Morgan Stanley Issues Pessimistic Forecast for Chipotle Mexican Grill (NYSE:CMG) Stock Price

Chipotle Mexican Grill (NYSE:CMG) had its price target cut by stock analysts at Morgan Stanley from $50.00 to $49.00 in a research report issued on Wednesday,Benzinga reports. The firm presently has an “overweight” rating on the restaurant operator’s stock. Morgan Stanley’s target price would suggest a potential upside of 27.51% from the stock’s previous close.

A number of other equities research analysts also recently weighed in on CMG. Jefferies Financial Group lowered their price target on Chipotle Mexican Grill from $48.00 to $44.00 and set a “hold” rating on the stock in a research report on Monday, October 13th. Stifel Nicolaus decreased their price objective on Chipotle Mexican Grill from $50.00 to $45.00 and set a “buy” rating on the stock in a report on Wednesday. Mizuho lowered their price objective on shares of Chipotle Mexican Grill from $38.00 to $37.00 and set a “neutral” rating for the company in a report on Wednesday. Royal Bank Of Canada cut their price objective on shares of Chipotle Mexican Grill from $58.00 to $40.00 and set an “outperform” rating for the company in a research note on Thursday, October 30th. Finally, The Goldman Sachs Group reiterated a “buy” rating on shares of Chipotle Mexican Grill in a research report on Thursday, December 18th. One research analyst has rated the stock with a Strong Buy rating, twenty-two have assigned a Buy rating and thirteen have given a Hold rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average target price of $47.50.

Chipotle Mexican Grill Trading Down 3.8%

Shares of CMG opened at $38.43 on Wednesday. The stock has a 50-day moving average price of $37.70 and a 200-day moving average price of $38.98. The company has a market cap of $50.81 billion, a PE ratio of 33.71, a price-to-earnings-growth ratio of 2.77 and a beta of 0.99. Chipotle Mexican Grill has a 12-month low of $29.75 and a 12-month high of $59.09.

Chipotle Mexican Grill (NYSE:CMG) last released its quarterly earnings results on Tuesday, February 3rd. The restaurant operator reported $0.25 EPS for the quarter, topping analysts’ consensus estimates of $0.24 by $0.01. The business had revenue of $2.98 billion during the quarter, compared to analysts’ expectations of $2.96 billion. Chipotle Mexican Grill had a net margin of 12.88% and a return on equity of 47.99%. The business’s quarterly revenue was up 4.9% compared to the same quarter last year. During the same quarter in the previous year, the company earned $0.25 EPS. As a group, analysts predict that Chipotle Mexican Grill will post 1.29 earnings per share for the current year.

Institutional Investors Weigh In On Chipotle Mexican Grill

Several institutional investors and hedge funds have recently bought and sold shares of CMG. Operose Advisors LLC purchased a new position in shares of Chipotle Mexican Grill during the second quarter valued at approximately $25,000. Financial Life Planners purchased a new position in Chipotle Mexican Grill during the 3rd quarter valued at $25,000. Wealth Watch Advisors INC bought a new position in Chipotle Mexican Grill in the 3rd quarter worth $25,000. Salomon & Ludwin LLC purchased a new stake in shares of Chipotle Mexican Grill in the 3rd quarter worth about $26,000. Finally, Lavaca Capital LLC bought a new stake in shares of Chipotle Mexican Grill during the 2nd quarter valued at about $28,000. 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: Q4 beat on the top and bottom lines: Chipotle reported $0.25 EPS vs. $0.24 consensus and $2.98B revenue (vs. ~$2.96B est.), showing marginal outperformance and preserved profitability despite traffic weakness. Chipotle Q4 Earnings & Revenues Surpass Estimates
• Positive Sentiment: Some analysts remain constructive — Citigroup raised its price target to $49 (buy) and several firms kept buy/overweight ratings — signaling upside if execution improves. Analyst Price Target Moves (Benzinga)
• Positive Sentiment: Long‑term bull case: commentary from MarketBeat/Forbes/others highlights management’s 2026 playbook — heavier investment in tech, menu/back‑of‑house, accelerated new stores and international expansion — which could drive outsized upside over multiple years if traffic recovers. Is Chipotle’s 2026 Playbook the Secret Sauce for a Reversal?
• Neutral Sentiment: Valuation pieces and comparisons (e.g., BJ’s Restaurants vs. Chipotle) debate whether CMG is a value pick now — the stock trades at a lower multiple than recent highs, making it a case‑by‑case value proposition for investors. BJRI or CMG: Which Is the Better Value Stock Right Now?
• Neutral Sentiment: Influential voices (e.g., Jim Cramer) are publicly defending the name, which can temper downside if sentiment swings positive, but these views aren’t a substitute for concrete sales/traffic improvement. Jim Cramer on Chipotle
• Negative Sentiment: Weak 2026 guidance: management forecast flat comparable sales and noted continued declines in restaurant traffic (comp sales down ~2.5% in Q4), which is the primary driver of today’s weakness — cautious guidance increases execution risk and compresses near‑term multiple. Chipotle forecasts weak annual sales, margin pressure
• Negative Sentiment: Broad analyst pullback on near‑term outlook: multiple firms lowered price targets (Wells Fargo, Piper Sandler, KeyCorp, Barclays, Mizuho, Stifel, Telsey, etc.), reflecting trimmed growth/margin assumptions and pressuring investor sentiment. Chipotle Analysts Slash Their Forecasts
• Negative Sentiment: Macro/consumer risk: coverage highlights weaker dining traffic and cost pressures that could keep margins under pressure until customer frequency stabilizes, making near‑term earnings upside uncertain. CMG Earnings: Stock Falls on Weak Guidance

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.