It's Showtime for Chipotle Mexican Grill

Seth Jayson, The Motley Fool
Updated

Chipotle Mexican Grill (NYS: CMG) is expected to report Q2 earnings on July 19. Here's what Wall Street wants to see:

The 10-second takeaway
 Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict Chipotle Mexican Grill's revenues will expand 23.5% and EPS will grow 40.2%.

The average estimate for revenue is $706.2 million. On the bottom line, the average EPS estimate is $2.30.


Revenue details
 Last quarter, Chipotle Mexican Grill booked revenue of $640.6 million. GAAP reported sales were 26% higher than the prior-year quarter's $509.4 million.

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Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
 Last quarter, EPS came in at $1.97. GAAP EPS of $1.97 for Q1 were 35% higher than the prior-year quarter's $1.46 per share.

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Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Recent performance
 For the preceding quarter, gross margin was 37.7%, 120 basis points better than the prior-year quarter. Operating margin was 16.2%, 120 basis points better than the prior-year quarter. Net margin was 9.8%, 70 basis points better than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $2.77 billion. The average EPS estimate is $8.90.

Investor sentiment
 The stock has a two-star rating (out of five) at Motley Fool CAPS, with 2,580 members out of 3,095 rating the stock outperform, and 516 members rating it underperform. Among 1,003 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 896 give Chipotle Mexican Grill a green thumbs-up, and 107 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Chipotle Mexican Grill is hold, with an average price target of $390.55.

The article It's Showtime for Chipotle Mexican Grill originally appeared on Fool.com.

Seth Jayson owned shares of the following at the time of publication: Chipotle Mexican Grill. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool owns shares of Chipotle Mexican Grill. Motley Fool newsletter services have recommended buying shares of Chipotle Mexican Grill. Motley Fool newsletter services have recommended creating a bear put spread position in Chipotle Mexican Grill. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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