.3%

US Market

Return vs Industry: CMG exceeded the US Hospitality industry which returned 94.7% over the past year.

Return vs Market: CMG exceeded the US Market which returned 56.3% over the past year.


Shareholder returns

CMGIndustryMarket
7 Day6.5%1.0%2.1%
30 Day5.4%-3.3%2.4%
90 Day9.2%16.0%6.8%
1 Year98.6%98.6%95.5%94.7%59.1%56.3%
3 Year381.0%381.0%19.3%14.0%65.7%55.1%
5 Year226.3%226.3%67.7%54.8%122.3%97.7%

Long-Term Price Volatility Vs. Market

How volatile is Chipotle Mexican Grill's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Chipotle Mexican Grill undervalued compared to its fair value and its price relative to the market?

120.17x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: CMG ($1531.42) is trading above our estimate of fair value ($885.87)

Significantly Below Fair Value: CMG is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: CMG is poor value based on its PE Ratio (120.2x) compared to the US Hospitality industry average (41x).

PE vs Market: CMG is poor value based on its PE Ratio (120.2x) compared to the US market (22.3x).


Price to Earnings Growth Ratio

PEG Ratio: CMG is poor value based on its PEG Ratio (4.8x)


Price to Book Ratio

PB vs Industry: CMG is overvalued based on its PB Ratio (21.2x) compared to the US Hospitality industry average (4.3x).


Future Growth

How is Chipotle Mexican Grill forecast to perform in the next 1 to 3 years based on estimates from 32 analysts?

25.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CMG's forecast earnings growth (25% per year) is above the savings rate (2%).

Earnings vs Market: CMG's earnings (25% per year) are forecast to grow faster than the US market (18.6% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: CMG's revenue (12.3% per year) is forecast to grow faster than the US market (9.9% per year).

High Growth Revenue: CMG's revenue (12.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CMG's Return on Equity is forecast to be high in 3 years time (39.3%)


Past Performance

How has Chipotle Mexican Grill performed over the past 5 years?

8.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CMG has high quality earnings.

Growing Profit Margin: CMG's current net profit margins (5.9%) are lower than last year (6.3%).


Past Earnings Growth Analysis

Earnings Trend: CMG's earnings have grown by 8.9% per year over the past 5 years.

Accelerating Growth: CMG's earnings growth over the past year (1.6%) is below its 5-year average (8.9% per year).

Earnings vs Industry: CMG earnings growth over the past year (1.6%) exceeded the Hospitality industry -25.5%.


Return on Equity

High ROE: CMG's Return on Equity (17.6%) is considered low.


Financial Health

How is Chipotle Mexican Grill's financial position?


Financial Position Analysis

Short Term Liabilities: CMG's short term assets ($1.4B) exceed its short term liabilities ($822.2M).

Long Term Liabilities: CMG's short term assets ($1.4B) do not cover its long term liabilities ($3.1B).


Debt to Equity History and Analysis

Debt Level: CMG is debt free.

Reducing Debt: CMG has not had any debt for past 5 years.

Debt Coverage: CMG has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: CMG has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Chipotle Mexican Grill current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate CMG's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate CMG's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if CMG's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if CMG's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of CMG's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.1yrs

Average management tenure


CEO

Brian Niccol (46 yo)

3.08yrs

Tenure

US$16,068,144

Compensation

Mr. Brian R. Niccol has been Chief Executive Officer and Director at Chipotle Mexican Grill, Inc., since March 05, 2018 and has been its Chairman since March 03, 2020. Mr. Niccol has been an Independent Di...


CEO Compensation Analysis

Compensation vs Market: Brian's total compensation ($USD16.07M) is above average for companies of similar size in the US market ($USD10.98M).

Compensation vs Earnings: Brian's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: CMG's management team is considered experienced (3.1 years average tenure).


Board Members

Experienced Board: CMG's board of directors are not considered experienced ( 2.1 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: CMG insiders have sold more shares than they have bought in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Chipotle Mexican Grill, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Chipotle Mexican Grill, Inc.
  • Ticker: CMG
  • Exchange: NYSE
  • Founded: 1993
  • Industry: Restaurants
  • Sector: Consumer Services
  • Market Cap: US$43.159b
  • Shares outstanding: 28.18m
  • Website: https://www.chipotle.com

Number of Employees


Location

  • Chipotle Mexican Grill, Inc.
  • 610 Newport Center Drive
  • Suite 1300
  • Newport Beach
  • California
  • 92660
  • United States

Listings


Biography

Chipotle Mexican Grill, Inc., together with its subsidiaries, owns and operates Chipotle Mexican Grill restaurants. As of December 31, 2020, it owned and operated 2,724 Chipotle restaurants in the United S...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/04/11 22:15
End of Day Share Price2021/04/09 00:00
Earnings2020/12/31
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.