Chipotle Mexican Grill (NYSE:CMG) Price Target Cut to $41.00 by Analysts at Citigroup

Key Points

• Citigroup lowered Chipotle’s price target to $41 from $43 but maintained a “buy” rating, implying approximately 30.7% upside from the reported $31.37 share price.
• Analyst sentiment remains generally positive, with 27 buy ratings and 10 holds; the consensus rating is “Moderate Buy” with an average price target of $42.47.
• Chipotle’s latest quarterly revenue reached $3.29 billion, up 9.6% year over year, but earnings of $0.27 per share missed estimates by $0.02 as higher operating and food costs pressured profitability.

Chipotle Mexican Grill (NYSE:CMG - Get Free Report) had its price target decreased by investment analysts at Citigroup from $43.00 to $41.00 in a research note issued on Thursday, Benzinga reports. The firm presently has a "buy" rating on the restaurant operator's stock. Citigroup's target price would indicate a potential upside of 30.70% from the company's current price.

Several other brokerages also recently commented on CMG. JPMorgan Chase & Co. reduced their price objective on shares of Chipotle Mexican Grill from $40.00 to $37.00 and set an "overweight" rating for the company in a research report on Tuesday, September 29th. Gordon Haskett dropped their price objective on shares of Chipotle Mexican Grill from $42.00 to $36.00 and set a "hold" rating on the stock in a research note on Monday, October 19th. Wells Fargo & Company decreased their target price on shares of Chipotle Mexican Grill from $45.00 to $40.00 and set an "overweight" rating for the company in a research report on Wednesday, October 21st. Telsey Advisory Group set a $40.00 target price on shares of Chipotle Mexican Grill in a report on Thursday. Finally, Guggenheim reiterated a "neutral" rating and set a $32.00 price target (down from $36.00) on shares of Chipotle Mexican Grill in a research note on Thursday. Twenty-seven analysts have rated the stock with a Buy rating and ten have assigned a Hold rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $42.47.

Chipotle Mexican Grill Price Performance

CMG stock traded up $2.64 during midday trading on Thursday, reaching $31.37. 29,490,389 shares of the stock were exchanged, compared to its average volume of 18,015,842. The stock has a market capitalization of $39.69 billion, a PE ratio of 28.86, a P/E/G ratio of 1.67 and a beta of 0.96. Chipotle Mexican Grill has a 52 week low of $27.31 and a 52 week high of $41.42. The company has a fifty day moving average price of $33.20 and a 200 day moving average price of $34.21.

Chipotle Mexican Grill (NYSE:CMG - Get Free Report) last issued its quarterly earnings data on Wednesday, October 28th. The restaurant operator reported $0.27 earnings per share for the quarter, missing the consensus estimate of $0.29 by ($0.02). The business had revenue of $3.29 billion during the quarter, compared to the consensus estimate of $3.29 billion. Chipotle Mexican Grill had a return on equity of 54.65% and a net margin of 11.43%. The business's revenue for the quarter was up 9.6% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.29 EPS. As a group, analysts anticipate that Chipotle Mexican Grill will post 1.14 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, insider Matthew R. Bush sold 2,675 shares of the business's stock in a transaction that occurred on Friday, August 21st. The shares were sold at an average price of $35.75, for a total transaction of $95,631.25. Following the completion of the transaction, the insider directly owned 21,415 shares of the company's stock, valued at $765,586.25. The trade was a 11.10% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Insiders own 0.45% of the company's stock.

Hedge Funds Weigh In On Chipotle Mexican Grill

Large investors have recently made changes to their positions in the business. Greenleaf Trust grew its stake in shares of Chipotle Mexican Grill by 3.4% in the third quarter. Greenleaf Trust now owns 19,573 shares of the restaurant operator's stock worth $625,000 after acquiring an additional 646 shares during the last quarter. Nippon Life Global Investors Americas Inc. increased its holdings in Chipotle Mexican Grill by 754.6% during the third quarter. Nippon Life Global Investors Americas Inc. now owns 360,320 shares of the restaurant operator's stock worth $11,512,000 after buying an additional 318,160 shares during the last quarter. Mirae Asset Global Investments Co. Ltd. bought a new stake in Chipotle Mexican Grill in the 3rd quarter valued at $10,854,000. Invera Wealth Advisors LLC boosted its position in shares of Chipotle Mexican Grill by 10.9% during the 3rd quarter. Invera Wealth Advisors LLC now owns 36,355 shares of the restaurant operator's stock worth $1,162,000 after acquiring an additional 3,586 shares in the last quarter. Finally, MGO One Seven LLC increased its position in Chipotle Mexican Grill by 8.7% in the 3rd quarter. MGO One Seven LLC now owns 53,760 shares of the restaurant operator's stock valued at $1,718,000 after acquiring an additional 4,296 shares during the period. 91.30% of the stock is currently owned by hedge funds and other institutional investors.

More Chipotle Mexican Grill News

Here are the key news stories impacting Chipotle Mexican Grill this week:

• Positive Sentiment: Comparable sales and traffic improved. Third-quarter comparable restaurant sales rose 2.1%, marking a third consecutive quarter of positive transaction growth. Value promotions and limited-time menu offerings helped attract customers, providing investors with a cleaner read on demand. Chipotle beats quarterly sales expectations on resilient demand
• Positive Sentiment: Revenue exceeded expectations and the growth pipeline remains solid. Revenue increased 9.6% year over year to $3.29 billion, supported by new restaurant openings and higher comparable sales. Chipotle opened 84 company-owned restaurants during the quarter, while its loyalty program surpassed 24 million members. Management also highlighted plans to accelerate technology and menu innovation in 2027. Chipotle Announces Third Quarter 2026 Results
• Positive Sentiment: Analyst support remains substantial. DA Davidson, BTIG Research and Oppenheimer reaffirmed positive ratings, with price targets of $45, $45 and $51, respectively. Investors are also watching the fourth-quarter brisket launch as a potential catalyst for additional traffic and sales. Chipotle: 3 Key Takeaways for Long-Term Investors
• Neutral Sentiment: Analyst views are mixed. Stephens and TD Cowen maintained equal-weight and hold ratings, while BNP Paribas Exane downgraded the stock to neutral and reduced its price target to $36 from $39. Bernstein also lowered its target to $43 from $50. These actions suggest expectations have improved but remain restrained.
• Negative Sentiment: Profitability remains a concern. Adjusted earnings of $0.27 per share missed the $0.29 consensus estimate and declined from the prior-year period. Higher operating costs, rising beef prices and increased protein usage pressured margins, limiting the market’s reaction to the sales gains. Chipotle Q3 Earnings Miss Estimates, Revenues Top, Stock Up

Chipotle Mexican Grill Company Profile

Chipotle Mexican Grill, Inc NYSE: CMG operates a chain of fast-casual restaurants focused on Mexican-inspired food. Its menu includes burritos, burrito bowls, tacos, quesadillas and salads, with options such as chicken, steak, barbacoa, carnitas, sofritas and vegetables. The company emphasizes preparing food in its restaurants from ingredients it describes as responsibly sourced, including meats raised with attention to animal welfare and produce from selected suppliers.

Founded by Steve Ells in 1993, Chipotle opened its first restaurant in Denver, Colorado.

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