Market Overview

UPDATE: BMO Capital Markets Raises PT on Chipotle Mexican Grill on Reported 1Q EPS

Share:
Related CMG
Movers Alert: Fast Food Is Having A Good Wednesday
Habit Burger Vs. Shake Shack; Analyst Recently Made A Surprising Decision
The Vetr community has downgraded $CMG to 3-Stars (Vetr)

In a report published Friday, BMO Capital Markets analyst Phillip Juhan reiterated a Market Perform rating on Chipotle Mexican Grill (NYSE: CMG), and raised the price target from $310.00 to $375.00.

In the report, Juhan noted, “Chipotle reported 1Q EPS of $2.45 (~25% growth), which was 15% above the First Call mean estimate (see Exhibit 1 for details). Keep in mind the stock traded down nearly 3.5% during Thursday's session to close at ~$328 (just prior to the 1Q release). We think the 1Q EPS beat is enough to lift the shares back to the $340 range, effectively retracing yesterday's decline. Overall, we think the positive reaction to the 1Q results will remain somewhat subdued as the earnings beat was of lesser quality than we've seen in the past from CMG, same-store sales remain sluggish by CMG standards (+3% normalized in April), restaurant margins remain under pressure, and management will likely delay the timing of an anticipated 3%-5% menu price increase (to late summer/early fall – ‘if it even happens this year at all').”

Chipotle Mexican Grill closed on Thursday at $328.36.

Latest Ratings for CMG

DateFirmActionFromTo
Feb 2015CitigroupMaintainsBuy
Feb 2015UBSMaintainsNeutral
Feb 2015WunderlichMaintainsHold

View More Analyst Ratings for CMG
View the Latest Analyst Ratings

Posted-In: BMO Capital MarketsAnalyst Color Price Target Analyst Ratings

 

Related Articles (CMG)

Around the Web, We're Loving...

Get Benzinga's Newsletters

Our Experts vs. S&P 500Powered by Benzinga
Marketfy Products Return S&P 500
Morning Profit Maker 42.72% 6.69%
The Option Prophet 91.14% 6.69%
SecretCaps 26.55% 6.69%
Short-Term Trend Trading 11.89% 6.69%
View the highest rated products→