Chipotle Mexican Grill, Inc. (CMG) Shares Fall on E. Coli Scare

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Shares of Chipotle Mexican Grill, Inc. (NYSE:CMG) are bucking the overall market trend this afternoon as the E. coli outbreak that had been linked to the company has now spread to three additional states. There are now nine states reporting cases, and 47 out of the 52 affected individuals have reported eating at a Chipotle Mexican Grill, Inc. (NYSE:CMG) restaurant prior to becoming ill. Today’s report adds four additional cases to the mix, and has seemingly scared shareholders quite a bit. The source of the outbreak is still unknown.

The stock has fallen 2.21% or $12.48 following this negative news, hitting $552.83 per share. About 1.46M shares traded hands or 32.73% up from the average. CMG has declined 10.83% since May 1, 2015 and is downtrending. It has underperformed the S&P500 by 10.63%.

From a total of 16 analysts covering Chipotle Mexican Grill Inc. (NYSE:CMG) stock, 8 rate it a “Buy”, 1 a “Sell”, and 7 a “Hold”. This means that 50% of the ratings are positive. The highest target price is $850 while the lowest target price is $585. The mean of all analyst targets is $724.36 which is 31.03% above today’s ($552.83) stock price. Chipotle Mexican Grill Inc. was the topic of 27 analyst reports since July 22, 2015 according to the firm StockzIntelligence Inc. Telsey Advisory Group upgraded shares on November 23 to a “Outperform” rating. Wedbush maintained shares with a”Neutral” rating and a $740 target share price in their report from an October 21. Sterne Agee CRT downgraded CMG stock in a recent report from November 23 to a “Neutral” rating. SunTrust initiated the rating on October 8. SunTrust has a “Buy” rating and a $850 price target on shares. Finally, Robert W. Baird downgraded the stock to a “Neutral” rating in a report they issued on a November 6.

The institutional sentiment decreased to 0.96 in Q2 2015. It’s down 0.17, from 1.13 in 2015Q1. The ratio turned negative, as 68 funds sold all their Chipotle Mexican Grill, Inc. shares they owned while 181 reduced their positions. 55 funds bought stakes while 183 increased their total positions. Institutions now own 28.53 million shares which is 76.33% less than the previous share count of 120.56 million in 2015Q1.

Windward Capital Management Co Ca holds 5.08% of its total portfolio in Chipotle Mexican Grill, Inc., equating to 31,222 shares. Csat Investment Advisory L.P. owns 15,466 shares representing 4.37% of their total US portfolio. Moreover, Hhr Asset Management Llc has 4.22% of their total portfolio invested in the company, equating to 173,671 shares. The New York-based Cim Llc has a total of 3.8% of their portfolio invested in the stock. Birinyi Associates Inc, a Connecticut-based fund reported 8,916 shares owned.

Since March 17, 2015, the stock had 0 insider purchases, and 11 selling transactions for a total of $41.52 million in net activity. Charlesworth John S sold 2,000 shares worth $1.50 million. Crumpacker Mark sold 998 shares worth $729,817. Hartung Jack sold 2,485 shares worth $1.84 million. Friedman Darlene J sold 1,379 shares worth $1.01 million. The insider Ells Steve sold 10,090 shares worth $6.98 million.

Chipotle Mexican Grill, Inc. develops and operates Chipotle Mexican Grill restaurants, which serve a focused menu of burritos, tacos, burrito bowls (a burrito without the tortilla) and salads. The company has a market cap of $17.44 billion. The Firm operates 1,755 restaurants in the United States, seven in Canada, six in England, three in France, and one in Germany. It has 32.97 P/E ratio. The Company’s restaurants also include nine ShopHouse Southeast Asian Kitchen restaurants.

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