Stock Markets
Chipotle shareholders approve historic 50-for-1 stock split
NEWPORT BEACH, Calif. – Chipotle Mexican Grill, Inc. (NYSE: NYSE:) announced today that its shareholders have approved a significant 50-for-1 stock split. The decision, deemed one of the largest in the history of the New York Stock Exchange, will see the company’s shares begin trading on a split-adjusted basis starting Wednesday, June 26, 2024.
Shareholders on record by June 18 will receive 49 additional shares for each share they own after the market closes on June 25. This move is aimed at making Chipotle’s stock more accessible to a wider investor base and its employees, according to Jack Hartung, the company’s Chief Financial and Administrative Officer.
In addition to the stock split, Chipotle is also issuing a special one-time equity grant to all its restaurant general managers and crew members who have been with the company for over 20 years. This grant is a gesture of appreciation for their contributions and is aligned with the company’s strong performance.
Chipotle operates nearly 3,500 restaurants across several countries and is recognized for its commitment to serving food made with wholesome ingredients. It is also noted for its innovative business practices in digital technology and sustainability. The company employs over 120,000 people who are dedicated to providing quality customer service.
The information regarding the stock split and the equity grant is based on a press release statement. It should be noted that forward-looking statements contained in the press release are subject to various risks and uncertainties, and actual outcomes may differ materially from those projected. These statements are not guarantees of future performance, and investors are cautioned to consider the inherent risks and uncertainties.
In other recent news, Chipotle Mexican Grill has been under the spotlight for several reasons. The company reported a 7% increase in comparable sales growth and total sales of $2.7 billion for the first quarter of fiscal 2024, with digital sales accounting for 37% of the total. Chipotle also opened 47 new locations during the quarter and plans to open between 285 to 315 new restaurants throughout the year.
In another development, Truist Securities raised its price target on Chipotle shares to $3,520, maintaining its Buy rating. The decision came after a series of meetings with Chipotle’s management, which gave Truist deeper insights into the company’s operational strategies and growth potential. Despite this, Truist is slightly lowering its earnings estimates for Chipotle, citing less impact from price increases.
Additionally, the New York Stock Exchange (NYSE) recently faced a technical issue, causing temporary trading halts of several NYSE-listed stocks, including Chipotle. The NYSE is currently investigating the problem and has assured further details will be shared when available. These are the latest developments involving Chipotle Mexican Grill that investors should be aware of.
InvestingPro Insights
As Chipotle Mexican Grill, Inc. (NYSE: CMG) gears up for a major stock split to enhance its stock’s accessibility, the financial metrics and market performance offer an intriguing backdrop to this corporate action. With a robust market capitalization of 87.0 billion USD, Chipotle stands out in the fast-casual dining sector, reflecting investor confidence and a substantial footprint in the industry.
The company’s P/E ratio, standing at 67.3, indicates that investors are willing to pay a higher price for earnings, which aligns with an InvestingPro Tip highlighting Chipotle’s trading at a high earnings multiple. This could be a testament to the market’s expectations of continued growth and operational efficiency. Additionally, the P/E ratio adjusted for the last twelve months as of Q1 2024 is slightly lower at 65.78, suggesting a slight recalibration in valuation perspectives.
InvestingPro Data reveals a healthy revenue growth of 13.61% over the last twelve months as of Q1 2024, coupled with a gross profit margin of 40.88%, underscoring the company’s ability to maintain profitability amidst its expansion efforts. Moreover, Chipotle’s solid financial foundation is further exemplified by its EBITDA growth of 20.45% during the same period, indicating robust operational earnings before interest, taxes, depreciation, and amortization.
Investors evaluating the stock’s near-term prospects may find the InvestingPro Tip regarding Chipotle’s low price volatility particularly relevant, as the company has experienced a significant 52.95% return over the past year, demonstrating a strong trajectory in shareholder value. Additionally, with 18 more InvestingPro Tips available, including insights on profitability and debt levels, investors can gain a comprehensive understanding of Chipotle’s financial health by visiting https://www.investing.com/pro/CMG. For those interested in a deeper dive, use coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
As Chipotle continues to innovate and expand, these financial metrics and expert insights provide a valuable lens through which to assess the company’s strategic moves, including the upcoming stock split and special equity grant for long-term employees.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.
(Reuters) -Private equity firm Insight Partners is on the brink of closing a new $10 billion-plus fund, roughly half the amount originally targeted, the Financial Times reported on Sunday, citing five people with knowledge of its plans.
Insight will not formally close its 13th fund until early next year, the report said, adding that the final figure may be closer to $12 billion.
Insight Partners declined to comment on the report.
The report said Insight is using a private equity-style structure to sell more than $1 billion worth of stakes in start-ups and to free up cash to return to investors.
One of the start-ups is Israeli cybersecurity firm Wiz, which had called off a $23 billion deal with Google parent Alphabet (NASDAQ:) in July, the report said.
New York-based Insight raised $20 billion for its 12th flagship fund in 2022, aiming to ramp up investments in software and technology companies.
JERUSALEM (Reuters) -Prime Minister Benjamin Netanyahu said Israel would inflict a “heavy price” on the Iran-aligned Houthis who control northern Yemen, after they reached central Israel with a missile on Sunday for the first time.
Houthi military spokesman Yahya Sarea said the group struck with a new hypersonic ballistic missile that travelled 2,040 km (1270 miles) in just 11 1/2 minutes.
After initially saying the missile had fallen in an open area, Israel’s military later said it had probably fragmented in the air, and that pieces of interceptors had landed in fields and near a railway station. Nobody was reported hurt.
Air raid sirens had sounded in Tel Aviv and across central Israel moments before the impact at around 6:35 a.m. local time (0335 GMT), sending residents running for shelter. Loud booms were heard.
Reuters saw smoke billowing in an open field in central Israel.
At a weekly cabinet meeting, Netanyahu said the Houthis should have known that Israel would exact a “heavy price” for attacks on Israel.
“Whoever needs a reminder of that is invited to visit the Hodeida port,” Netanyahu said, referring to an Israeli retaliatory air strike against Yemen in July for a Houthi drone that hit Tel Aviv.
The Houthis have fired missiles and drones at Israel repeatedly in what they say is solidarity with the Palestinians, since the Gaza war began with a Hamas attack on Israel in October.
The drone that hit Tel Aviv for the first time in July killed a man and wounded four people. Israeli air strikes in response on Houthi military targets near the port of Hodeidah killed six and wounded 80.
Previously, Houthi missiles have not penetrated deep into Israeli air space, with the only one reported to have hit Israeli territory falling in an open area near the Red Sea port of Eilat in March.
Israel should expect more strikes in the future “as we approach the first anniversary of the Oct. 7 operation, including responding to its aggression on the city of Hodeidah,” Sarea said.
The deputy head of the Houthi’s media office, Nasruddin Amer, said in a post on X on Sunday that the missile had reached Israel after “20 missiles failed to intercept” it, describing it as the “beginning”.
The Israeli military also said that 40 projectiles were fired towards Israel from Lebanon on Sunday and were either intercepted or landed in open areas.
“No injuries were reported,” the military said.
PARIS (Reuters) – Eight people have died trying to cross the Channel from France to England, French authorities said on Sunday, confirming earlier media reports.
This latest incident follows the deaths of 12 people earlier this month when their boat capsized in the Channel on its way to Britain and highlights the pressure on the British and French governments to find ways to tackle the boat crossings.
Jacques Billant, the Prefect of the Pas-de-Calais region, said that rescue crews were alerted that a boat with 59 people onboard was in difficulty in waters off the coast of Ambleteuse in the Pas-de-Calais area.
“A new drama took place around one in the morning and we deplore the death of eight people,” he told a news conference, adding that the other 51 onboard were now in the care of rescue and medical crews.
The dead were men from Eritrea, Sudan, Syria, Egypt, Iran and Afghanistan, he added.
The Channel is one of the world’s busiest shipping lanes and currents are strong, which makes crossing on small boats dangerous.
The latest incident brings to 46 the number of people who have died trying to cross the Channel from France since the start of the year, Billant said.
On September 14 alone there were eight attempts to cross the Channel from France and some 200 migrants were rescued, he said.
Forex2 years agoForex Today: the dollar is gaining strength amid gloomy sentiment at the start of the Fed’s week
- Forex2 years ago
How is the Australian dollar doing today?
- Forex2 years ago
Dollar to pound sterling exchange rate today: Pound plummeted to its lowest since 1985
- Forex2 years ago
Unbiased review of Pocket Option broker
- Cryptocurrency2 years ago
What happened in the crypto market – current events today
- World2 years ago
Why are modern video games an art form?
- Commodities2 years ago
Copper continues to fall in price on expectations of lower demand in China
- Stock Markets2 years ago
Morgan Stanley: bear market rally to continue
