Morgan Stanley Cuts Chipotle Mexican Grill (NYSE:CMG) Price Target to $59.00

Key Points

• Morgan Stanley has lowered its price target for Chipotle Mexican Grill from $65.00 to $59.00, maintaining an "overweight" rating on the stock which suggests a potential upside of 40.21% from current levels.
• Other analysts have also adjusted their targets, with Evercore ISI reducing theirs to $53.00 and Robert W. Baird to $49.00, while the average target price among analysts is $57.86.
• Chipotle Mexican Grill's stock has shown a 1-year high of $66.74 and a low of $38.30, with a market capitalization of $56.42 billion.

Chipotle Mexican Grill (NYSE:CMG - Get Free Report) had its target price decreased by stock analysts at Morgan Stanley from $65.00 to $59.00 in a note issued to investors on Wednesday,Benzinga reports. The brokerage presently has an "overweight" rating on the restaurant operator's stock. Morgan Stanley's target price suggests a potential upside of 40.21% from the stock's current price.

Other analysts have also issued reports about the stock. Evercore ISI dropped their target price on Chipotle Mexican Grill from $57.00 to $53.00 and set an "outperform" rating for the company in a report on Tuesday, October 7th. Robert W. Baird reduced their price target on shares of Chipotle Mexican Grill from $59.00 to $49.00 and set an "outperform" rating for the company in a research report on Friday, October 10th. Weiss Ratings reiterated a "hold (c)" rating on shares of Chipotle Mexican Grill in a research report on Wednesday, October 8th. TD Securities reaffirmed a "buy" rating and issued a $57.00 price target on shares of Chipotle Mexican Grill in a report on Wednesday, June 18th. Finally, BTIG Research restated a "buy" rating and issued a $57.00 target price on shares of Chipotle Mexican Grill in a research note on Friday, September 5th. Two research analysts have rated the stock with a Strong Buy rating, twenty-one have issued a Buy rating and nine have issued a Hold rating to the stock. According to MarketBeat, the stock has an average rating of "Moderate Buy" and an average target price of $57.86.

Chipotle Mexican Grill Price Performance

CMG opened at $42.08 on Wednesday. The business has a fifty day simple moving average of $41.14 and a 200 day simple moving average of $47.51. Chipotle Mexican Grill has a 1 year low of $38.30 and a 1 year high of $66.74. The company has a market capitalization of $56.42 billion, a PE ratio of 37.57, a price-to-earnings-growth ratio of 2.46 and a beta of 0.99.

Chipotle Mexican Grill (NYSE:CMG - Get Free Report) last announced its earnings results on Wednesday, July 23rd. The restaurant operator reported $0.33 earnings per share for the quarter, topping analysts' consensus estimates of $0.32 by $0.01. The business had revenue of $3.06 billion during the quarter, compared to the consensus estimate of $3.11 billion. Chipotle Mexican Grill had a net margin of 13.32% and a return on equity of 43.50%. Chipotle Mexican Grill's quarterly revenue was up 3.0% on a year-over-year basis. During the same quarter last year, the firm earned $0.34 earnings per share. Equities analysts anticipate that Chipotle Mexican Grill will post 1.29 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Chipotle Mexican Grill

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Charles Schwab Investment Management Inc. lifted its holdings in shares of Chipotle Mexican Grill by 5.8% in the 1st quarter. Charles Schwab Investment Management Inc. now owns 8,979,637 shares of the restaurant operator's stock valued at $450,868,000 after purchasing an additional 491,002 shares during the last quarter. Corient IA LLC purchased a new stake in Chipotle Mexican Grill in the 1st quarter worth approximately $753,000. Advisors Asset Management Inc. grew its holdings in Chipotle Mexican Grill by 32.4% in the first quarter. Advisors Asset Management Inc. now owns 75,368 shares of the restaurant operator's stock valued at $3,784,000 after purchasing an additional 18,458 shares during the period. Hilltop National Bank acquired a new position in Chipotle Mexican Grill in the second quarter valued at $2,579,000. Finally, Banco Santander S.A. boosted its holdings in Chipotle Mexican Grill by 47.6% in the first quarter. Banco Santander S.A. now owns 31,764 shares of the restaurant operator's stock valued at $1,595,000 after acquiring an additional 10,246 shares during the last quarter. Hedge funds and other institutional investors own 91.30% of the company's stock.

Chipotle Mexican Grill Company Profile

Chipotle Mexican Grill, Inc, together with its subsidiaries, owns and operates Chipotle Mexican Grill restaurants. It sells food and beverages through offering burritos, burrito bowls, quesadillas, tacos, and salads. The company also provides delivery and related services its app and website. It has operations in the United States, Canada, France, Germany, and the United Kingdom.

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