Chipotle Mexican Grill, Inc. (NYSE:CMG)

Scalability not on level with fast food restaurants... and Cramer keeps pumping it, so I'm going to take the opposite side of that trade...

Just too expensive here.

SA BBN

Technically overbought on a rolling, trailing P/E basis. Looking for a short-term correction (down from trailing high 50's P/E to mid 40's).

http://bigcharts.marketwatch.com/advchart/frames/frames.asp?show=&insttype=Stock&symb=cmg&x=40&y=12&time=9&startdate=1%2F4%2F1999&enddate=3%2F4%2F2011&freq=1&compidx=aaaaa%3A0&comptemptext=&comp=none&ma=4&maval=9&uf=0&lf=4&lf2=16777216&lf3=268435456&type=4&style=380&size=4&timeFrameToggle=false&compareToToggle=false&indicatorsToggle=false&chartStyleToggle=false&state=11

The Washington Post stated that the Chipotle Mexican Grill is one of the top performing stocks of 2011.Be honest,who doesn't like Chipotle?

Overpriced.

corp control of high standards/locations, quaility and conscientious products, progressive work culture and perks, broader audience... quietly family-oriented not just hip urbanites any more.

Niche business that has catered will to young people. However, market saturgation is evident and with compeititors such as qudoba moes and baja fresh consumers will turn to alternatives as fad fades. The business model of having a few choices and assembly line format has been extremely successful and should be adopted by other forms of quick resturaunts

its a glorified taco bell

The world is deleveraging, the consumer is tapped out, and this is a niche business that sells $8 burritos that is beyond the budget of most families. Who eats there besides young people? Their faithful followers will eventually tire of paying for a premium priced product that is mostly beans and rice and short on meat. Not to mention that it's a high fixed cost business with limited growth potential while priced for 30% cagr for the next 10 years and they only grew 20% last year which is unsustainable. All it will take is one bad headline from Europe, QE3, or a slight earnings miss and watch it implode like Netflix. It will happen soon too as GS just upgraded them so the retail investor gets in just in time for the big boys to get out.

http://www.fool.com/investing/general/2011/11/22/chipotle-buy-the-steak-not-the-sizzle.aspx?source=isesitlnk0000001&mrr=0.11

Unless they continue expansion and too fast a pace or a massive scandal involving human waste in the refried beans comes to light, this company will do very well for a while.

Hugely successful franchise, plus not add ShopHouse. There are few management teams I trust more.

Way overvalued. P/E ratio of 51 is simply unsustainable. In addition there are plenty of competitors that are doing similar things.

Momentum waning. Not good for a momentum stock.

nice p/e - ever ate there?

The price is simply too high right now. It will correct itself soon.

I eat there all the time, and my buddies love it too.

limmited growth will cause profits not reaching estimates and a fast fall