Here’s Why Chipotle Mexican Grill (CMG) Rallied in Q2

Ensemble Capital Management, an investment management company, released its second quarter 2023 investor letter. A copy of the same can be downloaded here. During the quarter, the strategy slightly outperformed with a gain of 8.76% compared to the S&P 500’s 8.74% gain. The strategy’s performance in the quarter was driven by big gains generated by small companies in the portfolio. In addition, please check the fund’s top five holdings to know its best picks in 2023.

Ensemble Capital Management highlighted stocks like Chipotle Mexican Grill, Inc. (NYSE:CMG) in the second quarter 2023 investor letter. Headquartered in Newport Beach, California, Chipotle Mexican Grill, Inc. (NYSE:CMG) owns and operates Chipotle Mexican Grill restaurants. On July 27, 2023, Chipotle Mexican Grill, Inc. (NYSE:CMG) stock closed at $1,882.98 per share. One-month return of Chipotle Mexican Grill, Inc. (NYSE:CMG) was -11.97%, and its shares gained 20.38% of their value over the last 52 weeks. Chipotle Mexican Grill, Inc. (NYSE:CMG) has a market capitalization of $51.951 billion.

Ensemble Capital Management made the following comment about Chipotle Mexican Grill, Inc. (NYSE:CMG) in its second quarter 2023 investor letter:

“Chipotle Mexican Grill, Inc. (NYSE:CMG) (+25.2%): Chipotle rallied on the back of double-digit same store sales results. The company also gave encouraging guidance that it’s further along on its path to 30% restaurant level margins than previously seemed to be the case. Chipotle has also gained traction with new locations in smaller markets that have reported some of the company’s best opening weeks and months in its history.”

Pixabay/Public Domain

Chipotle Mexican Grill, Inc. (NYSE:CMG) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 47 hedge fund portfolios held Chipotle Mexican Grill, Inc. (NYSE:CMG) at the end of first quarter which was 42 in the previous quarter.

We discussed Chipotle Mexican Grill, Inc. (NYSE:CMG) in another article and shared Rowan Street Capital’s insights on the company. In addition, please check out our hedge fund investor letters Q2 2023 page for more investor letters from hedge funds and other leading investors.

Suggested Articles:

• 25 Most Fun Countries in the World
• 10 Best Canadian Stocks Under $10
• Top 20 Best Selling Vodka Brands in the World

Disclosure: None. This article is originally published at Insider Monkey.