Jim Cramer on Chipotle: "I Think That Wall Street's Going to Be Wrong Here"

Chipotle Mexican Grill, Inc. (NYSE:CMG) is one of the stocks Jim Cramer looked at recently. Cramer showed an opinion contrary to the market reaction after the company reported its latest earnings, as he stated:

What’s going on with the stock of Chipotle? This stock’s been making a comeback over the last couple of months, but when it reported after the close, Wall Street was a little mixed about this one. Even though the numbers came in better than feared, management’s full-year same-store sales forecast was slight light, and the stock plummeted in after-hours trading. I think that Wall Street’s going to be wrong here. I think this is getting mighty attractive. So does the company. They’ve been buying back stock hand over fist.

Chipotle Mexican Grill, Inc. (NYSE:CMG) owns and operates restaurants that provide burritos, bowls, tacos, salads, and other menu items. During the January 27 episode, a caller asked if the stock was a buy, and Cramer responded:

You know, a lot of people are warming up to Chipotle down here. It has had such a decline. It only sells for 34 times earnings. I say only because I’ve seen it at a much higher price-to-earnings multiple. I think it’s actually at a decent level to put some stock on. They have a report on Feb 3rd. Remember, it might go back down to that $30 low, and you might have to buy a little more. But wow, what a good franchise at a very reduced price.

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