CHIPOTLE MEXICAN GRILL INC (CMG) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CMG - US1696561059 - Common Stock
33.73 USD
+0.12 (+0.36%)
33.7008 USD
-0.03 (-0.09%)
We assign a fundamental rating of 7 out of 10 to CMG. CMG was compared to 131 industry peers in the Hotels, Restaurants & Leisure industry. CMG has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. CMG is quite expensive at the moment. It does show a decent growth rate. These ratings could make CMG a good candidate for quality investing.
1. Profitability
1.1 Basic Checks
CMG had positive earnings in the past year.
In the past year CMG had a positive cash flow from operations.
CMG had positive earnings in each of the past 5 years.
Each year in the past 5 years CMG had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 16.55%, CMG belongs to the top of the industry, outperforming 93.89% of the companies in the same industry.
CMG's Return On Equity of 47.69% is amongst the best of the industry. CMG outperforms 90.08% of its industry peers.
CMG's Return On Invested Capital of 18.25% is amongst the best of the industry. CMG outperforms 90.84% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CMG is significantly above the industry average of 10.43%.
The last Return On Invested Capital (18.25%) for CMG is above the 3 year average (16.89%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.55% | ||
| ROE | 47.69% | ||
| ROIC | 18.25% |
ROA(3y)14.97%
ROA(5y)12.14%
ROE(3y)40.02%
ROE(5y)33.22%
ROIC(3y)16.89%
ROIC(5y)13.28%
1.3 Margins
Looking at the Profit Margin, with a value of 13.04%, CMG belongs to the top of the industry, outperforming 82.44% of the companies in the same industry.
CMG's Profit Margin has improved in the last couple of years.
CMG's Operating Margin of 16.55% is fine compared to the rest of the industry. CMG outperforms 74.05% of its industry peers.
CMG's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 30.89%, CMG is doing worse than 75.57% of the companies in the same industry.
CMG's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.55% | ||
| PM (TTM) | 13.04% | ||
| GM | 30.89% |
OM growth 3Y16.04%
OM growth 5Y14.88%
PM growth 3Y16.16%
PM growth 5Y16.69%
GM growth 3Y3.22%
GM growth 5Y2.96%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so CMG is creating value.
Compared to 1 year ago, CMG has less shares outstanding
The number of shares outstanding for CMG has been reduced compared to 5 years ago.
There is no outstanding debt for CMG. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
An Altman-Z score of 6.60 indicates that CMG is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 6.60, CMG belongs to the top of the industry, outperforming 90.08% of the companies in the same industry.
CMG has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 6.6 |
ROIC/WACC2.07
WACC8.81%
2.3 Liquidity
A Current Ratio of 1.54 indicates that CMG should not have too much problems paying its short term obligations.
CMG has a better Current ratio (1.54) than 73.28% of its industry peers.
CMG has a Quick Ratio of 1.50. This is a normal value and indicates that CMG is financially healthy and should not expect problems in meeting its short term obligations.
CMG has a better Quick ratio (1.50) than 76.34% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.54 | ||
| Quick Ratio | 1.5 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 6.95% over the past year.
Measured over the past years, CMG shows a very strong growth in Earnings Per Share. The EPS has been growing by 31.99% on average per year.
CMG shows a small growth in Revenue. In the last year, the Revenue has grown by 7.31%.
The Revenue has been growing by 15.16% on average over the past years. This is quite good.
EPS 1Y (TTM)6.95%
EPS 3Y30.4%
EPS 5Y31.99%
EPS Q2Q%7.41%
Revenue 1Y (TTM)7.31%
Revenue growth 3Y14.45%
Revenue growth 5Y15.16%
Sales Q2Q%7.51%
3.2 Future
CMG is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.98% yearly.
CMG is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 10.73% yearly.
EPS Next Y3.81%
EPS Next 2Y4.38%
EPS Next 3Y8.79%
EPS Next 5Y12.98%
Revenue Next Year5.2%
Revenue Next 2Y7.46%
Revenue Next 3Y8.73%
Revenue Next 5Y10.73%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 29.08, which means the current valuation is very expensive for CMG.
CMG's Price/Earnings ratio is in line with the industry average.
CMG's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.28.
CMG is valuated quite expensively with a Price/Forward Earnings ratio of 27.46.
The rest of the industry has a similar Price/Forward Earnings ratio as CMG.
CMG's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 23.52.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.08 | ||
| Fwd PE | 27.46 |
4.2 Price Multiples
CMG's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. CMG is more expensive than 66.41% of the companies in the same industry.
61.83% of the companies in the same industry are more expensive than CMG, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.35 | ||
| EV/EBITDA | 18.36 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates CMG does not grow enough to justify the current Price/Earnings ratio.
The excellent profitability rating of CMG may justify a higher PE ratio.
PEG (NY)7.64
PEG (5Y)0.91
EPS Next 2Y4.38%
EPS Next 3Y8.79%
5. Dividend
5.1 Amount
CMG does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
33.73
+0.12 (+0.36%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners90.34%
Inst Owner Change1.78%
Ins Owners0.32%
Ins Owner Change-5.07%
Market Cap44.60B
Revenue(TTM)11.79B
Net Income(TTM)1.54B
Analysts79.51
Price Target45.66 (35.37%)
Short Float %2.34%
Short Ratio1.32
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)0.32%
Min EPS beat(2)0.31%
Max EPS beat(2)0.33%
EPS beat(4)4
Avg EPS beat(4)0.95%
Min EPS beat(4)0.31%
Max EPS beat(4)2.13%
EPS beat(8)8
Avg EPS beat(8)4.32%
EPS beat(12)11
Avg EPS beat(12)4.3%
EPS beat(16)15
Avg EPS beat(16)3.8%
Revenue beat(2)0
Avg Revenue beat(2)-2.11%
Min Revenue beat(2)-2.53%
Max Revenue beat(2)-1.69%
Revenue beat(4)0
Avg Revenue beat(4)-2.19%
Min Revenue beat(4)-3.48%
Max Revenue beat(4)-1.07%
Revenue beat(8)3
Avg Revenue beat(8)-1.29%
Revenue beat(12)4
Avg Revenue beat(12)-1.31%
Revenue beat(16)4
Avg Revenue beat(16)-1.3%
PT rev (1m)-16.88%
PT rev (3m)-24.05%
EPS NQ rev (1m)-0.14%
EPS NQ rev (3m)-17.89%
EPS NY rev (1m)-0.44%
EPS NY rev (3m)-4.75%
Revenue NQ rev (1m)-0.17%
Revenue NQ rev (3m)-5.56%
Revenue NY rev (1m)-0.43%
Revenue NY rev (3m)-2%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.08 | ||
| Fwd PE | 27.46 | ||
| P/S | 3.78 | ||
| P/FCF | 28.35 | ||
| P/OCF | 20.14 | ||
| P/B | 13.84 | ||
| P/tB | 13.94 | ||
| EV/EBITDA | 18.36 |
EPS(TTM)1.16
EY3.44%
EPS(NY)1.23
Fwd EY3.64%
FCF(TTM)1.19
FCFY3.53%
OCF(TTM)1.68
OCFY4.97%
SpS8.91
BVpS2.44
TBVpS2.42
PEG (NY)7.64
PEG (5Y)0.91
Graham Number7.97
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.55% | ||
| ROE | 47.69% | ||
| ROCE | 23.99% | ||
| ROIC | 18.25% | ||
| ROICexc | 22.11% | ||
| ROICexgc | 22.19% | ||
| OM | 16.55% | ||
| PM (TTM) | 13.04% | ||
| GM | 30.89% | ||
| FCFM | 13.35% |
ROA(3y)14.97%
ROA(5y)12.14%
ROE(3y)40.02%
ROE(5y)33.22%
ROIC(3y)16.89%
ROIC(5y)13.28%
ROICexc(3y)20.4%
ROICexc(5y)16.1%
ROICexgc(3y)20.47%
ROICexgc(5y)16.17%
ROCE(3y)22.21%
ROCE(5y)17.46%
ROICexgc growth 3Y18.49%
ROICexgc growth 5Y16.8%
ROICexc growth 3Y18.54%
ROICexc growth 5Y16.87%
OM growth 3Y16.04%
OM growth 5Y14.88%
PM growth 3Y16.16%
PM growth 5Y16.69%
GM growth 3Y3.22%
GM growth 5Y2.96%
F-Score7
Asset Turnover1.27
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 182.03% | ||
| Cap/Sales | 5.44% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 96.16% | ||
| Profit Quality | 102.38% | ||
| Current Ratio | 1.54 | ||
| Quick Ratio | 1.5 | ||
| Altman-Z | 6.6 |
F-Score7
WACC8.81%
ROIC/WACC2.07
Cap/Depr(3y)173.27%
Cap/Depr(5y)170.01%
Cap/Sales(3y)5.49%
Cap/Sales(5y)5.72%
Profit Quality(3y)97.3%
Profit Quality(5y)100.43%
High Growth Momentum
Growth
EPS 1Y (TTM)6.95%
EPS 3Y30.4%
EPS 5Y31.99%
EPS Q2Q%7.41%
EPS Next Y3.81%
EPS Next 2Y4.38%
EPS Next 3Y8.79%
EPS Next 5Y12.98%
Revenue 1Y (TTM)7.31%
Revenue growth 3Y14.45%
Revenue growth 5Y15.16%
Sales Q2Q%7.51%
Revenue Next Year5.2%
Revenue Next 2Y7.46%
Revenue Next 3Y8.73%
Revenue Next 5Y10.73%
EBIT growth 1Y2.84%
EBIT growth 3Y32.8%
EBIT growth 5Y32.3%
EBIT Next Year20.14%
EBIT Next 3Y13.58%
EBIT Next 5Y14.79%
FCF growth 1Y13.4%
FCF growth 3Y21.65%
FCF growth 5Y31.27%
OCF growth 1Y15.38%
OCF growth 3Y17.97%
OCF growth 5Y23.88%
CHIPOTLE MEXICAN GRILL INC / CMG FAQ
Can you provide the ChartMill fundamental rating for CHIPOTLE MEXICAN GRILL INC?
ChartMill assigns a fundamental rating of 7 / 10 to CMG.
What is the valuation status of CHIPOTLE MEXICAN GRILL INC (CMG) stock?
ChartMill assigns a valuation rating of 3 / 10 to CHIPOTLE MEXICAN GRILL INC (CMG). This can be considered as Overvalued.
How profitable is CHIPOTLE MEXICAN GRILL INC (CMG) stock?
CHIPOTLE MEXICAN GRILL INC (CMG) has a profitability rating of 9 / 10.
What are the PE and PB ratios of CHIPOTLE MEXICAN GRILL INC (CMG) stock?
The Price/Earnings (PE) ratio for CHIPOTLE MEXICAN GRILL INC (CMG) is 29.08 and the Price/Book (PB) ratio is 13.84.
Can you provide the financial health for CMG stock?
The financial health rating of CHIPOTLE MEXICAN GRILL INC (CMG) is 8 / 10.