Chipotle Mexican Grill (NYSE:CMG) Trading 5.8% Higher Following Analyst Upgrade

Shares of Chipotle Mexican Grill, Inc. (NYSE:CMG) were up 5.8% during trading on Friday after JPMorgan Chase & Co. upgraded the stock from a neutral rating to an overweight rating. JPMorgan Chase & Co. now has a $35.00 price target on the stock, down from their previous price target of $38.00. Chipotle Mexican Grill traded as high as $30.27 and last traded at $29.8270. Approximately 5,804,449 shares changed hands during trading, a decline of 66% from the average daily volume of 17,106,096 shares. The stock had previously closed at $28.18.

A number of other equities research analysts have also commented on the stock. Piper Sandler lowered 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 report on Thursday, April 30th. Morgan Stanley set a $37.00 target price on Chipotle Mexican Grill and gave the company an “equal weight” rating in a research note on Wednesday. Zacks Research raised shares of Chipotle Mexican Grill from a “strong sell” rating to a “hold” rating in a research note on Friday, April 17th. Weiss Ratings downgraded Chipotle Mexican Grill from a “hold (c-)” rating to a “sell (d+)” rating in a report on Wednesday, May 20th. Finally, BNP Paribas Exane increased their price target on shares of Chipotle Mexican Grill from $37.00 to $39.00 and gave the company a “neutral” rating in a 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’s stock. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of $45.48.

Key Headlines 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 set a $35 price target, signaling confidence that the stock can recover from depressed levels. Benzinga
• Positive Sentiment: One report said CMG shares rose in premarket trading after the JPMorgan upgrade, reflecting renewed buying interest. Chipotle Stock Upgraded After 3-Year Lows
• Neutral Sentiment: Chipotle recently launched a marketing campaign tied to basketball milestones and free entree giveaways, which may help brand engagement but is unlikely to move the stock by itself. Marketing Dive
• Negative Sentiment: Chipotle has also faced bearish sentiment from other analysts and traders, including a Morgan Stanley downgrade and heavy put buying, suggesting investors still worry about near-term sales growth and consumer pressure. Morgan Stanley backs Yum Brands, cuts Chipotle rating as growth outlook diverges

Institutional Trading of Chipotle Mexican Grill

Several institutional investors and hedge funds have recently modified their holdings of CMG. Financial Life Planners bought a new stake in Chipotle Mexican Grill during the third quarter valued at about $25,000. Wealth Watch Advisors INC purchased a new stake in shares of Chipotle Mexican Grill during the 3rd quarter worth approximately $25,000. MV Capital Management Inc. purchased a new stake in Chipotle Mexican Grill during the fourth quarter valued at $26,000. Osbon Capital Management LLC bought a new position in shares of Chipotle Mexican Grill in the 4th quarter valued at about $28,000. Finally, Merkkuri Wealth Advisors LLC purchased a new stake in Chipotle Mexican Grill during the first quarter valued at approximately $28,000. 91.30% of the stock is currently owned by institutional investors.

Chipotle Mexican Grill Stock Performance

The company has a fifty day moving average of $32.93 and a two-hundred day moving average of $35.24. The company has a market cap of $38.22 billion, a PE ratio of 27.38, a price-to-earnings-growth ratio of 1.85 and a beta of 0.99.

Chipotle Mexican Grill (NYSE:CMG) last released its quarterly earnings results on Wednesday, April 29th. The restaurant operator reported $0.24 EPS for the quarter, hitting analysts’ consensus estimates of $0.24. Chipotle Mexican Grill had a net margin of 11.96% and a return on equity of 49.64%. The firm had revenue of $3.09 billion during the quarter, compared to analysts’ expectations of $3.07 billion. During the same period in the previous year, the company earned $0.29 EPS. The firm’s revenue for the quarter was up 7.4% compared to the same quarter last year. On average, equities analysts forecast that Chipotle Mexican Grill, Inc. will post 1.13 EPS for the current year.

About Chipotle Mexican Grill

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.