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CMG

Chipotle Gains on Q4 Earnings Beat, Total Comps Decline 4.8%

Chipotle Mexican Grill Inc. CMG just released its fourth quarter fiscal 2016 financial results, posting earnings of 55 cents per share and revenues of $1.03 billion. Currently, CMG is a #4 (Sell) on the Zacks Rank, and is up 1.11% to $429.00 per share in trading shortly after its earnings report was released.

Beat earnings estimates . The company posted earnings of 55 cents per share, surpassing the Zacks Consensus Estimate of 54 cents per share.

Matched revenue estimates . The company saw revenue figures of $1.03 billion, matching our consensus estimate of $1.033 billion and gaining 3.7% year-over-year.

Chipotle reported comparable sales for the month of December increased 14.7% but declined 4.8% for the quarter as a whole.

Restaurant level operating margin was 13.5%, down from 19.6% in the prior year period. This was driven primarily by increased marketing and promotional spending, sales deleveraging and higher food costs.

Looking ahead, Chipotle management expects comparable sales to increase in the high single digits for fiscal 2017, as well as 195-210 new restaurant openings.

"We are energized and focused to achieve our goals in 2017, and to return to a path of long-term value creation for our shareholders," said Steve Ells, Founder, Chairman and CEO of Chipotle. "Returning to our roots of what originally made Chipotle great has helped refocus all of our strategies toward the guest experience."

Here's a graph that looks at Chipotle's price, consensus, and EPS surprise:

Chipotle Mexican Grill, Inc. Price, Consensus and EPS Surprise

Chipotle Mexican Grill, Inc. Price, Consensus and EPS Surprise | Chipotle Mexican Grill, Inc. Quote

Chipotle offers a focused menu of burritos, tacos, burrito bowls and salads made from fresh, high-quality raw ingredients, prepared using classic cooking methods and served in a distinctive atmosphere. Through its vision of Food with Integrity, Chipotle is seeking better food not only from a variety of fresh ingredients, but ingredients that are sustainably grown and naturally raised with respect for the animals, the land, and the farmers who produce the food.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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