Compare Chipotle firm ratio to available industry ratios. Given the ratios for the firm (Chipotle) and the industry averages for those ratios, answer the following questions:
Compare Chipotle firm ratio to available industry ratios
- Compare the firm’s 2021 ratio to the available industry ratios for the most recent year (2021 or 2020 is ok). Comment on your firm’s ratios compared to its industry.
- Analyze the performance of your firm (ratios) versus its industry (Peer analysis – against benchmark) and comment on any trends (Trend analysis – over time) in each individual firm’s performance. Comment on both the peer analysis and the trend analysis. A couple of sentences for each analysis (peer and trend) is adequate.
Answer questions like: “Is it getting better or worse over time?” (“Is the __ ratio improving or getting worse?”)
“How is the company doing compared to the industry average?”
“What do each of the ratios (and the numbers) mean for the company?”
- Identify any/all strengths or weaknesses, including qualitative factors, which you find in your firm. Answer the question (along with similar questions): “Would you invest in this firm?” A couple of sentences is adequate.
You could also say: “I believe in Chipotle because I think the company provides high-quality products that people will continue to eat, and the demand is going to increase…”
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Chipotle
