Clearbridge Investments LLC Raises Stock Holdings in Chipotle Mexican Grill, Inc. $CMG

Key Points

• Clearbridge Investments sharply increased its Chipotle stake, boosting holdings by 206.4% in the fourth quarter to 14.1 million shares, worth about $520.3 million.
• Several analysts remain constructive on CMG despite mixed target changes, with Citigroup raising its target to $46 and the stock carrying a consensus Moderate Buy rating.
• Chipotle recently reported Q1 earnings of $0.24 per share, matching estimates, while revenue came in at $3.09 billion, up 7.4% year over year.

Clearbridge Investments LLC boosted its holdings in Chipotle Mexican Grill, Inc. (NYSE:CMG - Free Report) by 206.4% in the fourth quarter, according to the company in its most recent 13F filing with the SEC. The fund owned 14,062,158 shares of the restaurant operator's stock after buying an additional 9,473,120 shares during the quarter. Clearbridge Investments LLC owned 1.08% of Chipotle Mexican Grill worth $520,300,000 at the end of the most recent quarter.

A number of other hedge funds have also bought and sold shares of CMG. Financial Life Planners purchased a new position in Chipotle Mexican Grill in the 3rd quarter worth about $25,000. Wealth Watch Advisors INC purchased a new position in Chipotle Mexican Grill in the 3rd quarter worth about $25,000. Murphy & Mullick Capital Management Corp raised its position in Chipotle Mexican Grill by 106.7% in the 3rd quarter. Murphy & Mullick Capital Management Corp now owns 775 shares of the restaurant operator's stock worth $30,000 after buying an additional 400 shares during the last quarter. Winthrop Capital Management LLC purchased a new position in Chipotle Mexican Grill in the 3rd quarter worth about $31,000. Finally, Ameriflex Group Inc. raised its position in Chipotle Mexican Grill by 109.4% in the 3rd quarter. Ameriflex Group Inc. now owns 890 shares of the restaurant operator's stock worth $35,000 after buying an additional 465 shares during the last quarter. Hedge funds and other institutional investors own 91.30% of the company's stock.

Key Stories Impacting Chipotle Mexican Grill

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

• Positive Sentiment: JPMorgan upgraded Chipotle Mexican Grill (CMG) to overweight and assigned a $35 price target, signaling meaningful upside from recent levels. Benzinga
• Positive Sentiment: Chipotle’s refreshed Rewards program is showing growth, with loyalty now making up 32% of sales and enrollments rising 25%, which could support traffic and repeat purchases. Can Chipotle Convert Rewards Growth Into Stronger Traffic?
• Positive Sentiment: Several recent articles argue Chipotle’s weakness may reflect a cyclical trough rather than a structural decline, with some analysts seeing recovery potential from current price levels. Chipotle: The Trough Is Not The Trend
• Neutral Sentiment: Chipotle also ran a marketing promotion tied to NBA milestones, offering free entrees, which may help engagement but is not a major fundamental driver. Chipotle nods to NBA milestones to dole out 53K free entrees
• Neutral Sentiment: One article noted that CMG had fallen the prior day despite broader market gains, underscoring recent volatility rather than a new company-specific problem. Chipotle Mexican Grill (CMG) Stock Drops Despite Market Gains: Important Facts to Note

Analyst Ratings Changes

Several equities research analysts have recently commented on CMG shares. Raymond James Financial reduced their price target on shares of Chipotle Mexican Grill from $43.00 to $41.00 and set an "outperform" rating for the company in a research report on Tuesday, April 21st. Stephens upped their price target on shares of Chipotle Mexican Grill from $38.00 to $39.00 and gave the company an "equal weight" rating in a research report on Thursday, April 30th. Citigroup upped their price target on shares of Chipotle Mexican Grill from $44.00 to $46.00 and gave the company a "buy" rating in a research report on Thursday, April 30th. Piper Sandler reduced their price target on shares of Chipotle Mexican Grill from $44.00 to $42.00 and set an "overweight" rating for the company in a research report on Thursday, April 30th. Finally, Barclays reduced their price target on shares of Chipotle Mexican Grill from $40.00 to $38.00 and set an "equal weight" rating for the company in a research report on Thursday, April 30th. Twenty-four investment analysts have rated the stock with a Buy rating, ten have issued a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average target price of $45.48.

Chipotle Mexican Grill Trading Up 4.3%

Shares of NYSE:CMG opened at $29.39 on Friday. The stock has a 50 day moving average of $32.86 and a 200 day moving average of $35.20. The company has a market cap of $37.70 billion, a PE ratio of 26.97, a price-to-earnings-growth ratio of 1.89 and a beta of 0.99. Chipotle Mexican Grill, Inc. has a 12-month low of $28.03 and a 12-month high of $58.42.

Chipotle Mexican Grill (NYSE:CMG - Get Free Report) last announced its quarterly earnings data on Wednesday, April 29th. The restaurant operator reported $0.24 earnings per share (EPS) for the quarter, meeting analysts' consensus estimates of $0.24. The company had revenue of $3.09 billion during the quarter, compared to the consensus estimate of $3.07 billion. Chipotle Mexican Grill had a return on equity of 49.64% and a net margin of 11.96%.The firm's revenue was up 7.4% on a year-over-year basis. During the same period in the previous year, the company posted $0.29 EPS. Equities research analysts predict that Chipotle Mexican Grill, Inc. will post 1.13 earnings per share for the current fiscal year.

Chipotle Mexican Grill 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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