68.32 0.00 (0.00%)
After hours: 4:42PM EST
|Bid||67.60 x 800|
|Ask||68.75 x 800|
|Day's Range||68.02 - 69.50|
|52 Week Range||41.76 - 75.58|
|Beta (3Y Monthly)||0.79|
|PE Ratio (TTM)||65.76|
|Earnings Date||Feb 27, 2019|
|Forward Dividend & Yield||0.36 (0.51%)|
|1y Target Est||70.50|
CNBC's Kate Rogers speaks exclusively to Wingstop CEO Charlie Morrison at ICR’s annual retail conference about the company’s domestic growth, international expansion, and innovations in the industry.
DALLAS, Feb. 13, 2019 -- Wingstop Inc. (NASDAQ: WING) (the “Company” or “Wingstop”) today announced that it will host a conference call and webcast to discuss its fourth.
The bear case for Chipotle Mexican Grill (NYSE:CMG) ahead of earnings seems easy to make. Chipotle stock simply looks too expensive. Chipotle's turnaround is making progress, but at 44x 2019 EPS estimates, CMG stock is pricing in all of that progress, and then some. Indeed, CMG now trades well above usually bullish analyst estimates, as James Brumley pointed out last week. It has the 32nd-highest forward P/E multiple in the S&P 500, according to finviz.com -- and even that understates the case, as REITs and MLPs (which show low net income for accounting reasons) are undervalued by that metric. In the restaurant sector as a whole, only Wingstop (NASDAQ:WING) garners a comparable valuation (and it, too, looks overvalued). That sets up an important -- and potentially dangerous -- earnings report for Chipotle on Wednesday afternoon. The 30% gains in CMG stock from December lows are building expectations for the report. 2019 guidance will be key: Chipotle's expectations must climb well above of those of analysts (and investors) to keep the rally going. InvestorPlace - Stock Market News, Stock Advice & Trading Tips I was skeptical toward CMG stock at the end of 2018 and I remain so ahead of earnings. But Chipotle has the chance to convert bears like myself with a big report on Wednesday. ### The Easy Bear Case for CMG Stock The bear case for Chipotle stock seems reasonably easy to make. The company admittedly is making some progress on its turnaround, after consumer fatigue and food safety concerns sent sales tumbling. Same-restaurant sales are up 3.3% so far this year, according to the 10-Q, with a solid 4.4% print in Q3. * 7 Stocks That Won Super Bowl Sunday But CMG stock, again, is trading at 40x-plus next year's earnings. It's nearly 10% above consensus Wall Street price targets. The highest of 25 analyst targets, per data from Yahoo! Finance, only suggests about 15% upside. And of late, several of those analysts have advised caution themselves. On Tuesday, Oppenheimer called out both valuation and Q4 numbers as risks. The day before, Wedbush wrote, "We have never seen such a divergence between our [channel] checks and buy-side expectations in the history of our coverage of any restaurant." Those analysts seem to suggest that near-term expectations are too high. Yet the valuation here implies that even meeting expectations -- a small beat in Q4 perhaps, and full-year 2019 guidance in the range of current estimates -- probably isn't enough. To move higher from here, CMG stock needs a blowout Q4 and above-consensus 2019 guidance. That seems like a lot to ask given those analyst concerns and the fact that Chipotle's performance of late hasn't been that impressive. Comparable sales numbers seem solid but are coming mostly from pricing increases. Traffic remains reasonably flat. Given the fixed-cost nature of restaurants, better-than-expected visitations can help margins and earnings, but it's hard to argue that success on that front isn't priced in to some extent. And with the options market perhaps surprisingly pricing in just a 7% move in CMG this week, investors seem too sanguine about the potential downside here if Chipotle misses. ### The Case for Chipotle Stock That said, Chipotle does have a chance to change the narrative around CMG stock. Much of the gains of late -- Chipotle stock is up almost 70% over the past year -- have come from optimism toward 2019 and 2020, not necessarily 2018 results. Again, I'm skeptical toward that optimism. But traders looking at the "easy" bull case here ought to remember that the short thesis might be too easy. Investors buying shares at $500 know that Chipotle looks expensive. They know the stock has outrun the Street. * 10 F-Rated Stocks That Could Break Your Portfolio And those investors have a path to being proven right as soon as Wednesday afternoon. If Chipotle's outlook matches those of the bulls, the growth story here re-emerges. A big Q4 leads to stories about how Chipotle's traffic growth is returning and how the company might finally be putting those food safety issues in the rearview mirror. It might seem on its face that 40x-plus earnings already prices in that new narrative. But it's important to remember that incremental margins for "fast casual" are quite high. Each extra visit to a Chipotle restaurant adds quite a bit of operating profit. If traffic returns, sales will accelerate, margins will expand, and CMG stock could move higher. Remember that this was a $700-plus stock just a few years ago. ### A Big Report While I understand the bull case for CMG into and out of earnings, I still see at least some of the company's potential as priced in by the run of the past few weeks. And from here, relatively light premiums on puts and put spreads suggest a potential bearish/short trade ahead of the report (for investors who understand the risks and option strategies required). Either way, this seems likely to be a key report for Chipotle. A Q4 beat and better-than-expected 2019 guidance mean the "turnaround" story strengthens, and investors of all stripes start treating CMG like a growth stock again. Anything less and Chipotle's growth outlook appears much more moderate. The once-leader in fast casual looks more like other fallen angels in the space, and the 40x-plus forward P/E multiple likely doesn't hold. So far, CMG has had a big 2019. Without a huge report on Wednesday afternoon, the rest of the year isn't going to be nearly as positive. As of this writing, Vince Martin has no positions in any securities mentioned. ### More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 F-Rated Stocks That Could Break Your Portfolio * 5 Fintech Stocks to Buy As This Mega Trend Gains Steam * 10 Cold Weather Stocks to Heat Up Your Returns Compare Brokers The post Chipotle Stock Looks Dangerous Ahead of Earnings appeared first on InvestorPlace.
IBD Stock of the Day: After a failed breakout last month, Wingstop is rebounding bullishly from key support as it works on a new handle and buy point.
The Super Bowl is a busy time for people in the chicken wing, pizza, and salty snack businesses. Here's a look at the numbers.
Victory RS Small Cap Growth Fund is hot. That heartens shareholders. It also offer pointers to investors in individual small cap stocks.
McDonald's (MCD) better-than-expected results in the fourth quarter can be attributed to robust comparable sales performance across all its segments.
Brinker's (EAT) top line in second-quarter fiscal 2019 gains from the company's traffic-building strategies and efforts to capture greater market share.
Yum! Brands (YUM) announces 17% dividend hike. Solid balance sheet and cash flows provide the company with financial flexibility to offer dividend hikes.
Starbucks' (SBUX) first-quarter fiscal 2019 results benefit from robust performance by the Americas and China-Asia-Pacific segment as well as store openings in a year.
We've lost count of how many times insiders have accumulated shares in a company that goes on to improve markedly. The flip side of that is that there are more Read More...
Wingstop knows that it needs to grow its store footprint, and it plans to execute on that by building up a familiar real estate strategy: fortressing its key domestic markets. The brand currently operates 1,100 restaurants in the U.S. and 150 international locations, and Wingstop’s leadership still sees plenty of opportunity for growth. The company […]
Wingstop stock retreated from a potential buy point Monday as preliminary Q4 results showed decelerating growth.
The stock market sold off early Monday after disappointing economic news out of China. Lululemon stock surged higher in morning trade.
DALLAS, Jan. 14, 2019 -- Wingstop Inc. (“Wingstop” or the “Company”) (NASDAQ: WING) today released preliminary unaudited sales results for the fiscal fourth quarter and full.
Jim Cramer zooms through his responses to callers' stock questions, including one on the prospects for Lockheed Martin.
The Dow Jones industrial average and other key averages still show strength in 2019 after the big slide in Q4 last year. Market technicals are improving.
With the stock market back in a confirmed uptrend, investors should be looking for potential stocks to buy. Earnings season looms.
What do Wingstop (NASDAQ:WING) and Regeneron (NASDAQ:REGN) have in common? Many investors might be inclined to think "not that much." But if you're an investor who is now rightfully bullish on the market, the correct answer is "more than you think." Let me explain. A small-cap restaurant chain dedicated to making sure customers get their fill of delicious wings and one of biotech's larger players -- what could possibly connect Wingstop to Regeneron? The answer is plain and simple -- growth and overall solid fundamentals, as well as very similar and historically supportive price charts in WING stock and shares of REGN. Some might ask further questions: "What about China, the Federal Reserve, a looming recession and late December's official welcoming of the broader averages into a bear market?" My answer is, go ahead and worry. But if you want to make smart investments after a strong correction, a welcoming over-the-top spike in market volatility to historically extreme levels and last Friday's strong, time-tested "follow-through day" rebuttal; it's time to put WING and REGN stock on the radar. InvestorPlace - Stock Market News, Stock Advice & Trading Tips ### Pairs Stock Strategy Long: WING Stock Wingstop is a relative newcomer to the market. Shares of WING IPO'ed back in mid-2015, but don't let youth as a publicly traded company stop you from buying the restaurant operator. Bottom line, this relative newbie to the market has been growing solidly. * 10 Stocks You Can Set and Forget (Even In This Market) Another support is the fact that stocks like WING most often make their biggest gains while they're younger and the law of large numbers isn't yet such a burden. As such, there's little reason to think WING stock can't become a good deal bigger from today's current $2 billion capitalization as the company spreads its wings (no pun intended). On the price chart of WING stock, shares look equally tasty. A technically constructive "W," or high-level double-bottom corrective base, has formed over the last few months on the heels of a solid uptrend to all-time highs over the course of a year or so. As corrections happen to even the most favored stocks, the recent price action in Wingstop of late could be labeled as being inevitable and not something to be feared. Even better, as the technical pause has consolidated gains in a healthy manner during the broader market's less-seemly correction; the W base in WING stock also represents solid-looking leadership as the averages attempt to re-establish a bull market. For bullish investors interested in nibbling on WING stock, shares are in position today to be purchased as they've already cleared the pattern's mid-pivot of $66.41 from early December. Waiting for a breakout to fresh all-time-highs is an option too. Either way, using an 8% stop-loss looks about right as to ensure Wingstop investors don't get fried. ### Pairs Stock Strategy Long No. 2: REGN Stock Regarding the big picture of the last few years, its true shares of Regeneron look a bit different than WING stock on the price chart. It's more than a bit obvious REGN isn't sporting anything remotely like Wingstop's sturdy-looking uptrend of the past couple years. However, both names do share the same bullish W, or double-bottom basing pattern. In this instance, Regeneron's chart formation has developed as a corrective variation following a small uptrend off REGN's move to four-year lows. It's our contention that the combination, along with REGN's strong fundamentals, are setting the stage for an emerging and powerful bullish trend in 2019 for this biotech giant. I'll be frank -- REGN stock can be treacherous. Despite its size and market reach, Regeneron has shown a knack for being volatile. Sometimes this quality is supportive for investors. But it can be equally challenging due to price gaps, as well as sharp and fast moves in shares. For investors still interested in going long Regeneron, like Wingstop, shares are in position to be purchased just pennies above the early December pattern mid-point of $396.32. I'd use still use an 8% stop here, as it amounts to a four-day low and would all but negate the breakout of the base's mid-pivot entry. Alternatively and for more risk-averse bulls, buying the May $420/$440 bull call spread looks like a way to enjoy strong profits if a new leg up begins while minimizing and containing exposure in REGN stock to a known amount of risk. Investment accounts under Christopher Tyler's management do not currently own positions in any securities mentioned in this article. The information offered is based upon Christopher Tyler's observations and strictly intended for educational purposes only; the use of which is the responsibility of the individual. For additional options-based strategies, related musings or to ask a question, you can find and follow Chris on Twitter @Options_CAT and StockTwits. ### More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Retail Stocks to Buy for Winning the Online Battle * The 7 Best Stocks in the Entrepreneur Index * 7 5G Stocks to Buy as the Race for Spectrum Tightens Compare Brokers The post Market Leadershipas Odd Couple: Wingstop and Regeneron appeared first on InvestorPlace.
The Dow Jones industrial average and Nasdaq reflected continued strength in stocks today. Small caps continue to rise too. More stocks are basing.