Chipotle Q4 earnings 'less than inspiring': Analyst
Morningstar Analyst Sean Dunlop discusses Q4 Chipotle earnings.
You can watch the full interview here.
Key video highlights
00:00 On 'less than inspiring' earnings
00:25 On bright spot of earnings
SEAN DUNLOP: Yeah, I think less than inspiring as we took our first look at it. It missed on top line, missed on bottom line, missed on comp sales. And restaurant margins were a lot softer than we expected. So I think that's driving a big chunk of the reaction.
The other thing that's not brilliant is if you look at January comps, obviously, in the low double digits. And they're guiding to high single digits for the full quarter, so they expect those to soften pretty materially as you move into February and March. So definitely keeping an eye on that. One bright spot, if I get one, guidance for net new-unit openings in 2023, 8 and 1/2%, which is definitely an uptick. They've had some issues with construction and permitting.