Chipotle Mexican Grill shares have dropped 50% from their highs, presenting a rare buying opportunity for long-term investors. CMG faces challenges like slowing same-store sales, rising food costs, and macroeconomic headwinds but maintains a strong balance sheet and active share buybacks. Key growth drivers include aggressive U.S. store expansion, successful Chipotlanes, and promising international franchising initiatives.
With a big week of earnings just wrapped up, stock pickers might be feeling a bit of pain, even though the Nasdaq 100 is still just a hair shy of its all-time highs.
The chain's sales slide as younger Americans feel the economic pinch from rising student-loan payments, stagnant wage growth and rising health-insurance costs.
Shares of Chipotle Mexican Grill (NYSE: CMG) collapsed over 20% on growing concerns about affordability and signs of a weakened US consumer.
Chipotle Mexican Grill's NYSE: CMG market finally capitulated. It took more than a year, including the departure of CEO Brian Niccol, a stock split, and sluggish comp store sales, for it to happen, but it did.
CEO Scott Boatwright warned the chain is struggling to hold onto its customers amid "persistent macroeconomic pressures.”
CMG's third-quarter earnings beat forecasts, but revenues fall short, with shares plunging as weak traffic and margin pressures have clouded its outlook.
The return of carne asada may not be enough to lure a crucial group of customers to Chipotle.
Chipotle's stock tumbled after the company cut its full-year forecast for same-store sales. At least five Wall Street analysts have cut their price targets for shares of the chain after it reported third-quarter earnings.
Chipotle Mexican Grill Inc (NYSE:CMG) shares plunged about 17% on Thursday morning after the fast casual restaurant chain posted disappointing results for Q3 and downwardly revised its full year guidance. During the September quarter, same-store sales grew 0.3% from the year-ago quarter, below the 1% expected by Wall Street analysts.
Chipotle said younger and lower-earning customers are patronizing its restaurants less than they used to. CEO Scott Boatwright said they're bogged down by unemployment, student loans, and slow wage growth.
Chipotle Mexican Grill, Inc. ( CMG ) Q3 2025 Earnings Call October 29, 2025 4:30 PM EDT Company Participants Cynthia Olsen - Head of Investor Relations & Strategy Scott Boatwright - CEO & Director Adam Rymer - Chief Financial Officer Conference Call Participants Zachary Ogden - TD Cowen, Research Division Lauren Silberman - Deutsche Bank AG, Research Division Sharon Zackfia - William Blair & Company L.L.C., Research Division Danilo Gargiulo - Sanford C.