First Taste Of Chipotle's Q2 Results, Guidance
Chipotle Mexican Grill, Inc. (NYSE:CMG) has suffered its share of problems since last week, causing shares to reach a new four-year low. However, in some positive news, the company reported a second-quarter an earnings beat after Tuesday's close.
Chipotle delivered Q2 earnings of $2.32 per share, beating estimates by 14 cents. Sales fell short by $20 million, at $1.17 billion.
Comps were up 8.1 percent in Q2, although comps may have been negatively impacted over the last few days due to the latest norovirus outbreak. The company expects full-year 2017 comps to increase in the high single digits.
“While we maintain previously voiced concerns around new unit AUVs and margin progression, on the call we will be looking for further color around comp and profitability expectations in light of what we expect has been a recently negative turn in trends from norovirus and other neg. publicity," Stephens analyst Will Slabaugh said in a note. "Our rating is UW, and our price target and estimates are under review."
Shares of Chipotle were up nearly 4 percent ahead of the earnings call, trading at $361.24 at time of publication.
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