Chipotle Mexican: Wells Fargo Upgrades to Overweight with New PT of $65

Chipotle Mexican: Wells Fargo Upgrades to Overweight with New PT of $65

Wells Fargo has upgraded its rating for Chipotle Mexican Grill (CMG) to "Overweight" with a new price target of $65, according to the latest report. This upgrade reflects a positive outlook on the restaurant chain's performance and prospects. The move comes after several recent analyst upgrades and changes in institutional ownership.

Wealthfront Advisers LLC, one of the institutional investors, reduced its stake in Chipotle Mexican Grill by 9.9% in the first quarter, while other investors like HighMark Wealth Management LLC and North Capital Inc. increased their holdings [1]. This indicates a shift in investor sentiment, with some investors choosing to reduce their exposure while others are increasing their stakes.

Analyst ratings have also been favorable, with several firms boosting their target prices. Robert W. Baird and Truist Financial have both increased their target prices to $62 and $64, respectively, and given the company an "outperform" and "buy" rating [1]. Additionally, the consensus rating among analysts is currently "Moderate Buy" with an average price target of $61.28 [1].

Chipotle Mexican Grill's stock performance has been mixed, with a 5% increase over the last month. However, the stock has seen a 8.34% decline over the past 10 days, with a 1.06% drop on Wednesday, July 16, 2025 [2]. The company is expected to release its earnings on July 23, 2025, with analysts forecasting earnings of $0.32 per share and revenue of $3.1 billion for the quarter [2].

The upgrade by Wells Fargo suggests that the investment community is optimistic about Chipotle Mexican Grill's future performance. The new price target of $65 reflects a premium compared to the current price of $53.38, indicating that the market may be underestimating the company's potential.

References:
[1] https://www.marketbeat.com/instant-alerts/filing-wealthfront-advisers-llc-lowers-stake-in-chipotle-mexican-grill-inc-nysecmg-2025-07-17/
[2] https://ca.finance.yahoo.com/news/chipotle-mexican-grill-cmg-stock-214502613.html