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This Article is From Apr 23, 2017

Billion-Dollar Burrito Defies Valuation Logic and Shorts: Chart

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(Bloomberg) -- Chipotle Mexican Grill Inc.'s market capitalization of nearly $14 billion almost matches the total value of four of its peers combined. The Mexican-food mammoth is being treated like it's an Amazon.com Inc., Tesla Inc., Apple Inc. or Alphabet Inc.'s Google, when in fact all it does is make burritos, Standpoint Research founder Ronnie Moas wrote in a note, recommending shorting the stock. Chipotle has risen more than 2,000 percent since its 2006 IPO and short interest has halved from a six-year high in November.

--With assistance from Matt Turner

To contact the reporter on this story: Sebastian Silva in New York at ssilva43@bloomberg.net.

To contact the editors responsible for this story: Arie Shapira at ashapira3@bloomberg.net, Morwenna Coniam, Richard Richtmyer

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