Bear Market Got You Down? This Top Stock Is Rising High
Chipotle Mexican Grill (NYSE: CMG) reported fiscal 2022 second-quarter earnings after the markets closed on Wednesday, July 26. The fast-casual restaurant chain based in the U.S. pleasantly surprised shareholders as revenue and profits increased by more than double digits.
Unsurprisingly, the stock was up 14% on the day following the report. Still, it's down 13.6% year to date as investors have feared how the company will manage the business with soaring inflation. Let's consider its most recent quarter's results to see how it's grappling with rising costs and determine if the stock has room to run higher.
Chipotle's revenue in the second quarter, which ended on June 30, totaled $2.2 billion. That was 17% higher than the same quarter last year. The increase was a result of a combination of factors. In-restaurant sales increased by 36% year over year. Recall that at this time last year, folks were not as comfortable leaving their homes and ordering at restaurants. As the economic reopening has gained momentum, Chipotle's in-restaurant sales have surged. Meanwhile, digital sales remained robust at 39% of the overall total.
Source Fool.com
