Why Chipotle Mexican Grill Stock Is Cooking After Hours

Chipotle Mexican Grill Inc CMG shares are trading higher in Tuesday's after-hours session after the company reported strong earnings results.

Chipotle said third-quarter revenue increased 13.7% year-over-year to $2.22 billion, which missed average analyst estimates of $2.23 billion, according to Benzinga Pro. The fast-casual restaurant chain reported quarterly adjusted earnings of $9.51 per share, which beat average estimates of $9.16 per share.

Comparable restaurant sales increased 7.6% year-over-year. In-restaurant sales increased 22.1%, while digital sales represented 37.2% of food and beverage revenue.

Operating margins were 15.1% in the third quarter, up from 12.3% year-over-year. Chipotle said it opened 43 new restaurants last quarter.

"Our performance in the third quarter confirms our brand and value proposition remains strong, even during a challenging economic environment. With consumer discretionary spending tightening, we are focused on running great restaurants and delivering excellent customer and employee experiences," said Brian Niccol, chairman, and CEO of Chipotle.

Chipotle expects fourth-quarter comparable restaurant sales growth in the mid to high-single digits. The company said it anticipates opening between 255 and 285 new restaurants in 2023.

See Also: Why Enphase Energy Stock Is Moving After Hours

CMG Price Action: Chipotle has a 52-week high of $1,754.56 and a 52-week low of $1,196.28.

The stock was up 3.89% in after-hours at $1,650 at the time of publication.

Photo: courtesy of Chipotle.

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