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Research Alert: CFRA Reiterates Strong Buy Opinion On Shares Of Chipotle Mexican Grill Inc
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Research Alert: CFRA Reiterates Strong Buy Opinion On Shares Of Chipotle Mexican Grill Inc
Jul 25, 2025 10:49 PM

10:40 AM EDT, 07/24/2025 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We lower our 12-month price target by $10 to $56, 46x our 2026 EPS estimate (from 50x our 2025 EPS view) versus its 50x five-year average, reflecting lower comparable sales growth than over the past five years. We still assign a premium relative to the industry for CMG's long-term growth and margin potential. We lower our 2025 EPS estimate to $1.21 from $1.31 and 2026's to $1.45 from $1.62. While we are lowering our near-term estimates to reflect cyclical consumer pressures, we believe the current environment offers a compelling entry point into a best-in-class growth story. We view the traffic slowdown as temporary, not a structural impairment of the business. Its powerful unit economics are intact, and it possesses a rare, multi-lever growth algorithm: mid-single-digit comps, ~10% annual unit growth, and margin expansion potential. This combination justifies its premium valuation, and we still see it as a business that can reliably grow its value year after year, warranting our Strong Buy rating.

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