Shares of Chipotle Mexican Grill, Inc (NYSE:CMG) have been on a tear as of late, increasing almost 30% year-to-date, versus the S&P 500′s (NYSE:SPY) approximate 5% return. Its market capitalization is $8.5 billion, its price-to-earnings ratio is a sky high 48.58, and it earned $5.64 per share over the past year.
Despite this impressive performance, its executives have been net sellers of the shares. Management has a remarkably small stake in the company. Nearly 10% of its float is sold short. Following is a review of four key executives’ selling:
- Jack Hartung, who is the firm’s Chief Financial Officer, exercised 5,000 options at a cost of $63.89 per option, and subsequently sold 5,000 shares at a market price of $214.95, for net proceeds of $755,300. He now holds 19,782 shares, or approximately 0.06% of the 31,040,000 shares outstanding.
- Mark Crumpacker, who is the firm’s Chief Marketing Officer, exercised 10,000 options at a price of $53.36 per option and subsequently sold 7,990 shares at a market price of $259.97, for net proceeds of $1,543,573. He now holds 10,000 shares, or approximately 0.03% of the 31,040,000 shares outstanding.
- Montgomery F Moran, who is Co-Chief Executive Officer, exercised 13,786 options at a price of $63.89 per option and subsequently sold 33,736 shares at market prices between $212.38 and $261.04, for net proceeds of $7,200,009.
- Robert N. Blessing, Jr., who is the Chief Development Officer, exercised 12,000 options at a cost of $53.36 per option, and subsequently sold 9.588 shares at a market price of $263.32 per share, for net proceeds of $1,884,853. He now holds 6,000 shares, or approximately 0.02% of the 31,040,000 shares outstanding.
About the company: Chipotle Mexican Grill, Inc. owns and operates quick serve Mexican restaurants. The Company operates restaurants throughout the United States. Chipotle’s competitor’s include Domino’s (NYSE:DPZ), McDonald’s (NYSE:MCD), Yum! Brands (NYSE:YUM), Wendy’s (NYSE:WEN), Starbucks (NASDAQ:SBUX), Jack-in-the-Box (NASDAQ:JACK), Sonic (NASDAQ:SONC), P.F. Chang’s (NASDAQ:PFCB)