Diamonds and Dogs
Chipotle Mexican Grill (CMG)
Chipotle, one of the most popular Mexican chains in the country, is up 8% today after releasing its earnings report after yesterday's close. The company earned $4.45 EPS on $1.2 billion in revenue, which was about in-line with analyst expectations. Even though these results were not mind-blowing, the Mexican grill projects rising sales during the year. This comes as a relief to long investors, as the company was projected to struggle with sales growth, causing a dip in the stock price. Now, investors are watching carefully to see if management can keep Chipotle in strong financial standing.
Xoma Corporation (XOMA)
Xoma Corporation's share price plummeted 80% today to a new 52-week low of .85. In its 34 years of existence, the biotech company has never developed an approved drug on its own, and those woes continued today after another failure during a late-stage trial. It looks like a disappointing road is ahead of Xoma, and investors are beginning to wonder how the company is still operating with such little success. Even though management is "determined to see Xoma succeed," the future does not look bright.