Mizuho Initiates Coverage on Chipotle (CMG) With Neutral Rating, Price Target of $40

Chipotle Mexican Grill Inc. (NYSE:CMG) is one of the best stocks to buy according to Citadel LLC. While the company currently enjoys mainly positive ratings with over 30% potential upside, the share price performance has been disappointing in 2025. Shares have lost 24% of their value since the company reported its Q2 results in July and over 33% YTD, mainly driven by weaker consumer sentiment, increased competition, and inflationary pressures.

The market doesn’t seem to be expecting things to change anytime soon. This was evidenced on October 28, when Mizuho Securities initiated coverage of Chipotle Mexican Grill Inc. (NYSE:CMG) on a cautious note, assigning a Neutral rating and a $40 price target. This implied no material upside from current levels.

The analysts at Mizuho further highlighted the company’s efforts to reinvigorate sales growth through marketing and special offers. But these have not yielded any substantial incremental benefits. Thus, they find it challenging for the company to maintain a growth rate comparable to its historical growth rates amid intensifying competition. Moreover, analysts see downside risk to same-store sales expectations, which may hurt growth visibility for the future years.

Chipotle Mexican Grill Inc. (NYSE:CMG) is a U.S.-based fast-casual restaurant chain that specializes in Mexican cuisine.

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