Chipotle Mexican Grill, Inc. (CMG) Stock Analysis
Recovery setup
Consumer Cyclical · Restaurants
Sell if holding. Multiple concerning factors at $32.60: Leverage penalty (D/E 2.2): -1.5; Weak growth.
Chipotle Mexican Grill owns and operates 3,938 U.S. and 104 international restaurants serving burritos, burrito bowls, quesadillas, tacos, and salads, with all North American locations company-owned. Revenue derives from restaurant sales, with digital orders at 36.7% of food and... Read more
Sell if holding. Multiple concerning factors at $32.60: Leverage penalty (D/E 2.2): -1.5; Weak growth. Chart setup: Death cross but MACD improving, RSI 52. Score 5.1/10, high confidence.
Passes 8/9 gates (positive momentum, favorable risk/reward ratio, clean insider activity, no SEC red flags, news events none recent, earnings proximity 44d clear, semi cycle peak clear, materials cycle peak clear). Suitability: moderate.
About Chipotle Mexican Grill, Inc.
About Chipotle Mexican Grill, Inc.
Chipotle Mexican Grill owned 3,938 U.S. and 104 international company-operated restaurants as of December 31, 2025, plus 14 international partner-operated locations. Digital sales reached 36.7% of food and beverage revenue in 2025, up from 35.1% in 2024, driven by the Chipotle app, Chipotlane drive-through format, and third-party delivery aggregators. The company employed 130,301 people globally, including 127,116 in the United States.
Chipotle generates revenue exclusively from restaurant sales, with no franchise royalty income in the U.S. and Canada — all North American restaurants are company-owned and operated. That structure gives the company direct control over food quality and labor but fully exposes it to minimum wage increases, scheduling legislation, and higher ingredient costs. Over 16% of 2025 food and beverage revenue came from third-party delivery orders, making the company dependent on delivery platform fee structures; if delivery companies increase fees or reduce Chipotle's visibility on their platforms, delivery sales and profitability may be impaired. Key proteins — chicken, beef, pork — along with dairy, avocados, and tortillas must meet Chipotle's Responsibly Raised and Food with Integrity specifications, sourced from a small number of approved suppliers; the 10-K notes those specialty ingredient markets are generally smaller and more concentrated than conventional commodity markets. Chipotle's higher-than-typical employee count per company (versus franchising peers) exposes it to greater aggregate liability under state employment laws, including New York City's Fair Workweek legislation, where a second compliance audit is under active cooperation as of the 10-K date.
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Chipotle's 10-K notes 127,116 U.S. employees at year-end 2025, nearly all in restaurant operations, with the company directly employing rather than franchising its entire U.S. and Canadian footprint. A 2022 settlement under New York City's Fair Workweek law and a second active NYC compliance audit signal the elevated regulatory exposure that comes with directly managing over 130,000 employees across many jurisdictions. If minimum wage increases enacted by state and local governments cannot be offset through higher menu prices — a balance depending on guest price sensitivity relative to competitors — restaurant-level margins would compress directly.
See also: Consumer Cyclical · Restaurants
From Chipotle Mexican Grill, Inc.'s most recent 10-K filing, extracted June 9, 2026.
Recent developments
updated 2026-06-15Recent Developments — Chipotle Mexican Grill, Inc.
Latest news
- NEWS Chipotle Mexican Grill, Inc. 2026 Q1 - Results - Earnings Call Presentation (NYSE:CMG) 2026-04-29 - Seeking Alpha — Seeking Alpha neutral
- NEWS Chipotle rallies after posting a surprise positive comp for Q1 (CMG:NYSE) - Seeking Alpha — Seeking Alpha positive
- NEWS Chipotle posts surprise same-store sales growth in early sign chain could be breaking its slump - CNBC — CNBC positive
- NEWS If You'd Put $1,000 Into Chipotle Mexican Grill Stock 20 Years Ago, Here's What You'd Have Today - Kiplinger — Kiplinger positive
- NEWS Chipotle Mexican Grill (CMG) stock moves -1.02%: What you should know - MSN — MSN neutral
Generated 2026-06-15T18:11:46Z.
Upcoming dated catalysts
Thesis
Key Metrics
Quality Signals
Options Flow
Concentration Risks(10-K Item 1A)
- LOWSupplierthird-party delivery companies16%10-K Item 1A: 'Over 16% of our 2025 food and beverage revenue consisted of delivery orders for which we are reliant on third-party delivery companies'
- MEDIUMSuppliersmall number of suppliers (key ingredients)10-K Item 1: 'Certain key ingredients are purchased from a small number of suppliers'
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.
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Rating Breakdown
2 floor-breakers
Growth below the gate floor. Component breakdown shows what dragged the score down.static
Technicals below the gate floor. Component breakdown shows what dragged the score down.static
Price Targets
Position Sizing
Analyst Consensus
Earnings
Verdict History
Frequently Asked Questions
Sell if holding. Multiple concerning factors at $32.60: Leverage penalty (D/E 2.2): -1.5; Weak growth. Chart setup: Death cross but MACD improving, RSI 52. Prior stop was $30.33. Score 5.1/10, high confidence.
Take-profit target: $39.45 (+21.0% upside). Prior stop was $30.33. Stop-loss: $30.33.
Leverage penalty (D/E 2.2): -1.5; Weak growth; Below 200-MA, MA slope -5.2%/30d (confirmed downtrend).
Chipotle Mexican Grill, Inc. trades at a P/E of 29.6 (forward 23.8). TrendMatrix value score: 5.2/10. Verdict: Sell.
43 analysts cover CMG with a consensus score of 4.0/5. Average price target: $43.
What does Chipotle Mexican Grill, Inc. do?Chipotle Mexican Grill owns and operates 3,938 U.S. and 104 international restaurants serving burritos, burrito bowls,...
Chipotle Mexican Grill owns and operates 3,938 U.S. and 104 international restaurants serving burritos, burrito bowls, quesadillas, tacos, and salads, with all North American locations company-owned. Revenue derives from restaurant sales, with digital orders at 36.7% of food and beverage revenue in 2025 and delivery accounting for over 16% of that total. Chipotle employed 130,301 people globally as of December 31, 2025.