Chipotle: Credit Suisse cuts target price on avocado prices.
(CercleFinance.com) - Credit Suisse reiterates its "neutral" rating on the Chipotle share and has reduced its target price to from 335 dollars 320 dollars after avocado prices have jumped 75% since mid-July.
This price hike - driven by supply shortages in Mexico and a weaker than expected California harvest - has potentially material ramifications for margins and EPS, at least near-term, the brokerage firm says.
"We would not be buyers on recent weakness given limited visibility," Credit Suisse says.
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This price hike - driven by supply shortages in Mexico and a weaker than expected California harvest - has potentially material ramifications for margins and EPS, at least near-term, the brokerage firm says.
"We would not be buyers on recent weakness given limited visibility," Credit Suisse says.
Copyright (c) 2017 CercleFinance.com. All rights reserved.