Chipotle Mexican Grill, Inc. (NYSE:CMG) Receives Average Recommendation of "Moderate Buy" from Brokerages

Key Points

• Wall Street sentiment is positive on Chipotle Mexican Grill, with 35 brokerages giving the stock an average recommendation of “Moderate Buy.” The consensus 12-month target price is about $46.03, above the recent share price of $31.90.
• Chipotle’s latest quarterly results were roughly in line with expectations, as it reported $0.24 EPS and $3.09 billion in revenue, slightly topping estimates. Revenue rose 7.4% year over year, though same-store sales softness remains a concern in recent coverage.
• Institutional ownership is very high, with hedge funds and other institutional investors holding about 91.3% of the company’s shares. Several large investors, including Vanguard and Capital World Investors, increased their stakes recently.

Shares of Chipotle Mexican Grill, Inc. (NYSE:CMG - Get Free Report) have received an average recommendation of "Moderate Buy" from the thirty-five brokerages that are covering the firm, MarketBeat.com reports. One analyst has rated the stock with a sell recommendation, ten have assigned a hold recommendation and twenty-four have issued a buy recommendation on the company. The average 12 month target price among brokerages that have issued a report on the stock in the last year is $46.0323.

CMG has been the topic of a number of research analyst reports. Zacks Research upgraded shares of Chipotle Mexican Grill from a "strong sell" rating to a "hold" rating in a research note on Friday, April 17th. Stifel Nicolaus reissued a "buy" rating on shares of Chipotle Mexican Grill in a research report on Monday, March 9th. TD Cowen reissued a "buy" rating and set a $44.00 target price on shares of Chipotle Mexican Grill in a research report on Thursday, April 30th. Wells Fargo & Company decreased their target price on shares of Chipotle Mexican Grill from $50.00 to $45.00 and set an "overweight" rating for the company in a research report on Wednesday, February 4th. Finally, BNP Paribas Exane increased their target price on shares of Chipotle Mexican Grill from $37.00 to $39.00 and gave the company a "neutral" rating in a research report on Thursday, April 30th.

Chipotle Mexican Grill Price Performance

Shares of CMG stock opened at $31.90 on Friday. The company has a market capitalization of $40.92 billion, a P/E ratio of 29.27, a P/E/G ratio of 2.09 and a beta of 1.03. The company's 50-day simple moving average is $33.24 and its two-hundred day simple moving average is $35.26. Chipotle Mexican Grill has a one year low of $29.75 and a one year high of $58.42.

Chipotle Mexican Grill (NYSE:CMG - Get Free Report) last issued its earnings results on Wednesday, April 29th. The restaurant operator reported $0.24 EPS for the quarter, hitting analysts' consensus estimates of $0.24. The business had revenue of $3.09 billion for the quarter, compared to the consensus estimate of $3.07 billion. Chipotle Mexican Grill had a net margin of 11.96% and a return on equity of 49.64%. The company's revenue for the quarter was up 7.4% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.29 EPS. On average, research analysts expect that Chipotle Mexican Grill will post 1.13 EPS for the current fiscal year.

Institutional Investors Weigh In On Chipotle Mexican Grill

A number of hedge funds and other institutional investors have recently bought and sold shares of CMG. Capital World Investors raised its holdings in shares of Chipotle Mexican Grill by 122.7% in the third quarter. Capital World Investors now owns 87,844,788 shares of the restaurant operator's stock worth $3,442,645,000 after buying an additional 48,398,628 shares during the last quarter. Norges Bank purchased a new position in shares of Chipotle Mexican Grill in the fourth quarter worth $711,837,000. Vanguard Group Inc. raised its holdings in shares of Chipotle Mexican Grill by 14.8% in the fourth quarter. Vanguard Group Inc. now owns 144,588,220 shares of the restaurant operator's stock worth $5,349,764,000 after buying an additional 18,660,882 shares during the last quarter. Capital International Investors raised its holdings in shares of Chipotle Mexican Grill by 42.4% in the third quarter. Capital International Investors now owns 38,497,927 shares of the restaurant operator's stock worth $1,509,043,000 after buying an additional 11,471,658 shares during the last quarter. Finally, Clearbridge Investments LLC raised its holdings in shares of Chipotle Mexican Grill by 206.4% in the fourth quarter. Clearbridge Investments LLC now owns 14,062,158 shares of the restaurant operator's stock worth $520,300,000 after buying an additional 9,473,120 shares during the last quarter. Hedge funds and other institutional investors own 91.30% of the company's stock.

Trending Headlines about Chipotle Mexican Grill

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

• Positive Sentiment: Chipotle is trying to re-accelerate traffic with new marketing and loyalty initiatives, including the return of its “Summer of Extras” program with streak-based rewards and local rankings designed to boost engagement and repeat visits. CHIPOTLE'S "SUMMER OF EXTRAS" RETURNS, WITH STREAK-BASED REWARDS AND LOCAL RANKINGS TO GAMIFY THE REWARDS EXPERIENCE
• Positive Sentiment: Wall Street still appears broadly constructive on Chipotle despite recent underperformance, suggesting some analysts continue to see long-term upside in the brand and growth model. Chipotle Mexican Grill Stock: Is Wall Street Bullish or Bearish?
• Neutral Sentiment: Chipotle also drew attention for menu innovation, including a new trendy chicken item, as management looks for ways to support demand after softness in same-store sales. Chipotle's menu adds a trendy ingredient
• Neutral Sentiment: One article noted that Chipotle’s stock has fallen since its last earnings report and that investors are watching earnings revisions for clues on the next move, reflecting uncertainty rather than a new company-specific catalyst. Chipotle Mexican Grill (CMG) Stock Drops Despite Market Gains: Important Facts to Note
• Negative Sentiment: Recent coverage also highlighted Chipotle’s weaker same-store sales trend, including a 1.7% decline at the end of fiscal 2025, which has raised concerns about foot traffic and near-term growth. Chipotle's menu adds a trendy ingredient

About Chipotle Mexican Grill

Chipotle Mexican Grill is a fast-casual restaurant company known for its Mexican-inspired menu of burritos, bowls, tacos and salads. Founded in 1993 by Steve Ells, the chain emphasizes fresh, customizable meals made from a limited menu of core ingredients and a focus on ingredient quality. Chipotle operates primarily company-owned restaurants and offers dine-in, takeout, catering and delivery through its own digital platforms and third-party partners.

The company is headquartered in Newport Beach, California, and traces its roots to Denver, Colorado.

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