Thursday, April 27, 2017

Buy Chipoltle (CMG)

I bought Chipoltle today for following reasons;
- CEO's Steve Ellis' continued excellence and enthusiasm.
- Management's reaction to e.coli issue.
- First positive earnings surprise since e.coli outbreak.
- Year-to-year comparisons should be positive for at least a year.
- Diversification into fast food to limit downside in market selloff.
Price: $484.34
Trade/Portfolio: 2.26%
Position/Portfolio: 6.65%

Monday, April 17, 2017

Buy Chipotle CMG

I bought Chipoltle today for the following reasons;
- Stock down from $750 to $465 in last 18 months due to e.coli problems.
- CEO seems as committed as ever. Competitive statement vis a via Panera.
- Easy comparisons coming up for next 3 quarters.
- Same store sales in January up 26%.
Price: $465
% of Portfolio: 4.95%

Monday, April 3, 2017

Buy Chipoltle CMG

I bought Chipoltle today for $452 the following reasons.
- 18 month since e.coli meltdown and company has made a lot of progress fixing the issue.
- Steve Ellis seems as motivated as ever to fix the problem.
- Company continues to buy back stock.
- Mexican fast food should do relatively well in a general market downturn.
- Stock is down from $750 high 18 months ago.