Chipotle Mexican Grill Inc (NYSE:CMG) stock is up 7.8% to trade at $30.96 this morning, despite the fast-casual restaurant chain reporting mixed third-quarter results, while no fewer than eight analysts chimed in with price-target cuts. The company posted adjusted earnings of 27 cents per share, missing estimates, while revenue of $3.29 billion matched expectations. However, same-store sales returned to growth, beating estimates, and CEO Scott Boatwright said the momentum should continue through the end of the year.
Today's pop has CMG extending its bounce off its Oct. 23 three-year low of $27.32. The shares have struggled throughout 2026, shedding 16.4% year to date, though they're now looking to reclaim the 20-day moving average, which has acted as resistance since mid-September.
Meanwhile, the stock's 14-day Relative Strength Index (RSI) of 31.6 sits just above "oversold" territory, suggesting there could be room for a continued rebound.
Options traders have been overwhelmingly bearish. At the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and Nasdaq OMX PHLX (PHLX), CMG's 10-day put/call volume ratio of 4.22 and 50-day put/call volume ratio of 1.64 both rank in the 100th percentile of its annual range.
Today's options activity suggests a shift in sentiment. CMG's net option delta volume stands at a positive 67,477 shares, with bullish pressure accounting for 55.2% of the total, compared to 44.8% bearish pressure.
Lastly, Chipotle sports a Schaeffer's Volatility Scorecard (SVS) of 93 out of 100, indicating the equity has consistently exceeded options traders' volatility expectations during the past year.
