Think Sweetgreen Stock Can Provide Chipotle-esque Returns? Here's 1 Stat to Keep in Mind.
When it comes to investing in restaurant stocks, Chipotle Mexican Grill (NYSE: CMG) is the gold standard. A $10,000 investment when the company went public in 2006 is worth over $600,000 today. Its operating profit is up about 4,000% since going public, which is a big reason for its sensational returns.
These sensational returns have investors constantly looking for the "next Chipotle," and salad-centric chain Sweetgreen (NYSE: SG) is commonly seen as a contender. To be sure, the restaurant chain shares many attractive qualities with Chipotle. But Sweetgreen lacks something that Chipotle had at this stage, and knowing this difference is necessary for investors trying to understand this investment opportunity today.
Sweetgreen is a small restaurant chain of about 230 locations. But these locations pack a punch, with average unit volume of about $2.9 million. Therefore, the company already has trailing 12-month revenue of about $650 million, making it a bigger business than what some might expect.
Source Fool.com
Chipotle Mexican Grill Inc. Stock
The stock is one of the favorites of our community with 77 Buy predictions and 1 Sell predictions.
With a target price of 2357 € there is potential for a 4548.0% increase which would mean more than doubling the current price of 50.71 € for Chipotle Mexican Grill Inc..
