So Jim Cramer gets on the CNBC with his buddy old pal Herb Greenberg to talk about Chipotle’s stock, which is soaring. But Cramer says Chipotle is moving higher way too fast. And the new Asian themed restaurant that Chipotle is starting doesn’t mean their stock price should surge so much so fast. What does the stock do? It drops nearly nearly 10 points just like that. Going from around $346 to $337 in a flash.
Below is a one day chart for Chipotle, Cramer got on air and said it was up too much towards the end of the graph, where you see the sudden drop:
Here’s the full Cramer versus Greenberg debate from CNBC:
Chipotle is another one of those monster growth/momentum stocks, a favorite high flyer that hedge funds buy, which was trading around $40 a share just a few years ago and now is over $330 a share. Chipotle, stock ticker CMG, is of course the company that McDonald’s invested in early on. That was the sign to get in the stock. Now, yes, Cramer is probably right, the stock has made quite a run. Time to take some off. What do you think?