Topic: Growth Stocks

Stock Pickers Digest Hotline – Friday, April 23, 2010

Article Excerpt

CHIPOTLE MEXICAN GRILL, $142.98, symbol CMG on New York, jumped over 13% this week. That’s mainly because the company reported that its earnings per share climbed 51.9%, to $1.20 from $0.79, in the three months ended March 31, 2010. That was far ahead of the consensus earnings-per-share estimate of $0.95. Sales rose 15.6%, to $409.7 million from $354.5 million. Chipotle is a Denver-based Mexican-restaurant chain that uses premium ingredients, such as naturally raised meat, in the meals it sells. The company has 976 restaurants, including its first outside of the U.S., in Toronto. In May, Chipotle plans to open a restaurant in London, England. The company opened 20 new restaurants during the quarter. It also saw a 4.3% rise in same-restaurant sales, and more customer visits. Chipotle trades at over 29 times its forecast 2010 earnings of $4.84 a share. However, the company plans to keep increasing its sales by opening 120 to 130 new restaurants this year. A continued economic recovery,…