Sales will be down in the range of 14%. Earnings will coming in light, at around $1.70-1.90, dowm from $2.52.
Sales for December were down 30% and the government subpoenaed them for poisoning the American public. I am almost certain Congress is short CMG.
Shares, initially, dropped to $412, and has recovered since.
I’m calling bullshit on this warnings. I live in an area filled with gluttons, a bunch of Eddie Barzoons if you will. My local Chipotle is completely vacated. They might as well board the fucker up, or turn it into a Boston Market.
I think there is a lot more downside to the earmings story with CMG. This ecoli issue isn’t done, not even close.
Avoid.
ONE MORE THING. The company authorized a $300 mill buyback. They’ve been buying lots of stock, as of late, sort of tossing good money after bad.
During the fourth quarter 2015, we repurchased approximately 609 thousand shares of stock at an average price of $556 per share. During the month of December, we repurchased approximately 401 thousand shares of stock at an average price of $527 per share. The Board’s authorization of the repurchase program may be modified, suspended or discontinued at any time.
In other words, the company lost about $70 million in asinine share re purchases since Q4, 2015.
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Won’t buy until they cry uncle and use the MCDONALD system for food safety. Do they really think our gluttonous population really cares what’s in their burrito?
Ultimately there’s MOAR steady profits feeding fat ‘merica.
I am seeing exactly the same from a couple of the locations near me. I went in there last week and thought they were closed, not a single customer. I went ahead and got some chips and salsa to go just to not look like a weirdo. I asked if they just opened and they said nope been open all morning. Food looked like it had not even been touched other than a little dusting of Ecoli sauce.
To short this would be like shorting AMZN just my opinion.
it’s about time. any other chain with multiple ‘events’ would have been cut in half by now
p.s. the market is making me do the *eye roll again. i have 30 orders in gtc. come to poppa you flash crash maniacs.
I guess SoCal people don’t scare as easily because my coworkers still eat Chipotle.
They’ve built up a tolerance to E. coli for reasons you can likely infer.
the one by my work and by my house have been ghost towns the last couple of weeks. It’s awesome. Walk right in and order instead of the usual 20 minute wait.
Same with my Chipotle in Marina Del Rey… empty EVERY DAY
Gotta love a company who does their share buybacks at the end of a massive bull run. I can’t short here as a bounce seems likely to be close, but longer term this has at least another $100 to fall before the bottom is in.
That’s what happens when you hire illegals unused to indoor plumbing for kitchen prep.