Chipotle Mexican Grill Inc (CMG)

Return on equity (ROE)

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Net income (ttm)	US$ in thousands	1,534,110	1,484,432	1,410,261	1,296,380	1,228,737	1,170,378	1,114,299	1,032,451	899,101	808,849	756,145	684,177	652,984	710,468	586,278	406,479	355,766	237,223	255,561	338,414
Total stockholders’ equity	US$ in thousands	3,655,550	3,613,900	3,711,820	3,361,330	3,062,210	2,886,310	2,766,890	2,481,680	2,368,020	2,327,380	2,154,200	2,133,960	2,297,370	2,310,910	2,174,160	2,097,530	2,020,140	1,805,590	1,704,500	1,672,020
ROE		41.97%	41.08%	37.99%	38.57%	40.13%	40.55%	40.27%	41.60%	37.97%	34.75%	35.10%	32.06%	28.42%	30.74%	26.97%	19.38%	17.61%	13.14%	14.99%	20.24%

December 31, 2024 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $1,534,110K ÷ $3,655,550K
= 41.97%

Chipotle Mexican Grill Inc's return on equity (ROE) has shown a generally positive trend over the past few years, starting at 20.24% in March 2020 and gradually increasing to 41.97% by December 2024. This indicates that the company has been effectively utilizing its shareholders' equity to generate profits.

The ROE dipped slightly in mid-2020 but then began a steady upward trajectory, surpassing the 30% mark by September 2021. This suggests that Chipotle has been able to generate increasing profits relative to the equity invested in the business.

The peak ROE of 41.97% in December 2024 indicates that Chipotle has been successful in maximizing its profitability using the equity provided by shareholders. This strong ROE reflects positively on the company's management of assets and the efficiency of its operations in delivering returns to its owners.