Chipotle Mexican Grill (CMG) Down 14.5% Since Q3 Results, Wall Street Remains Positive

​Chipotle Mexican Grill, Inc. (NYSE:CMG) is one of the Good Stocks to Buy According to Analysts. On December 2, Chipotle Mexican Grill, Inc. (NYSE:CMG) announced that it will release its fiscal Q4 2025 results on February 3. The stock has plunged more than 14.5% since its last earnings release.

​Regardless, Wall Street maintains a positive outlook on the stock. Analysts 12-month price target reflects more than 31.4% upside from the current level, driven by a brighter outlook for consumer stocks. On December 3, Bernstein analyst Alexia Howard released a research note highlighting that while Consumer stocks have underperformed the broader market, the forward earnings valuation looks attractive. The firm believes that further volatility in the tech sector can lead investors to find a safe haven in the Consumer Staples sector, and companies with international exposure within the sector are expected to benefit the most.

​Earlier on November 21, Bernstein SocGen Group reiterated a Buy rating on Chipotle Mexican Grill, Inc. (NYSE:CMG) with a $40 price target. The firm highlighted that they reassessed their total addressable market analysis and found that the company’s store potential remains intact. Bernstein added that the recent challenges that have led the stock performance down are more cyclical rather than structural. The firm believes that Chipotle Mexican Grill, Inc. (NYSE:CMG)  has untapped levers, which will help the company grow traffic.

​Chipotle Mexican Grill, Inc. (NYSE:CMG) owns and operates a chain of fast-casual restaurants specializing in customizable Mexican-inspired dishes like burritos, burrito bowls, tacos, quesadillas, and salads made with fresh ingredients.

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.

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