1 Big Driver Behind Chipotle's Blowout Quarter
Despite witnessing the stock's massive rise over the last year, Chipotle Mexican Grill investors found a way to be pleasantly surprised by the company's latest quarterly results: Shares jumped after Chipotle announced a 21% boost in sales and a 29% profit improvement. But there was a lot more to this earnings report than just those headline numbers.
In the video below, Fool contributor Demitrios Kalogeropoulos highlights the biggest factor that helped the burrito slinger post record results last quarter. At 9.3%, Chipotle logged what will probably stand as the best comparable-sales performance of any national restaurant chain -- powered almost completely by increased customer traffic. Looking ahead, Demitrios argues that comps should continue to drive sales gains in 2014, but that Chipotle has room to finally raise its prices in line with food cost inflation, given that its customer traffic trends are so strong.
Our top stock for 2014
Chipotle has been a good stock lately, but there's a huge difference between a good stock and a stock that can make you rich. The Motley Fool's chief investment officer has selected his No. 1 stock for 2014, and it's one of those stocks that could make you rich. You can find out which stock it is in the special free report "The Motley Fool's Top Stock for 2014." Just click here to access the report and find out the name of this under-the-radar company.
The article 1 Big Driver Behind Chipotle's Blowout Quarter originally appeared on Fool.com.Demitrios Kalogeropoulos has no position in any stocks mentioned. The Motley Fool recommends and owns shares of 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.
Copyright © 1995 - 2014 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.