GROWTH COMPANIES ALWAYS LIKE TO BOAST WHEN THEY TREND ABOVE GUIDENCE, SO WHERE'S CMG?
Ever notice how a good growth company's management will give shareholders some sort of update on how they are trending in relationship to their prior quarterly report guidance? when cmg, had that chance and they passed because they will only come in on average with earnings to what the street has estimated for ave. Earning for this quarter and for the year. i will go one step further and say that the probability, given when jeff gundlach told us just a month ago about cmg, he already knows that chipotle will take a noser into earnings w/a miss and lowered guiidance and lower same store sales, and definitely lower profit margins. it's business plan is poor considering they cannot generate higher sales growth and higher same store sales and profits with the lines out the door at many of their restaurants. think of it this way, if you cannot make your earnings estimates today and last quarter and the quarter before that, without lowering estimates by pennies each quarter for the upcoming quarter and year with lines out the door, how do you expect to make higher numbers and set higher guidance going forward, it's just not a doable business plan. you can build a thousand more stores, and it's still the same flawed buiness plan. that's also why they lost their chief operations officer last month. what a pitty! So who's running the operations now, a marketing guy. intersting!!!