Strong quarter for Chipotle

Article Excerpt

CHIPOTLE MEXICAN GRILL $230.96 (New York symbol CMG; SI Rating: Speculative) (303-595-4000; www.chipotle.com; Shares outstanding: 30.9 million; Market cap: $7.1 billion; No dividends paid) reports that its earnings per share climbed 42.3% in the three months ended September 30, 2010, to $1.55 from $1.09 a year earlier. Sales rose 23%, to $476.9 million from $387.6 million. The company opened 22 new restaurants during the quarter. It also saw an 11.4% rise in same-restaurant sales, and more customer visits. Chipotle trades at over 44 times its forecast 2010 earnings of $5.15 a share. However, the company plans to keep increasing its sales by opening 135 to 145 new restaurants next year. A continued economic recovery, and rising consumer confidence, would add to Chipotle’s appeal. Chipotle is a buy. buy…