Chipotle Set to Release Q1 Earnings Amid Market Concerns

Chipotle Mexican Grill, Inc. (CMG), based in Newport Beach, California, operates Chipotle Mexican Grill restaurants and has a market capitalization of $64.1 billion. The company specializes in food and beverages, offering a menu that includes burritos, burrito bowls, quesadillas, tacos, and salads. Chipotle plans to announce its fiscal first-quarter earnings for 2025 following the market close on Wednesday, April 23.

Expectations Ahead of Earnings

In anticipation of the earnings report, analysts predict that CMG will report a profit of $0.28 per share on a diluted basis. This reflects a 3.7% increase from $0.27 per share in the same quarter last year. Notably, CMG has consistently exceeded Wall Street’s EPS estimates in its previous four quarterly reports.

Long-Term EPS Projections

For the full fiscal year, analysts estimate CMG’s EPS to be $1.28, an increase of 14.3% from $1.12 in fiscal 2024. Looking ahead to fiscal 2026, the EPS is anticipated to rise further to $1.52, reflecting an 18.8% growth year over year.

Stock Performance Overview

CMG Stock has faced challenges, underperforming compared to the S&P 500 ($SPX), which recorded a loss of 2.7% over the past 52 weeks. During this timeframe, CMG shares have declined by 19.7%. The stock also lagged behind the Consumer Discretionary Select Sector SPDR Fund (XLY), which posted a modest 1% gain.

This underperformance is largely attributed to concerns regarding a recession that may impact consumer confidence, alongside declining comparable sales growth.

Recent Performance and Analyst Ratings

On February 4, CMG shares rose over 1% after the release of its Q4 results, where its adjusted EPS of $0.25 outperformed the Wall Street expectation of $0.24. The company’s revenue for the quarter was $2.9 billion, aligning with analyst forecasts.

Currently, the consensus opinion on CMG Stock remains bullish, with an overall “Strong Buy” rating. Out of 31 analysts monitoring the stock, 21 recommend a “Strong Buy,” three suggest a “Moderate Buy,” and seven rate it as a “Hold.” CMG’s average analyst price target stands at $65.61, indicating a potential upside of 40.6% from current levels.

On the date of publication, Neha Panjwani did not hold positions (either directly or indirectly) in any of the securities mentioned in this article. All information and data in this article are provided solely for informational purposes. For more details, please view the Barchart Disclosure Policy here.

More news from Barchart

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