Royal Caribbean Cruises (NYSE:RCL) and Chipotle Mexican Grill (OTCMKTS:CMG.B) Financial Comparison

Chipotle Mexican Grill (OTCMKTS:CMG.B) and Royal Caribbean Cruises (NYSE:RCL) are both consumer discretionary companies, but which is the better investment? We will compare the two businesses based on the strength of their profitability, valuation, institutional ownership, risk, dividends, earnings and analyst recommendations.

Insider and Institutional Ownership

87.5% of Royal Caribbean Cruises shares are held by institutional investors. 6.4% of Royal Caribbean Cruises shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Earnings & Valuation

This table compares Chipotle Mexican Grill and Royal Caribbean Cruises”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Chipotle Mexican Grill	N/A	N/A	N/A	N/A	N/A
Royal Caribbean Cruises	$18.68 billion	4.33	$4.27 billion	$16.18	18.68

Royal Caribbean Cruises has higher revenue and earnings than Chipotle Mexican Grill.

Analyst Ratings

This is a summary of current ratings and recommmendations for Chipotle Mexican Grill and Royal Caribbean Cruises, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Chipotle Mexican Grill	0	0	0	0	0.00
Royal Caribbean Cruises	0	7	14	1	2.73

Royal Caribbean Cruises has a consensus price target of $353.40, indicating a potential upside of 16.90%. Given Royal Caribbean Cruises’ stronger consensus rating and higher possible upside, analysts clearly believe Royal Caribbean Cruises is more favorable than Chipotle Mexican Grill.

Profitability

This table compares Chipotle Mexican Grill and Royal Caribbean Cruises’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Chipotle Mexican Grill	N/A	N/A	N/A
Royal Caribbean Cruises	23.54%	43.33%	10.56%

Summary

Royal Caribbean Cruises beats Chipotle Mexican Grill on 10 of the 10 factors compared between the two stocks.

About Chipotle Mexican Grill

Chipotle Mexican Grill, Inc., together with its subsidiaries, owns and operates Chipotle Mexican Grill restaurants. As of February 15, 2022, it owned and operated approximately 3,000 restaurants in the United States, Canada, the United Kingdom, France, Germany, and rest of Europe. The company was founded in 1993 and is headquartered in Newport Beach, California.

About Royal Caribbean Cruises

Royal Caribbean Cruises Ltd. operates as a cruise company worldwide. The company operates cruises under the Royal Caribbean International, Celebrity Cruises, and Silversea Cruises brands, which comprise a range of itineraries. As of February 21, 2024, it operated 65 ships. Royal Caribbean Cruises Ltd. was founded in 1968 and is headquartered in Miami, Florida.