Reasonable Growth, Debt Levels, and a High ROIC Make CHIPOTLE MEXICAN GRILL INC (NYSE:CMG) Appealing to Quality Investors.

Quality investors are looking for the best of the best. Companies which are growing steadily and consistently, but are also in excellent financial condition. We will have a look here to see if CHIPOTLE MEXICAN GRILL INC (NYSE:CMG) is suited for quality investing. Investors should of course do their own research, but we spotted CHIPOTLE MEXICAN GRILL INC showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.

Exploring Why NYSE:CMG Holds Appeal for Quality Investors.

• CHIPOTLE MEXICAN GRILL INC has demonstrated significant revenue growth over the past 5 years, with a 15.2% increase. This underscores the company's ability to adapt to market dynamics and capitalize on growth opportunities.
• CHIPOTLE MEXICAN GRILL INC demonstrates impressive performance in terms of ROIC excluding cash and goodwill, with a 21.88% ratio. This highlights the company's efficient utilization of capital and its focus on maximizing returns for investors.
• The Debt/Free Cash Flow Ratio of CHIPOTLE MEXICAN GRILL INC stands at 0.0, reflecting the company's prudent capital structure and cash flow dynamics. This ratio highlights the company's ability to generate robust free cash flow relative to its debt obligations.
• CHIPOTLE MEXICAN GRILL INC exhibits impressive Profit Quality (5-year) with a 103.0% ratio, reflecting its consistent ability to generate high-quality profits. This metric underscores the company's strong financial performance and commitment to delivering sustainable earnings.
• CHIPOTLE MEXICAN GRILL INC has demonstrated consistent growth in EBIT over the past 5 years, with a strong 35.3%. This signifies the company's ability to generate sustainable earnings and reflects its positive financial trajectory.
• CHIPOTLE MEXICAN GRILL INC demonstrates a remarkable trend where its EBIT 5-year growth exceeds its Revenue 5-year growth. This indicates the company's ability to enhance its profitability through improved cost control and operational efficiency.

Fundamental analysis of NYSE:CMG

As part of its analysis, ChartMill provides a comprehensive Fundamental Rating for each stock. This rating, ranging from 0 to 10, is updated on a daily basis and is based on the evaluation of various fundamental indicators and properties.

Taking everything into account, CMG scores 7 out of 10 in our fundamental rating. CMG was compared to 135 industry peers in the Hotels, Restaurants & Leisure industry. CMG scores excellent points on both the profitability and health parts. This is a solid base for a good stock. CMG shows excellent growth, but is valued quite expensive already. These ratings would make CMG suitable for growth and quality investing!

Check the latest full fundamental report of CMG for a complete fundamental analysis.

Our Caviar Cruise screen will find you more ideas suited for quality investing.

Disclaimer

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.