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…”