Chipotle Reports Wednesday With Its Stock 30% Below Its High and 35 Analysts Pointing 30% Higher.
The burrito chain's transactions turned positive last quarter. Wednesday reveals whether that was the start of a trend.
Overview
Chipotle Mexican Grill (NYSE: CMG) reports second-quarter results after the market closes on Wednesday, July 29, with its earnings call set for 4:30 p.m. ET.
At about $33 as of this writing, shares sit about 30% below their 52-week high of $46.61, and about 18% above their 52-week low. Meanwhile, the 35 analysts covering the burrito chain carry an average price target of about $43 -- roughly 30% above the stock.
Details
The market, in other words, is priced as if the growth stock's best days are behind it. But the analysts, on average, don't seem to believe that. Wednesday's report should say a lot about which side has it right, and the answer arguably hinges on two lines deep in the release: transactions and restaurant-level margin.
Source
Originally published at www.fool.com.