Chipotle Mexican Grill, Inc. $CMG Shares Sold by Cozad Asset Management Inc.

Key Points

• Cozad Asset Management cut its Chipotle stake by 48.8% in the first quarter, selling 56,140 shares and retaining 58,969 shares valued at approximately $1.89 million.
• Chipotle’s second-quarter results modestly exceeded expectations, with adjusted EPS of $0.33 and revenue up 9.3% year over year to $3.35 billion. Comparable sales rose 2.2%, prompting management to raise its full-year comparable-sales outlook.
• Despite a consensus “Moderate Buy” rating and a $43.98 price target, investors remain cautious about late-July traffic softness linked to consumer concerns over a cyclospora outbreak and ongoing labor and operating-cost pressure on margins.

Cozad Asset Management Inc. lessened its stake in Chipotle Mexican Grill, Inc. (NYSE:CMG - Free Report) by 48.8% in the 1st quarter, according to its most recent filing with the SEC. The firm owned 58,969 shares of the restaurant operator's stock after selling 56,140 shares during the quarter. Cozad Asset Management Inc.'s holdings in Chipotle Mexican Grill were worth $1,888,000 as of its most recent filing with the SEC.

Other hedge funds and other institutional investors have also made changes to their positions in the company. Norges Bank purchased a new stake in shares of Chipotle Mexican Grill in the 4th quarter valued at approximately $711,837,000. Focus Partners Advisor Solutions LLC lifted its position in shares of Chipotle Mexican Grill by 156.9% during the 4th quarter. Focus Partners Advisor Solutions LLC now owns 58,269 shares of the restaurant operator's stock worth $2,156,000 after purchasing an additional 35,589 shares during the last quarter. Marsico Capital Management LLC lifted its position in shares of Chipotle Mexican Grill by 234.4% during the 4th quarter. Marsico Capital Management LLC now owns 380,677 shares of the restaurant operator's stock worth $14,085,000 after purchasing an additional 266,835 shares during the last quarter. BW Gestao de Investimentos Ltda. purchased a new stake in shares of Chipotle Mexican Grill during the 4th quarter worth $2,890,000. Finally, US Bancorp DE grew its stake in shares of Chipotle Mexican Grill by 33.4% during the fourth quarter. US Bancorp DE now owns 649,041 shares of the restaurant operator's stock worth $24,015,000 after purchasing an additional 162,392 shares in the last quarter. Hedge funds and other institutional investors own 91.30% of the company's stock.

More Chipotle Mexican Grill News

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

• Positive Sentiment: Chipotle reported second-quarter adjusted EPS of $0.33, slightly above the $0.32 consensus, while revenue rose 9.3% year over year to $3.35 billion, broadly ahead of expectations. Chipotle Mexican Grill Stock Rallies as Q2 Results Top Fears, Guidance Rises
• Positive Sentiment: Comparable restaurant sales increased 2.2%, supported by improving customer traffic, menu innovation, digital engagement and restaurant expansion. Management raised its full-year comparable-sales outlook, signaling confidence that momentum is continuing. Chipotle shares rise on quarterly earnings beat, raised outlook
• Positive Sentiment: Analysts remained constructive following the results. DA Davidson raised its price target to $50 and maintained a Buy rating, while BTIG, TD Cowen and Mizuho also retained positive recommendations; Mizuho lifted its target to $43.
• Neutral Sentiment: Unusually heavy call-option activity and multiple price-target revisions indicate heightened investor interest, but these signals can also contribute to short-term volatility rather than establish a lasting trend.
• Negative Sentiment: Management said sales softened late in July amid consumer concerns about a cyclospora outbreak, although Chipotle stated it was not involved in the outbreak. The traffic disruption has raised questions about the durability of the recovery. Chipotle lifts its sales forecast even as a lettuce-linked outbreak slows foot traffic
• Negative Sentiment: Investors also remain concerned about labor and other operating costs pressuring margins. Piper Sandler lowered its target to $39 and Morgan Stanley and Stephens kept more cautious equal-weight ratings, limiting the stock’s upside after its sharp earnings-related advance.

Chipotle Mexican Grill Trading Up 0.2%

Shares of Chipotle Mexican Grill stock opened at $37.31 on Monday. The company has a fifty day simple moving average of $32.85 and a 200-day simple moving average of $34.58. The stock has a market cap of $47.86 billion, a price-to-earnings ratio of 34.23, a PEG ratio of 2.39 and a beta of 0.94. Chipotle Mexican Grill, Inc. has a 12-month low of $28.03 and a 12-month high of $44.27.

Chipotle Mexican Grill (NYSE:CMG - Get Free Report) last announced its quarterly earnings results on Wednesday, July 29th. The restaurant operator reported $0.33 EPS for the quarter, topping the consensus estimate of $0.32 by $0.01. Chipotle Mexican Grill had a net margin of 11.43% and a return on equity of 54.65%. The firm had revenue of $3.35 billion for the quarter, compared to analyst estimates of $3.33 billion. During the same period last year, the business earned $0.33 EPS. Chipotle Mexican Grill's revenue for the quarter was up 9.3% compared to the same quarter last year. On average, analysts forecast that Chipotle Mexican Grill, Inc. will post 1.14 earnings per share for the current fiscal year.

Wall Street Analysts Forecast Growth

Several equities analysts recently commented on CMG shares. Zacks Research raised Chipotle Mexican Grill from a "strong sell" rating to a "hold" rating in a report on Friday, April 17th. Sanford C. Bernstein reaffirmed an "outperform" rating on shares of Chipotle Mexican Grill in a report on Friday. Raymond James Financial reaffirmed an "outperform" rating and set a $42.50 price objective on shares of Chipotle Mexican Grill in a research report on Thursday. Barclays dropped their price objective on Chipotle Mexican Grill from $40.00 to $38.00 and set an "equal weight" rating on the stock in a report on Thursday, April 30th. Finally, JPMorgan Chase & Co. raised Chipotle Mexican Grill from a "neutral" rating to an "overweight" rating and cut their target price for the stock from $38.00 to $35.00 in a research report on Friday, June 5th. Twenty-four research analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the company has a consensus rating of "Moderate Buy" and a consensus price target of $43.98.

Chipotle Mexican Grill Company Profile

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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