High Quality Stocks: Chipotle Mexican Grill, Dollar Tree Stores

Guru stocks that are undervalued

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Mar 22, 2016
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According to GuruFocus’ All-in-One Screener, the following stocks have a high business predictability rating, and at least five gurus are shareholders in the companies.

Chipotle Mexican Grill Inc. (CMG)

GuruFocus gives the company a business predictability rating of 5 out of 5 stars. The company operates Chipotle Mexican Grill restaurants, which serves a menu of burritos, tacos, burrito bowls and salads, made using fresh ingredients.

The stock is trading with a P/E ratio of 30.65 and the price has been as high as $756 and as low as $399.14 in the last 52 weeks. It is currently 39.04% below its 52-week high and 15.87% above its 52-week low. According to the DCF calculator, the company looks overpriced by 8%.

Frank Sands (Trades, Portfolio) is the largest shareholder of the company among the gurus with 5.19% of outstanding shares, followed by Andreas Halvorsen (Trades, Portfolio) with 2.29%, Jeremy Grantham (Trades, Portfolio) with 1.62%, Jim Simons (Trades, Portfolio) with 1.02% and Steven Cohen (Trades, Portfolio) with 0.08%.

Carter's Inc. (CRI)

GuruFocus gives the company a business predictability rating of 4 out of 5 stars. The company sells apparel for babies and young children. It operates in five business segments: Carter's wholesale, Carter's retail, OshKosh retail, OshKosh wholesale and international.

The stock is trading with a P/E ratio of 22.76, and the price has been as high as $109.53 and as low as $82.22 in the last 52 weeks. It is currently 6.06% below its 52-week high and 25.24% above its 52-week low. According to the DCF calculator, the company looks overpriced by 112%.

The company’s largest shareholder among the gurus is RS Investment Management (Trades, Portfolio) with 1.85% of outstanding shares, followed by Jim Simons (Trades, Portfolio) with 0.67%, Louis Moore Bacon (Trades, Portfolio) with 0.37%, Chuck Royce (Trades, Portfolio) with 0.26%, Diamond Hill Capital (Trades, Portfolio) with 0.25%, Manning & Napier Advisors with 0.22% and PRIMECAP Management (Trades, Portfolio) with 0.22%.

Cognizant Technology Solutions Corp.Ă‚ (CTSH)

GuruFocus gives the company a business predictability rating of 4 out of 5 stars.Ă‚

The stock is trading with a P/E ratio of 22.55, and the price has been as high as $69.80 and as low as $51.22 in the last 52 weeks. It is currently 14.73% below its 52-week high and 16.20% above its 52-week low. According to the DCF calculator, the company looks undervalued with a margin of safety of 21%.

David Rolfe (Trades, Portfolio) is the largest shareholder of the company among the gurus with 0.99% of outstanding shares, followed by Pioneer Investments (Trades, Portfolio) with 0.41%, Jeremy Grantham (Trades, Portfolio) with 0.32%, Matthews Pacific Tiger Fund (Trades, Portfolio) with 0.23%, Jim Simons (Trades, Portfolio) with 0.16% and Richard Pzena (Trades, Portfolio) with 0.06%.

Citrix Systems Inc. (CTXS)

GuruFocus gives the company a business predictability rating of 4.5 out of 5 stars. The company is engaged in virtualization, networking and cloud infrastructure. Its solutions help IT and service providers to build, manage and secure virtual and mobile workspaces that seamlessly deliver apps, desktops, data and services.

The stock is trading with a P/E ratio of 38.82, and the price has been as high as $84.17 and as low as $60.85 in the last 52 weeks. It is currently 7.31% below its 52-week high and 28.22% above its 52-week low. According to the DCF calculator, the company looks overpriced by 194%.

The company’s largest shareholder among the gurus is Paul Singer (Trades, Portfolio) with 4.36% of outstanding shares, followed by Meridian Funds (Trades, Portfolio) with 0.37%, Pioneer Investments (Trades, Portfolio) with 0.25%, Jeremy Grantham (Trades, Portfolio) with 0.22%, John Hussman (Trades, Portfolio) with 0.08%, Ray Dalio (Trades, Portfolio) with 0.05% and Paul Tudor Jones (Trades, Portfolio) with 0.04%.

Danaher Corp. (DHR)

GuruFocus gives the company a business predictability rating of 4.5 out of 5 stars. The company designs, manufactures and markets professional, medical, industrial and commercial products and services.

The stock is trading with a P/E ratio of 19.93, and the price has been as high as $97.62 and as low as $81.25 in the last 52 weeks. It is currently 2.83% below its 52-week high and 16.75% above its 52-week low. According to the DCF calculator, the company looks overpriced by 65%.

Dodge & Cox is the largest shareholder of the company among the gurus with 1.08% of outstanding shares, followed by First Eagle Investment (Trades, Portfolio) with 0.45%, John Griffin (Trades, Portfolio) with 0.34%, Daniel Loeb (Trades, Portfolio) with 0.33%, Jeremy Grantham (Trades, Portfolio) with 0.23, Chuck Akre (Trades, Portfolio) with 0.22% and Ruane Cunniff (Trades, Portfolio) with 0.21%.

Walt Disney Co. (DIS)

GuruFocus gives the company a business predictability rating of 4 out of 5 stars.Ă‚

The stock is trading with a P/E ratio of 18.37, and the price has been as high as $122.08 and as low as $86.25 in the last 52 weeks. It is currently 19.35% below its 52-week high and 14.16% above its 52-week low. According to the DCF calculator, the company looks overpriced by 4%.

The company’s largest shareholder among the gurus is Ken Fisher (Trades, Portfolio) with 0.53% of outstanding shares, followed by PRIMECAP Management (Trades, Portfolio) with 0.41%, Pioneer Investments (Trades, Portfolio) with 0.22%, Diamond Hill Capital (Trades, Portfolio) with 0.12%, Tom Gayner (Trades, Portfolio) with 0.1% and T Rowe Price Equity Income Fund (Trades, Portfolio) with 0.08%.

Dollar Tree Stores Inc. (DLTR)

GuruFocus gives the company a business predictability rating of 5 out of 5 stars. As of Jan. 31, 2015, the company operated 5,367 discount variety retail stores.

The stock is trading with a P/E ratio of 67.05, and the price has been as high as $84.00 and as low as $60.31 in the last 52 weeks. It is currently 4.21% below its 52-week high and 33.41% above its 52-week low. According to the DCF calculator, the company looks overpriced by 136%.

Steve Mandel (Trades, Portfolio) is the largest shareholder of the company among the gurus with 5.62% of outstanding shares, followed by Chuck Akre (Trades, Portfolio) with 1.78%, Alan Fournier (Trades, Portfolio) with 0.78%, John Griffin (Trades, Portfolio) with 0.77%, Steven Cohen (Trades, Portfolio) with 0.57%, Ken Heebner (Trades, Portfolio) with 0.34% and John Burbank (Trades, Portfolio) with 0.24%.