Raymond James Upgrades Chipotle Mexican Grill (CMG) to Outperform

April 12, 2021 4:51 AM EDT
Get Alerts CMG Hot Sheet
Price: $1,334.23 +0.20%

Rating Summary:
    27 Buy, 17 Hold, 1 Sell

Rating Trend: Up Up

Today's Overall Ratings:
    Up: 14 | Down: 5 | New: 58
Trade Now! 
Join SI Premium – FREE

(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)."

For an analyst ratings summary and ratings history on Chipotle Mexican Grill click here. For more ratings news on Chipotle Mexican Grill click here.

Shares of Chipotle Mexican Grill closed at $1531.42 yesterday.


You May Also Be Interested In





Related Categories

Analyst Comments, Hot Comments, Hot Upgrades, Upgrades

Related Entities

Raymond James