It’s no secret that Chipotle has had its fair share of ups and downs. Ten years ago, you could have invested $1000 in the burrito chain.
If you invested $1000 in Chipotle 10 years ago, here’s how much you’d have now
Chipotle (LAD) has seen tremendous growth over the past 10 years, but what have you made by investing that money in the burrito maker?
The fast-casual chain’s stock has jumped back up to its highest share price ever, and could set the stage for a record-breaking fourth quarter. Chipotle has seen a little bit of boom and plenty of bust lately, but is set to break an 11-year streak of quarterly losses.
Breaking Opening Day Sales Records
Chipotle has had its share of rough patches, but on the bright side, shares of the company have gone up more than 110 percent in the last year alone, and 23 percent so far in 2018.
“We saw our highest number of domestic restaurant openings in five years, driving a 23% increase in our unit level operating margin,” Chief Financial Officer John Hartung said during a recent earnings call, reports The Wall Street Journal.
“We built 227 new stores and grew comparable sales by 4.8 percent,” he continued. “We also continued to reignite traffic with considerable sequential improvement and we grew total sales, which included traffic, by 16.5 percent in the third quarter.”
Chipotle took home $171 million in profits last quarter, which translated to a record $1.54 earnings per share. Chipotle has beaten estimates for earnings each quarter since last December, including this one. The restaurant chain experienced its highest quarterly income in 6 years, which it attributed to increased sales, lower employee costs and interest expense savings.
Sales and earnings at Chipotle have improved significantly in the last couple of years, and the company is expected to drive growth by opening more than 200 more restaurants this year.
The rally in Chipotle stock has also re-oriented management to placing an even greater emphasis on catering and delivery, with their “Concierge To Go” effort, and they are offering discounts for Chipotle members.
Current shares of Chipotle’s stock are at $319.36 and analysts predict they’ll continue to break records with an average of $379.67 for the next three years.
If you have $1000 invested in Chipotle at the start of 2017, here’s how much you’d be today: