BusinessThe Street•2 hours agoChipotle's Stock Is Getting Crushed Because Company Just Revealed It's Still Struggling
Chipotle Mexican Grill Inc.'s (CMG) stock tanked as much as 3.9% to $440.50 a share in pre-market trading Tuesday because the burrito king essentially just told investors that it's still struggling. In a Securities and Exchange Commission filing on Monday, June 19, Chipotle said it met with a group of investors to reaffirm its full-year 2017 outlook issued in April. Chipotle has struggled to gain significant comparable store sales growth since 2015 when a wave of foodborne illnesses affected 60 customers in 14 states. Chipotle also revealed in the SEC filing that food costs are expected to make up 34.2% of its total revenue and that marketing and promotional costs are anticipated to rise 20 to 30 basis points, making up 3.6% to 3.7% of its full-year sales.
- BusinessBusiness Insider•17 hours ago
WHOLE FOODS CEO: We focused on employees at the 'expense of our customers'
Over the years, critics of Whole Foods sardonically coined the nickname "Whole Paycheck," highlighting the steep prices of its high-end, organic fare. After the company's merger with Amazon, it seems Whole Foods CEO John Mackey is intent on improving its relationship with customers. In a town-hall meeting last Friday, the day it was announced that Amazon had agreed to buy the organic grocer for $13.7 billion, Mackey said his company had prioritized employees at the expense of customers — a trend he said would change after the merger.
BusinessThe Street•19 hours agoCostco Gets Crushed, Hits Support -- How to Trade It
Costco (COST) suffered its worst breakdown since August 2015, on Friday. The retailer shed more than 7% as volume surged to nearly 10 times its 50-day average. This extremely damaging flush began with a huge downside gap leaving behind an ominous top in place. For patient COST investors, there is light at the end of the tunnel as shares begin to show signs of stabilization today. Back in early February, COST began a powerful new rally leg with the help of high volume breakout gap. This news inspired ramp lifted the stock over 2.4%, ending a 10-week consolidation in the process. After a big move throughout February, COST filled the Feb. 2 breakout gap in mid March. A fresh rally leg followed that
