Chipotle Mexican Grill Stock – Worried On Long Put Position – Investor Questions

An investor posted his dilemma on the member’s forum with regards to his position in Chipotle Mexican Grill stock. Chipotle Mexican Grill Stock trades on New York under the symbol CMG.

CMG Stock is not a stock I trade nor follow. While investors definitely loved this stock at one time, it was in my opinion way overvalued. As well I have been to a few of their locations and to me, it was just another restaurant with okay food. I have never found the dining out experience at Chipotle Mexican Grill to be unique among the convenience restaurant industry.

Also I tend not to trade most stocks that are definitely being hyped heavily as Chipotle Mexican Grill stock was, particularly in 2013 to 2014. The stock also does not pay a dividend and fails to meet all my criteria for a stock I trade against.

That said, lots of investors did extremely well trading and investing in Chipotle Mexican Grill Stock. Let’s review his question and see if there are any possible answers.

Investor Questions

Hello and thanks for reading, I love your website. new member here. OK, so i need advice of CMG. made some money on Feb CMG puts, I bought the feb 400 put to open a week ago and sold at 400 2 days ago.

Then I purchased March $400 put today (Jan 14) at the first bump at 425 now we are at 453

what are your thoughts on this trade and CMG stock price in general.


Chipotle Mexican Grill Stock Decline

Perhaps Peter is a bit late to the decline in CMG Stock. The stock is already down 47% from October when it was trading for $757.00. Now holding the $400 puts for March expiry, perhaps a rescue is called for but is it too early to put one in place?

CMG Stock decline to Jan 22 2016

CMG Stock decline to Jan 22 2016

There are a number of easy strategies Peter might want to consider for his Chipotle Mexican Grill stock trade.

While this is not a stock I trade in, there are some strategies that work with almost every stock or ETF to repair it and get capital that is at risk safely brought back into the portfolio…..This strategy discussion article on Chipotle Mexican Grill Stock and long puts is for FullyInformed Members.

Investor Questions on Chipotle Mexican Grill Long Put Contracts

FullyInformed Members can read this latest strategy article on repairing a long put trade directly through this link or they can sign in to the full site here. Non-members can join here or read about the benefits of a membership.

Disclaimer: There are risks involved in all investment strategies and investors can and do lose capital. Trade at your own risk. Stocks, options and investing are risky and can result in considerable losses. None of the strategies, stocks or information discussed and presented are financial or trading advice or recommendations. Everything presented and discussed are the author’s own trade ideas and opinions which the author may or may not enter into. The author assumes no liability for topics, ideas, errors, omissions, content and external links and trades done or not done. The author may or may not enter the trades mentioned. Some positions in mentioned stocks may already be held or are being adjusted.


Internal Stock and Option Trades Links

Portfolio Listing by Years

My Principal Stocks Index

Trade Ideas for Members

Trade Alerts for Members

Put Selling Strategies

Put Selling Strategies For Members

Covered Calls Strategies

Covered Calls Strategies For Members

Profit And Income Strategies Index

Stock and Option Strategies For Members

Stock And Option Trades Explained For Members

Ask A Question About A Trade You Are In

Sign My Guestbook

Visit My Shop

Join The Free Options Forum