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Chipotle Mexican GrillMEX:CMG +1.52%83 ROC (Joel Greenblatt) % is 23.07% as of Mar. 2026, which is 0% below its 10-year median of 23.16. GuruFocus rates MEX:CMG with a GF Score™ of 83/100 and a GF Value™ of MXN1,058.43 (Significantly Undervalued). The stock has 1 warning sign investors should review. Among 362 Restaurants companies, Chipotle Mexican Grill ranks better than 78.73% on this metric.
Joel Greenblatt defined Return on Capital differently in his book The Little Book That Still Beats the Market (Little Books. Big Profits). He defines ROC (Joel Greenblatt) % as EBIT divided by the total of Property, Plant and Equipment and net working capital. Chipotle Mexican Grill's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 23.07%.
The historical rank and industry rank for Chipotle Mexican Grill's ROC (Joel Greenblatt) % or its related term are showing as below:
MEX:CMG'
s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: 6 Med: 23.16 Max: 32.71
Current: 27.9
During the past 13 years, Chipotle Mexican Grill's highest ROC (Joel Greenblatt) % was 32.71%. The lowest was 6.00%. And the median was 23.16%.
MEX:CMG's ROC (Joel Greenblatt) % is ranked better than 78.73% of 362
companies
in the Restaurants industry
Industry Median: 8.545
vs MEX:CMG: 27.90
Chipotle Mexican Grill's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was 27.40% per year.
The way Joel Greenblatt defines Return on Capital is a more accurate measure of how efficiently the company generates returns onthe capital actually invested in the business. EBIT is used instead of net income because the tax and interest payment may be affected by factors other than the core business operation. Intangible assets are not included in the calculation because they don't need to be replaced.
Chipotle Mexican Grill ROC (Joel Greenblatt) % Related Terms
Chipotle Mexican Grill ROC (Joel Greenblatt) % Historical Data
* Premium members only.
The historical data trend for Chipotle Mexican Grill's ROC (Joel Greenblatt) % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
MEX:CMG vs YUM, DRI, YUMC: ROC (Joel Greenblatt) % Comparison
For the Restaurants subindustry, Chipotle Mexican Grill's ROC (Joel Greenblatt) %, along with its competitors' market caps and ROC (Joel Greenblatt) % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Chipotle Mexican Grill ROC (Joel Greenblatt) % vs Restaurants Industry
For the Restaurants industry and Consumer Cyclical sector, Chipotle Mexican Grill's ROC (Joel Greenblatt) % distribution charts can be found below:
* The bar in red indicates where Chipotle Mexican Grill's ROC (Joel Greenblatt) % falls into.
Joel Greenblatt defined Return on Capital differently in his book The Little Book That Still Beats the Market (Little Books. Big Profits) . He defines Return on Capital as follows:
EBIT stands for Earnings Before Interest and Taxes.
Fixed Assets are also known as non-current assets. They include the Property, Plant and Equipment that the firm needs in its operation.
GuruFocus calculates net working capital as: (Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Deferred Revenue + Other Current Liabilities). We're trying to account for OPERATING assets and liabilities (part of daily business) when calculating working capital. Cash and marketable securities are considered NON-OPERATING assets and are not included in calculation. We will also back out all interest bearing debt, short term debt and the portion of long term debt that is due in the current period from the current liabilities. This debt will be considered when computing cost of capital and it would be inappropriate to count it twice.
Note:
The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
What does a ROC (Joel Greenblatt) % of 23.07% mean?
Chipotle Mexican Grill (MEX:CMG) has a ROC (Joel Greenblatt) % of 23.07% as of Mar. 2026. Joel Greenblatt's return on capital is the ratio of EBIT to average fixed assets and net working capital. View historical data on Chipotle Mexican Grill and its competitors. This is near median its historical median of 23.16. Over the past decade, Chipotle Mexican Grill's ROC (Joel Greenblatt) % has ranged from 6.00 to 32.71. According to the industry distribution chart, Chipotle Mexican Grill ranks #77 out of 362 companies in the Restaurants industry, placing it in the top 21.3%.
Is Chipotle Mexican Grill's ROC (Joel Greenblatt) % too high?
Chipotle Mexican Grill's current ROC (Joel Greenblatt) % of 23.07% is near median its 10-year median of 23.16. Over the past 10 years, this metric has ranged from a low of 6.00 to a high of 32.71. The Restaurants industry median ROC (Joel Greenblatt) % is 8.55. Chipotle Mexican Grill's value of 23.07% is 170% above this industry median. Based on the distribution chart, Chipotle Mexican Grill ranks #77 out of 362 companies in the Restaurants industry, which is in the top quartile — a strong position relative to peers. Overall, Chipotle Mexican Grill has a GF Score™ of 83/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Chipotle Mexican Grill's ROC (Joel Greenblatt) % compare to YUM and DRI?
According to the Restaurants industry distribution chart, Chipotle Mexican Grill ranks #77 out of 362 companies for ROC (Joel Greenblatt) %. This places Chipotle Mexican Grill in the top 21% of its industry — outperforming the majority of peers. The industry median ROC (Joel Greenblatt) % is 8.55. Chipotle Mexican Grill's value of 23.07% is 170% above this benchmark. Historically, Chipotle Mexican Grill's own ROC (Joel Greenblatt) % has ranged from 6.00 to 32.71 over the past decade. While the company's 10-year median is 23.16 vs. the industry median of 8.55, Chipotle Mexican Grill has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROC (Joel Greenblatt) % for a Restaurants company?
The median ROC (Joel Greenblatt) % among Restaurants companies is 8.55, based on 362 companies in the industry. Companies in the top quartile (top 25%) have a ROC (Joel Greenblatt) % significantly above this median, while those in the bottom quartile fall well below. However, ROC (Joel Greenblatt) % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Chipotle Mexican Grill's current ROC (Joel Greenblatt) % of 23.07% is 170% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROC (Joel Greenblatt) % mean?
A high ROC (Joel Greenblatt) % can signal that a stock is expensive relative to its fundamentals. Joel Greenblatt's return on capital is the ratio of EBIT to average fixed assets and net working capital. View historical data on Chipotle Mexican Grill and its competitors. For the Restaurants industry, the median ROC (Joel Greenblatt) % is 8.55 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Chipotle Mexican Grill's current ROC (Joel Greenblatt) % is 23.07%, which is near median its own 10-year median of 23.16. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Chipotle Mexican Grill stock overvalued right now?
Based on GuruFocus' analysis, Chipotle Mexican Grill (MEX:CMG) is currently considered Significantly Undervalued. The stock's GF Value™ is MXN1,058.43, compared to a current price of MXN600.00 — trading 43.3% below its estimated fair value. The current ROC (Joel Greenblatt) % is 23.07%, which is near median its 10-year median of 23.16 and 170% above the Restaurants industry median of 8.55. Chipotle Mexican Grill's overall GF Score™ is 83/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROC (Joel Greenblatt) % calculated?
ROC (Joel Greenblatt) % is calculated from a company's financial statements. For Chipotle Mexican Grill (MEX:CMG), the current ROC (Joel Greenblatt) % is 23.07% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Chipotle Mexican Grill (MEX:CMG) Overvalued in 2026?
Based on GuruFocus' analysis, Chipotle Mexican Grill stock appears to be undervalued.
The current stock price of MXN600.00 is trading 43.3% below its estimated GF Value™ of MXN1,058.43.
GuruFocus considers Chipotle Mexican Grill to be Significantly Undervalued.
Key valuation signals for MEX:CMG:
ROC (Joel Greenblatt) %: 23.07% (near median its 10-year median of 23.16)
GF Value™: MXN1,058.43 vs. price of MXN600.00 (43.3% below fair value)
Industry Position: 170% above the Restaurants median (#77 of 362)
No single metric tells the full story. See the MEX:CMG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Chipotle is a leading fast-casual, Mexican-inspired restaurant chain, generating $11.9 billion in sales across 3,983 company-operated US locations, 104 international units primarily in Canada and Europe, and 14 licensed stores largely operated in the Middle East at the end of 2025. The firm's revenue is primarily driven by food and beverage sales at its company-owned restaurants, supplemented by delivery fees generated through its first-party digital channels. Chipotle emphasizes ingredients with no artificial flavors and utilizes an efficient, assembly line service model to serve mainly customizable burritos, bowls, salads, quesadillas, and tacos.
83GF Score
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