Is Chipotle Stock a Buy After Earnings?
Last week, Chipotle Mexican Grill (NYSE: CMG) reported a solid earnings beat for the final quarter of 2021. The fast-casual pioneer also provided an optimistic near-term outlook and said that it is accelerating its expansion pace.
Analysts and investors were very pleased. Chipotle stock leapt 10% higher on Wednesday, the day following the earnings report, before retreating somewhat later in the week. Nevertheless, I'm skeptical that Chipotle stock represents a good long-term investment opportunity at its current price.
Chipotle's revenue reached $1.96 billion last quarter: up 22% on a 15.2% comparable sales increase. This result roughly lined up with the guidance management provided in October, despite the negative impact of the omicron variant on restaurant traffic in late December.
Source Fool.com
