Chipotle has history and recent performance to thank for Wall Street's rosy view of the fast-casual chain even with the potential for economic weakness.
One fast-casual restaurant chain has remained a favorite on Wall Street even as the U.S. grapples with a potential looming recession. Analysts see Chipotle Mexican Grill shares surging nearly 20% in the coming year. Over the past 15 months, the burrito chain has introduced three rounds of price increases that boosted the cost of its products 13% from a year earlier. The increases were due to higher costs for dairy, packaging, tortillas, avocados and wage increases in some areas.
The perception of value will be key if consumers feel the need to tighten their belts further. And they might. Bank executives on Friday said they are increasingly expecting a mild recession this year. Both JPMorgan's Jamie Dimon and Bank of America's Brian Moynihan are in this camp . Since they have insight into both consumer savings and credit card habits as well as corporate spending, they are in a good position to see trends coming.
Brasil Últimas Notícias, Brasil Manchetes
Similar News:Você também pode ler notícias semelhantes a esta que coletamos de outras fontes de notícias.
Wall Street ends sharply higher on optimism before key inflation reportU.S. stocks ended up sharply on Wednesday, with the S&P 500 and Nasdaq gaining more than 1% each as investors were optimistic ahead of an inflation report that could give the Federal Reserve room to dial back on its aggressive interest rate hikes.
Consulte Mais informação »
Wall Street’s biggest bear: Fed’s Jerome PowellThe struggle between the Fed and markets is ultimately a good sign for Biden and Congress because it suggests that the U.S. may be in the endgame of its war against this bout of inflation, but the conflict underscores the central bank’s delicate position.
Consulte Mais informação »
11 New GOP Picks for House Financial Oversight Panel Took Over $6.1 Million From Wall Street'The MAGA majority in charge of overseeing the financial industry are completely awash in Wall Street money,' said LCommaThoughts of accountable_us. 'Consumers beware as financial scammers rejoice.'
Consulte Mais informação »
TSMC’s U.S. stock rallies as Wall Street talks about bottom in the chip sectorTSMC rallied Thursday after the third-party silicon-wafer fabricator's results once again brought up inevitable speculation about 'the bottom.'
Consulte Mais informação »
Wall Street's rally signals more conviction in the market in 2023 - listen to 'The Homestretch'Jim Cramer also expressed some caution, with the market in overbought conditions ahead of Friday's kick off of earnings season. A transcript of 'The Homestretch' will be added here shortly.
Consulte Mais informação »
Wall Street rallies despite persistent inflationAll three major U.S. benchmarks are rallying in 2023 despite expert predictions and inflationary pressures
Consulte Mais informação »