Chipotle's board of directors approved a 50-for-1 split of its common stock, following a similar move by Walmart earlier this year.
"This is the first stock split in Chipotle's 30-year history, and we believe this will make our stock more accessible to employees as well as a broader range of investors," CFO Jack Hartung said. The stock is currently trading above $2,966 per share.
If the split, which is one of the largest in New York Stock Exchange history, is approved by shareholders in June, a single share will trade around $58 based on Wednesday's range. The stock has gained over 71% during the last 12 months, beating the S&P 500's 29% rise.
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The announcement comes at a time when the company's stock is sitting at an all-time high due, in part, from "record revenues, profits, and growth," according to Hartung. Shareholders of record as of June 18 will receive the additional shares after the market closes on June 25.
The burrito maker also announced that it's offering a one-time equity grant for all restaurant general managers as well as crew members who have worked for more than 20 years.
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CEO Brian Niccol said the grant is an "additional incentive to continue delivering outstanding results and share in the financial success of our Company."
The move comes after Walmart split its shares 3-for-1 in February so more employees could be shareholders. CEO Doug McMillon said it follows the mission of the retailer's founder.
"Sam Walton believed it was important to keep our share price in a range where purchasing whole shares, rather than fractions, was accessible to all of our associates," McMillon wrote.
In total, more than 400,000 of its employees currently participate in the company's Walmart’s Associate Stock Purchase Plan, which gives them the ability to buy stock through payroll deductions.
It also provides a 15% company match on the first $1,800 each year, according to Walmart.
