Chipotle stock may be poised to fall: Barron's

NEW YORK (Reuters) - Chipotle Mexican Grill (CMG.N) are trading at an enormous multiple to earnings and may be overpriced, according to Barron's.

Chipotle Class A shares trade at 48 times projected earnings over the next four quarters, very high compared to the Standard & Poor's 500 and the overall restaurant industry, Barron's said in an article in its August 13 edition.

"The stock is priced for perfection in a very imperfect world," Morgan Keegan analyst Robert Derrington told Barron's.

Barron's also cited Yared Investment Research analyst Georges Yared as saying, "They have executed. They have grown. But earnings need to catch up to that stock price."

Shares of Chipotle closed Friday down 2.26 percent at $101.70 on the New York Stock Exchange.

(Reporting by Sarah Coffey)