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Chipotle Mexican Grill (CMG) Stock Moves -0.63%: What You Should Know

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Chipotle Mexican Grill (CMG - Free Report) closed the most recent trading day at $1,207.78, moving -0.63% from the previous trading session. This move was narrower than the S&P 500's daily loss of 1.16%. At the same time, the Dow lost 1.84%, and the tech-heavy Nasdaq lost 0.13%.

Prior to today's trading, shares of the Mexican food chain had lost 1.97% over the past month. This has was narrower than the Retail-Wholesale sector's loss of 3.74% and lagged the S&P 500's loss of 1.96% in that time.

CMG will be looking to display strength as it nears its next earnings release, which is expected to be October 21, 2020. The company is expected to report EPS of $3.33, down 12.83% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $1.58 billion, up 12.71% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $10.89 per share and revenue of $5.97 billion. These totals would mark changes of -22.49% and +6.95%, respectively, from last year.

Investors might also notice recent changes to analyst estimates for CMG. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 0.58% higher within the past month. CMG is currently a Zacks Rank #3 (Hold).

Valuation is also important, so investors should note that CMG has a Forward P/E ratio of 111.66 right now. For comparison, its industry has an average Forward P/E of 32.8, which means CMG is trading at a premium to the group.

We can also see that CMG currently has a PEG ratio of 5.8. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Retail - Restaurants stocks are, on average, holding a PEG ratio of 3.71 based on yesterday's closing prices.

The Retail - Restaurants industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 95, which puts it in the top 38% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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