Jim Cramer Says "Chipotle Seems Like a Decent Reversal Candidate"

Chipotle Mexican Grill, Inc. (NYSE:CMG) is one of the noteworthy Q3 stocks Jim Cramer was focused on. Highlighting losers that could make a comeback, Cramer mentioned the stock and said:

“And how about the biggest losers for the quarter? As I scrutinize the list, I see a couple that could make a comeback. Chipotle’s the best of these losers, having been hammered relentlessly like many other restaurant chains. The current numbers are indeed nothing to write home about, but this company has a habit of bouncing back after management gets it right. Down 30% last quarter, Chipotle seems like a decent reversal candidate.”

Chipotle Mexican Grill, Inc. (NYSE:CMG) runs a network of restaurants serving burritos, bowls, tacos, quesadillas, salads, and sides with drinks. Cramer mentioned the company during the September 10 episode and said:

“Oh boy, alright. There’s a lot of fundamental stories going on in the restaurant industry that is making it so it’s hard to buy any of these, and a lot has to do with the price of beef. I keep thinking that cattle is going to break down. That is a big cost that they have, and you know what? I thought it was going to break. I talked to my friend Carley Garner; she felt that it’s going to break, but what happened? This thing, which goes into so much of Chipotle’s food, is just no quit. So until cattle really breaks, I’m going to have to say, let’s just keep it on the radar screen.”

While we acknowledge the potential of CMG as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.