Raymond James Upgrades Chipotle Mexican Grill (CMG) to Outperform
- S&P 500 flat as telecom weakness offsets strong retail earnings
- Walmart (WMT) Gains After Crushing Estimates, Analysts Bulled Up on 'Strong Q1 Results'
- Home Depot (HD) Leaps After Topping Q1 Estimates, Analyst Positive
- Tesla (TSLA) Stuck as It Can't Deliver 10,000+ Cars From Its Fremont Factory Amid Supply Chain Issues - Report
- Warren Buffett's Berkshire Hathaway (BRK-A) Now Almost Out of Wells Fargo (WFC), Invests Further into Verizon (VZ) and Kroger (KR), More Selling than Buying Says Analyst
(Updated - April 12, 2021 5:12 AM EDT)
Raymond James upgraded Chipotle Mexican Grill (NYSE: CMG) from Market Perform to Outperform with a price target of $1,800.00.
The analyst comments "We believe the company's sales have fully participated in strengthening industry trends over the last four weeks, likely pushing recent average weekly sales (AWS) in excess of $50K. We now see significant upside to 1Q21 expectations (new RJE $5.52 vs. consensus $4.82) and expect '21/22 estimates to reset higher behind the company's 1Q EPS release (scheduled for 4/21; new '22 RJE $35.65 vs. consensus $30.55). Further, our prior concerns regarding the company's margin recovery algo seem less relevant in an environment where '22 AUV's could achieve $2.7-2.8M supporting industry leading store margins exceeding 25%. Chipotle is also among the highest quality growth stories in our universe supported by several tangible comp drivers (menu innovation, leveraging loyalty), accelerating unit growth (7-8% in '22 bolstered by Chipotlane rollout still in very early stages), and an ironclad financial position (strong FCF and debt-free B/S)."
Shares of Chipotle Mexican Grill closed at $1531.42 yesterday.
You May Also Be Interested In
- UPDATE: Raymond James Upgrades Palo Alto Networks (PANW) to Outperform
- JPMorgan Upgrades MGM Resorts (MGM) to Overweight
- Natwest Group PLC (NWG:LN) (NWG) PT Raised to GBP3.05 at Goldman Sachs
Create E-mail Alert Related CategoriesAnalyst Comments, Hot Comments, Hot Upgrades, Upgrades
Related EntitiesRaymond James
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!