Chipotle Mexican Grill is executing multiple initiatives—menu innovation, digital upgrades, and catering expansion—to drive sales and margin recovery amid a challenging macro backdrop. CMG's HEAP rollout, increased limited-time offerings, and loyalty program relaunch are expected to accelerate revenue and productivity, with meaningful impact anticipated in FY26 and beyond. The stock trades at a significant discount to historical valuation multiples, reflecting near-term headwinds but offering compelling medium- to long-term upside as turnaround efforts gain traction.
Chipotle Mexican Grill (CMG) closed the most recent trading day at $34.87, moving +2.74% from the previous trading session.
CAVA Group (NYSE: CAVA) and Chipotle Mexican Grill (NYSE: CMG) both reported Q3 2025 earnings in late October and early November.
Chipotle's stock has fallen sharply—down 19% since my last article and 44% year-to-date—despite continued revenue and earnings growth. CPG plans 330 new restaurants in FY2025 and 360 in FY2026, supporting long-term top-line expansion even as comparable sales and margins soften. Valuation remains high at 29x earnings, but Chipotle continues to outperform peers in revenue, profit growth, and margins, suggesting premium pricing may be justified.
Chipotle Mexican Grill offers a compelling long-term Buy opportunity after a valuation reset driven by temporary macro headwinds and traffic declines. CMG's best-in-class operating margins remain intact, supporting premium valuation despite recent comparable sales stagnation and guidance cuts. Unit expansion plans (350-370 new stores in 2026) provide a strong revenue floor, mitigating comp volatility as macro conditions stabilize.
CMG reshapes its pricing playbook, leaning on slower, phased increases as inflation builds and value protection takes center stage.
Chipotle faced a challenging 16 months, marked by a PR crisis, CEO transition, and lagging same-store growth. CMG's recent results show deteriorating margins and weak comparable sales, with 2025 guidance now expecting a decline. Management is increasing marketing and menu innovation but resists value meal discounts, aiming to preserve brand positioning.
Chipotle (CMG) has been one of the stocks most watched by Zacks.com users lately. So, it is worth exploring what lies ahead for the stock.
Investors often turn to recommendations made by Wall Street analysts before making a Buy, Sell, or Hold decision about a stock. While media reports about rating changes by these brokerage-firm employed (or sell-side) analysts often affect a stock's price, do they really matter?
Recently, Zacks.com users have been paying close attention to Chipotle (CMG). This makes it worthwhile to examine what the stock has in store.
Chipotle Mexican Grill Inc. (NYSE: CMG) cut its full-year forecast for same-store sales during its third-quarter earnings report, citing changes in consumer spending.
Chipotle Mexican Grill (NYSE: CMG) has decreased by 49% year-to-date—and a significant portion of this decline has occurred recently, with the stock dropping 27% in just the past month. This selloff signifies dwindling traffic, concerns over persistent margin pressure due to rising labor and food costs, and a wider shift away from premium consumer brands.