Finance: Chipotle misses big on earnings, shares plunge 6% (CMG)

Chipotle on Tuesday reported third-quarter earnings that missed the lowest forecast from Wall Street analysts.

Chipotle on Tuesday reported third-quarter earnings that missed the lowest forecast from Wall Street analysts.

The fast-casual chain reported adjusted earnings per share of $0.69, missing analysts' consensus forecast for $1.63 according to Bloomberg. Revenue totaled $1.13 billion, missing the estimate for $1.14 billion. Sales at stores open for at least one year rose 1% (1.2% forecast.)

Ahead of the earnings release, analysts were focused on the mixed reviews that Chipotle's newly introduced queso got.

RBC's David Palmer cut his price target on the stock to $330 from $400 on Friday on the expectation that queso and other marketing efforts would disappoint.

Analysts were also looking out for the impact of a new norovirus outbreak in July on same-store sales, and any slowdown caused by Hurricanes Harvey and Irma. The hurricanes cost Chipotle $0.13 in diluted EPS.

"Despite several unusual impacts during the quarter, including the impact of hurricanes, we maintained our focus and saw some encouraging signs," said Steve Ells, Chipotle's CEO, in a statement.

Chipotle shares fell by as much as 6% in extended trading.

More to come, refresh this page for updates.

Chipotle on Tuesday reported third-quarter earnings that missed the lowest forecast from Wall Street analysts. Read Full Story