Tuesday October 25, 2022, 18:33:37
CMG (Post-Call): Spicy Growth in a Difficult Consumer Environment
After today’s (Tuesday’s) market close, Chipotle Mexican Grill reported adjusted Q3 EPS of $9.51, ahead of our $9.20 forecast as well as sell-side consensus (according to Consensus Metrix) of $9.19. We attribute the earnings beat primarily to a more favorable-than-forecasted adjusted tax rate (23.4% actual vs. 26.0% projected). By our calculations, if the Q3 adjusted tax rate had been 26.0% (which was also consensus heading into today), then Q3 adjusted EPS would have been $9.18.