Jim Cramer reacts to Chipotle big earnings beat: 'Chipotle delivered'

Chipotle shares managed to pop double digits Wednesday due to the restaurant chain’s tradition, CNBC’s Jim Cramer mentioned.

“This company has an extraordinary culture of customer-centric innovation, and that culture has been turbocharged since they hired Brian Nicoll as CEO when Chipotle’s stock was languishing the $200s after a series of health scares,” the “Mad Money” host mentioned.

The feedback come after the inventory closed at $1,755.99, leaping greater than 11% after Chipotle reported a big earnings beat within the second quarter on revenues that topped pre-pandemic ranges.

The surge got here alongside positive aspects in main U.S. inventory averages as Wall Street continued to bounce again from a big plunge on Monday.

Cramer highlighted how the corporate embraced know-how to increase digital ordering, leaned on meals supply and capitalized on their modernized drive-thru lanes known as “Chipotlane” amid Covid-19 lockdowns to maintain the enterprise.

“We always hear about these executives who say a crisis is a terrible thing to waste. Most of the time they’re just blowing smoke. Not Chipotle. Chipotle delivered,” Cramer mentioned.

“The most important thing is that, unlike nearly every company I follow, Chipotle held on to its digital gains after the great re-opening.”

Chipotle posted $1.89 billion of income final quarter, up almost 39% from a yr in the past and about 32% increased than the identical quarter in 2019.

The firm additionally doubled its second-quarter revenue from 2019, reporting $188 million on the underside line in contrast to $91 million two years in the past.

Shares of Chipotle are up greater than 26% after setting a report shut.

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