CHIPOTLE MEXICAN GRILL INC (NYSE:CMG) can be considered a quality stock. Here's why.

Quality investors are looking for the best of the best. Companies which are growing steadily and consistently, but are also in excellent financial condition. We will have a look here to see if CHIPOTLE MEXICAN GRILL INC (NYSE:CMG) is suited for quality investing. Investors should of course do their own research, but we spotted CHIPOTLE MEXICAN GRILL INC showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.

A Deep Dive into CHIPOTLE MEXICAN GRILL INC's Quality Metrics.

• Over the past 5 years, CHIPOTLE MEXICAN GRILL INC has experienced impressive revenue growth, with 14.04% increase. This demonstrates the company's ability to effectively expand its top line and suggests a positive outlook for future revenue generation.
• CHIPOTLE MEXICAN GRILL INC demonstrates impressive performance in terms of ROIC excluding cash and goodwill, with a 22.35% ratio. This highlights the company's efficient utilization of capital and its focus on maximizing returns for investors.
• With a favorable Debt/Free Cash Flow Ratio of 0.0, CHIPOTLE MEXICAN GRILL INC showcases its sound financial discipline and cash flow management. This ratio indicates the company's ability to service its debt obligations while maintaining sufficient free cash flow for future investments or operational needs.
• With a favorable Profit Quality (5-year) ratio of 121.0%, CHIPOTLE MEXICAN GRILL INC showcases its ability to consistently deliver high-quality profits. This metric signifies the company's financial strength and its capacity to generate sustainable earnings over an extended period.
• The 5-year EBIT growth of CHIPOTLE MEXICAN GRILL INC has been remarkable, with 33.12% increase. This demonstrates the company's ability to improve its operational efficiency and indicates its competitiveness within the market.
• CHIPOTLE MEXICAN GRILL INC has achieved impressive EBIT 5-year growth, surpassing its Revenue 5-year growth. This indicates the company's ability to improve its profitability and operational efficiency, highlighting its strong financial performance.

Fundamental Analysis Observations

ChartMill assigns a proprietary Fundamental Rating to each stock. The score is computed daily by evaluating various fundamental indicators and properties. The score ranges from 0 to 10.

We assign a fundamental rating of 7 out of 10 to CMG. CMG was compared to 137 industry peers in the Hotels, Restaurants & Leisure industry. CMG gets an excellent profitability rating and is at the same time showing great financial health properties. CMG is valued quite expensively, but it does show have an excellent growth rating. These ratings would make CMG suitable for growth and quality investing!

Our latest full fundamental report of CMG contains the most current fundamental analsysis.

More quality stocks can be found in our Caviar Cruise screen.

Keep in mind

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.