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Mar 13, 2019
Chipotle (CMG, $637.94) teams up with Venmo to expand its digital presence

Chipotle (CMG, $637.94) teams up with Venmo to expand its digital presence

Last fall, Chipotle Mexican Grill began testing a point-based system of rewards called 'Chipotle Rewards,' in an effort to make the brand more digitally innovative as well as accessible. The results are so positive that the company is now expanding its loyalty program nationwide, as its digital sales grew 66% in Q4 of 2018 accounting for nearly 13% of overall sales.

The rewards systems needs customers to enroll via the website or app, receiving 10 points for each dollar spent. Upon reaching 1,250 points, customers earn a free entrée. First time users will also earn free chips and guacamole and can accrue rewards online, in store or on the app.

As digital sales grew, the company deemed it fit to collaborate with Venmo, a digital wallet company, depositing surprise amounts of $1 to $500 in fan’s accounts through March 15. This will make Chipotle the first ever company whose presence will pop up in another company’s website or app, thereby sharing the payments. Phone numbers registered with Venmo account can be used to log in at ChipotleRewardMe.com.

Under the current CEO’s guidance, digital innovation has remained the company’s top priority. It has now dedicated kitchens for online orders with the app and delivery drivers so that customers receive their orders in the fastest time. It has also installed new pickup shelves for digital orders.

With customers increasingly going online these days, just having an app is not enough. The digital platform has much to be explored and Chipotle seems to be on the right track. According to the Wall Street Journal, Chipotle’s stock in 2018 had its best year since 2013 and is up more than 40% this year.

Related Ticker: CMG

Aroon Indicator for CMG shows an upward move is likely

CMG's Aroon Indicator triggered a bullish signal on July 23, 2026. Tickeron's A.I.dvisor detected that the AroonUp green line is above 70 while the AroonDown red line is below 30. When the up indicator moves above 70 and the down indicator remains below 30, it is a sign that the stock could be setting up for a bullish move. Traders may want to buy the stock or look to buy calls options. A.I.dvisor looked at 236 similar instances where the Aroon Indicator showed a similar pattern. In of the 236 cases, the stock moved higher in the days that followed. This puts the odds of a move higher at .

Price Prediction Chart

Technical Analysis (Indicators)

Bullish Trend Analysis

The Momentum Indicator moved above the 0 level on August 19, 2026. You may want to consider a long position or call options on CMG as a result. In of 79 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .

The Moving Average Convergence Divergence (MACD) for CMG just turned positive on August 20, 2026. Looking at past instances where CMG's MACD turned positive, the stock continued to rise in of 43 cases over the following month. The odds of a continued upward trend are .

CMG moved above its 50-day moving average on August 19, 2026 date and that indicates a change from a downward trend to an upward trend.

Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where CMG advanced for three days, in of 318 cases, the price rose further within the following month. The odds of a continued upward trend are .

Bearish Trend Analysis

The 10-day RSI Indicator for CMG moved out of overbought territory on July 31, 2026. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 33 similar instances where the indicator moved out of overbought territory. In of the 33 cases, the stock moved lower in the following days. This puts the odds of a move lower at .

The Stochastic Oscillator has been in the overbought zone for 1 day. Expect a price pull-back in the near future.

The 10-day moving average for CMG crossed bearishly below the 50-day moving average on August 17, 2026. This indicates that the trend has shifted lower and could be considered a sell signal. In of 12 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are .

Following a 3-day decline, the stock is projected to fall further. Considering past instances where CMG declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .

CMG broke above its upper Bollinger Band on August 21, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.

Fundamental Analysis (Ratings)

The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.

The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. CMG’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.

The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.

The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: CMG's P/B Ratio (21.231) is slightly higher than the industry average of (6.200). P/E Ratio (34.167) is within average values for comparable stocks, (40.478). Projected Growth (PEG Ratio) (1.986) is also within normal values, averaging (1.776). CMG has a moderately low Dividend Yield (0.000) as compared to the industry average of (0.026). P/S Ratio (3.891) is also within normal values, averaging (2.631).

The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. CMG’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 85, placing this stock worse than average.

Notable companies

The most notable companies in this group are McDonald's Corp (NYSE:MCD), Starbucks Corp (NASDAQ:SBUX), Chipotle Mexican Grill (NYSE:CMG), Yum! Brands (NYSE:YUM), Darden Restaurants (NYSE:DRI), Yum China Holdings (NYSE:YUMC), Dominos Pizza Inc (NASDAQ:DPZ), Shake Shack (NYSE:SHAK), Noodles & Co (NASDAQ:NDLS).

Industry description

The industry includes companies that operate full-service restaurants, fast food restaurants, cafeterias and snack bars. McDonald`s Corporation, Starbucks Corporation, YUM! Brands, Inc. and Restaurant Brands International Inc. are some of the largest U.S. restaurant-owning companies in terms of market capitalization. While restaurant spending could be viewed as discretionary for consumers, some companies in the business have been able to weather economic cycles by establishing strong loyalty among customers over the years. Many of them also have a strong global presence as well.

Market Cap

The average market capitalization across the Restaurants Industry is 10.55B. The market cap for tickers in the group ranges from 2.74K to 191.74B. MCD holds the highest valuation in this group at 191.74B. The lowest valued company is BFICQ at 2.74K.

High and low price notable news

The average weekly price growth across all stocks in the Restaurants Industry was 0%. For the same Industry, the average monthly price growth was 8%, and the average quarterly price growth was 15%. HWH experienced the highest price growth at 15%, while THCH experienced the biggest fall at -32%.

Volume

The average weekly volume growth across all stocks in the Restaurants Industry was 14%. For the same stocks of the Industry, the average monthly volume growth was -10% and the average quarterly volume growth was -21%

Fundamental Analysis Ratings

The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows

Valuation Rating: 50
P/E Growth Rating: 54
Price Growth Rating: 52
SMR Rating: 68
Profit Risk Rating: 84
Seasonality Score: -34 (-100 ... +100)
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General Information

an operator of fast-casual, fresh Mexican food restaurants

Industry Restaurants

Profile
Details
Industry
Restaurants
Address
610 Newport Center Drive
Phone
+1 949 524-4000
Employees
116068
Web
https://www.chipotle.com
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