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CMG (Chipotle Mexican Grill) Earnings Yield (Joel Greenblatt) % : 2.37% (As of Sep. 2024)


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What is Chipotle Mexican Grill Earnings Yield (Joel Greenblatt) %?

Chipotle Mexican Grill's Enterprise Value for the quarter that ended in Sep. 2024 was $81,689 Mil. Chipotle Mexican Grill's EBIT for the trailing twelve months (TTM) ended in Sep. 2024 was $1,940 Mil. Chipotle Mexican Grill's Earnings Yield (Joel Greenblatt) for the quarter that ended in Sep. 2024 was 2.37%.

The historical rank and industry rank for Chipotle Mexican Grill's Earnings Yield (Joel Greenblatt) % or its related term are showing as below:

CMG' s Earnings Yield (Joel Greenblatt) % Range Over the Past 10 Years
Min: 0.62   Med: 2.32   Max: 6.47
Current: 2.45

During the past 13 years, the highest Earnings Yield (Joel Greenblatt) of Chipotle Mexican Grill was 6.47%. The lowest was 0.62%. And the median was 2.32%.

CMG's Earnings Yield (Joel Greenblatt) % is ranked worse than
63.61% of 360 companies
in the Restaurants industry
Industry Median: 4.01 vs CMG: 2.45

Joel Greenblatt's definition of earnings yield has the same problems the regular earnings yield does. It does not consider the growth of the company. It only looks at one-year's business operation. For cyclical companies, the earnings yield is usually highest at the peak of the business cycle. But these earnings are rarely sustainable.

A better indicator of the attractiveness of an investment which takes growth into account is the Forward Rate of Return (Yacktman) %. Chipotle Mexican Grill's Forward Rate of Return (Yacktman) % for the quarter that ended in Sep. 2024 was 21.08%. The Forward Rate of Return uses the normalized Free Cash Flow of the past seven years, and considers growth. The forward rate of return can be thought of as the return that investors buying the stock today can expect from it in the future.


Chipotle Mexican Grill Earnings Yield (Joel Greenblatt) % Historical Data

The historical data trend for Chipotle Mexican Grill's Earnings Yield (Joel Greenblatt) % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Chipotle Mexican Grill Earnings Yield (Joel Greenblatt) % Chart

Chipotle Mexican Grill Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Earnings Yield (Joel Greenblatt) %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.90 0.82 1.64 2.94 2.49

Chipotle Mexican Grill Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
Earnings Yield (Joel Greenblatt) % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2.95 2.49 2.06 2.09 2.37

Competitive Comparison of Chipotle Mexican Grill's Earnings Yield (Joel Greenblatt) %

For the Restaurants subindustry, Chipotle Mexican Grill's Earnings Yield (Joel Greenblatt) %, along with its competitors' market caps and Earnings Yield (Joel Greenblatt) % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Chipotle Mexican Grill's Earnings Yield (Joel Greenblatt) % Distribution in the Restaurants Industry

For the Restaurants industry and Consumer Cyclical sector, Chipotle Mexican Grill's Earnings Yield (Joel Greenblatt) % distribution charts can be found below:

* The bar in red indicates where Chipotle Mexican Grill's Earnings Yield (Joel Greenblatt) % falls into.



Chipotle Mexican Grill Earnings Yield (Joel Greenblatt) % Calculation

In his book, The Little That Beat the Market, hedge fund manager Joel Greenblatt defines Earnings Yield as operating income divided by enterprise value.

Chipotle Mexican Grills Earnings Yield (Joel Greenblatt) for the fiscal year that ended in Dec. 2023 is calculated as

Earnings Yield (Joel Greenblatt)=EBIT/Enterprise Value
=1633.114/65478.34296
=2.49 %

Chipotle Mexican Grill's EBIT for the trailing twelve months (TTM) ended in Sep. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $1,940 Mil.



Chipotle Mexican Grill  (NYSE:CMG) Earnings Yield (Joel Greenblatt) % Explanation

Joel Greenblatt defines the earnings yield using the above equation because it more accurately reflects the company's profitability relative to its stock price. Items like interest payment and tax etc. are not directly related to the company's operational profitability.

Enterprise Value instead of market cap (share price) is used in the calculation because it is the real price stock and bond investors together pay for the company.


Be Aware

Joel Greenblatt's definition of earnings yield has the same problems the regular earnings yield does. It does not consider the growth of the company. It only looks at one-year's business operation. For cyclical companies, the earnings yield is usually highest at the peak of the business cycle. But these earnings are rarely sustainable.

Forward Rate of Return (Yacktman) % based on Don Yacktman's definition is a better measure of the expected rate of return for a stock.


Chipotle Mexican Grill Earnings Yield (Joel Greenblatt) % Related Terms

Thank you for viewing the detailed overview of Chipotle Mexican Grill's Earnings Yield (Joel Greenblatt) % provided by GuruFocus.com. Please click on the following links to see related term pages.


Chipotle Mexican Grill Business Description

Address
610 Newport Center Drive, Suite 1100, Newport Beach, CA, USA, 92660
Chipotle Mexican Grill is the largest fast-casual chain restaurant in the United States, with systemwide sales of $9.9 billion in 2023. The Mexican concept is predominately company-owned, although it recently inked a development agreement with Alshaya Group in the Middle East. It had a footprint of nearly 3,440 stores at the end of 2023, heavily indexed to the United States, although it maintains a small presence in Canada, the UK, France, and Germany. Chipotle sells burritos, burrito bowls, tacos, quesadillas, and beverages, with a selling proposition built around competitive prices, high-quality food sourcing, speed of service, and convenience. The company generates its revenue entirely from restaurant sales and delivery fees.
Executives
Robin S Hickenlooper director 12300 LIBERTY BOULEVARD, ENGLEWOOD CO 80112
Curtis E Garner officer: Chief Technology Officer C/O AEROHIVE NETWORKS, INC., 330 GIBRALTAR DRIVE, SUNNYVALE CA 94089
Jack Hartung officer: CFO & Chief Development Ofcr 1543 WAZEE STREET, SUITE 200, DENVER CO 80202
Roger E Theodoredis officer: Chief Legal Officer & GC 1225 SEVENTEENTH STREET, SUITE 1000, DENVER CO 80202
Brian R Niccol director, officer: Chairman, CEO 1 GLEN BELL WAY, IRVINE CA 92618
Albert S Baldocchi director 1601 HIGH STREET, BOULDER CO 80304
Scott Boatwright officer: Chief Restaurant Officer 1401 WYNKOOP STREET, SUITE 500, DENVER CO 80202
Christopher W Brandt officer: Chief Marketing Officer 2202 NORTH WESTSHORE BLVD, TAMPA FL 33607
Gregg L Engles director 1225 SEVENTEENTH STREET, SUITE 1000, DENVER CO 80202
Laurie Schalow officer: Chief Corp Affairs, Food Sft 610 NEWPORT CENTER DRIVE, SUITE 1300, NEWPORT BEACH CA 92660
Patricia Filikrushel director DOLLAR GENERAL CORPORATION, 100 MISSION RIDGE, GOODLETTSVILLE TN 37072
Laura Fuentes director 7930 JONES BRANCH DRIVE, MCLEAN VA 22102
Marissa Andrada officer: Chief D&I and People Officer C/O KATE SPADE & COMPANY 2 PARK AVENUE, NEW YORK NY 10016
Pershing Square Capital Management, L.p. director 787 11TH AVENUE, 9TH FLOOR, NEW YORK NY 10019
Scott Harlan Maw director 1411 E. MISSION AVENUE, SPOKANE WA 99202