Chipotle stock price target raised to $60 from $58 at KeyBanc
Investing.com
Published Jul 15, 2025 09:16AM ET
Investing.com - KeyBanc raised its price target on Chipotle Mexican Grill (NYSE:CMG) to $60.00 from $58.00 on Tuesday, while maintaining an Overweight rating on the stock. According to InvestingPro data, the stock currently trades at a P/E ratio of 47.8x and shows strong financial health metrics.
The firm noted that investor sentiment toward Chipotle has been improving in recent months, with expectations that the restaurant chain will perform better in July than it did during the second quarter of 2025. The company's solid fundamentals support this optimism, with a healthy current ratio of 1.52 and revenue growth of 12.6% in the last twelve months.
KeyBanc expects Chipotle to miss slightly on second-quarter same-store sales growth, projecting a decline of 3.0% compared to the consensus estimate of a 2.85% drop, but observed that sales trends improved in recent weeks.
The firm's data suggests the improved recent performance could make its third-quarter same-store sales growth estimate of 2.0% conservative, with menu innovation ramping up in the second half of 2025.
Chipotle shares have risen 10% since the beginning of June 2025, outperforming the S&P 500's nearly 6% gain during the same period, which KeyBanc attributes to growing optimism about the company's sales trajectory.
In other recent news, Chipotle Mexican Grill has seen several analyst updates regarding its stock. RBC Capital raised its price target for Chipotle to $65, highlighting the success of the chain's honey chicken offering and expressing optimism for the upcoming second-quarter earnings. Citi also increased its price target to $68, citing anticipated growth from new sales initiatives and product launches. Truist Securities raised its target to $64, noting improving sales momentum, particularly following the launch of the "Adobo Ranch" offering.
Melius Research initiated coverage with a Hold rating, acknowledging Chipotle's strong execution but maintaining a neutral stance due to current stock valuations. TD Cowen reiterated a Buy rating with a $57 target, attributing sales softness to broader economic conditions rather than company-specific issues. The firm remains confident in Chipotle's long-term strategy and its ability to maintain a competitive advantage in the fast-casual sector. These developments reflect a mix of cautious optimism and confidence in Chipotle's strategic initiatives amid industry challenges.
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