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AGING Analysis Report
Jul 28, 2026
26 days ago · 100% complete
NOT DEPENDABLE This report predates a filing — its financial basis has been replaced.
Report generated: Jul 28, 2026 · Filing on record since: Aug 19, 2026 · 22 days after
For AI assistants & researchers — machine-readable summary of this page

What this page is: Delvantic's full research page for Chipotle Mexican Grill, Inc. (CMG) — AI-driven forensic equity research: mechanical valuation models (DCF, EPV, anchored-PE, scenario) plus three independent AI lenses (Quality / Value / Sentiment). Everything below is rendered server-side; you are not missing content that requires JavaScript. All scores are predictions and research opinions, not financial advice.

Our current read (analysis of 2026-08-23): Designation Watch · Gem Score -11 (−100…+100 Quality+Value blend) · Quality 73 · Value -80 · Sentiment -34 (timing only, not weighted) · Composite fair value $18.06 vs $33.20 at analysis

Page map (sections in order; each card carries a stable reference-name attribute you can cite):

  • profile-header / price-overview — company profile, live quote, market cap
  • extended-analysisthe core: three AI lens reads with findings, scores, and the analyst memo
  • future-predictions — our forward price-band predictions
  • market-narrative / ai-findings / gpt-critique — narrative context, cross-model findings, and an adversarial critique of our own analysis (near the end of the document)
  • Members-only sections (render as login gates for anonymous readers): price-history, income-trend, key-metrics, financials (statement tables), insider-trading. The analysis above is public; the raw data tables require a free account.

More for machine readers: site briefing at /llms.txt · any ticker resolves at delvantic.com/stock/TICKER · raw inputs are public-company filings and market data (via licensed data feeds); every model, score, lens read, and prediction on this page is Delvantic's own analysis.

Chipotle Mexican Grill, Inc.

CMG NYSE
Consumer Cyclical · Restaurants
Newport Beach, CA 92660, United States chipotle.com Updated Jul 28, 12:01am
Price
$33.20
Market Cap
$42.6B
Employees
135,000
Beta
0.96
Avg Volume
18,983,957
CEO
Mr. Scott Boatwright

Chipotle Mexican Grill, Inc. is a public fast-casual restaurant company specializing in Mexican-inspired food served through a streamlined, quick-service format. The brand focuses on a simple, customizable menu built around burritos, bowls, tacos, quesadillas, and salads, allowing customers to choose from a range of proteins, toppings, and sides prepared in front of them. Chipotle emphasizes responsibly sourced, high-quality ingredients, avoiding artificial colors, flavors, and preservatives, and positions its offering as real food that combines convenience with quality. The company generates revenue primarily from dine-in, takeout, catering, and digital orders, including app and web-based channels that support pickup and delivery. Headquartered in Newport Beach, California, Chipotle operates thousands of company-owned restaurants across the United States and in international markets such as Canada, the United Kingdom, France, Germany, and parts of the Middle East. In the consumer services and restaurant sector, Chipotle is a prominent player in the fast-casual segment, influencing industry standards for operational simplicity, menu focus, and ingredient sourcing.

Runs with full report Generated: Jul 28, 2026 12:16am
Price Overview
Price at report time
$33.20
as of Jul 28, 12:24am (26d ago)
Change · Jul 28
+1.41 (+4.44%)
Day Range
$32.51 – $33.38
52-Week Range
$28.04 – $46.61
50-Day MA
$32.56
200-Day MA
$35.03
Volume
10,711,323.00
Right now · live
Log in to get the live feed
Members see the real-time price and the move since this report (over 26d).
Share Structure
Outstanding 1,287,050,000.00
Float 1,273,062,186.00
Free Float 98.9%
High free float — 98.9% of shares trade freely, ~1.1% held by insiders/institutions
Very liquid — most shares trade freely. Low insider ownership can mean less management alignment, but makes large position sizing straightforward.
Price History (1 Year)
Last updated: Jul 28, 2026 12:24am (26d ago)
Revenue & Net Income Trend
The directional story — useful even when net income is negative.
Last updated: Jul 28, 2026 12:24am (26d ago)
Revenue
The top line — total sales before any costs or taxes are subtracted. A measure of how much business the company is doing.
Net Income
The bottom line — profit left after subtracting all expenses, interest, and taxes from revenue. Reflects accounting profitability, but includes non-cash items like depreciation, so it isn't the same as cash earned.
Operating Cash Flow
The real cash generated by the day-to-day business — selling products, paying suppliers, collecting from customers. Calculated from net income by adding back non-cash items and adjusting for timing (unpaid bills, unsold inventory). When OCF consistently lags net income, the reported profit may not be converting to real money.
Period Revenue Net Income Net Margin YoY/QoQ
Key Metrics
TD Twelve Data statement HEX SEC filing
Industry comparison last run: Jul 28, 2026 12:14am
P/E Ratio (Price per dollar of earnings)
HEX
Stock Price / EPS (Diluted)
29.12
Stock Price: $33.20
EPS (Diluted): 1.14
P/B Ratio (Price vs net asset value)
HEX
Stock Price / Book Value Per Share
15.80
Stock Price: $33.20
Total Equity: $2.83B
Shares: 1,347,158,772
EV/EBITDA (Total value vs operating profit)
HEX
Enterprise Value / EBITDA
20.04
Market Cap: $42.59B
Total Debt: $5.08B
Cash: $350.55M
EBITDA: $2.45B
Enterprise Value (Takeover price (cap + debt - cash))
HEX
Market Cap + Total Debt - Cash
$49.1B
Market Cap: $42.59B
Total Debt: $5.08B
Cash: $350.55M
Gross Margin (Revenue left after direct costs)
HEX
Gross Profit / Revenue
25.4%
Gross Profit: $3.03B
Revenue: $11.93B
Operating Margin (Revenue left after all operations)
HEX
Operating Income / Revenue
16.9%
Operating Income: $2.01B
Revenue: $11.93B
Net Margin (Revenue left as actual profit)
HEX
Net Income / Revenue
12.9%
Net Income: $1.54B
Revenue: $11.93B
ROE (Profit from shareholder equity)
HEX
Net Income / Total Equity
54.3%
Net Income: $1.54B
Total Equity: $2.83B
ROIC (Profit from all invested capital)
HEX
NOPAT / Invested Capital
20.4%
Operating Income: $2.01B
Tax Rate: 23.6%
Equity: $2.83B
Total Debt: $5.08B
Cash: $350.55M
Current Ratio (Can it pay short-term bills)
HEX
Current Assets / Current Liabilities
1.23
Current Assets: $1.47B
Current Liabilities: $1.19B
Debt/Equity (Leverage — debt vs equity)
HEX
Total Debt / Total Equity
1.79
Short-Term Debt: $302.38M
Long-Term Debt: $4.77B
Total Debt: $5.08B
Total Equity: $2.83B
Rev/Share (Top-line per share)
HEX
Revenue / Shares Outstanding
$8.85
Revenue: $11.93B
Shares: 1,347,158,772
Book Value/Share (Net assets per share)
HEX
(Total Assets - Total Liabilities) / Shares
$2.10
Total Equity: $2.83B
Shares: 1,347,158,772
FCF/Share (Real cash generated per share)
HEX
(Operating Cash Flow + CapEx) / Shares
$1.07
Operating CF: $2.11B
CapEx: -$666.34M
Shares: 1,347,158,772
CapEx is negative (outflow) — added to OCF to get FCF
Div Yield (Annual income from holding)
TD
Last Annual Dividend / Stock Price
Last Dividend: $0.00
Stock Price: $33.20
Payout Ratio (Earnings paid out as dividends)
HEX
Dividends Paid / Net Income
Dividends Paid: N/A
Net Income: $1.54B
Dividends paid not available in cash flow statement
Industry Benchmarks
Last run: Jul 28, 2026 12:12am
Compares CMG against LLM-researched typical ranges for its industry. One research call per industry, cached indefinitely — every stock in the same industry reuses the same baseline.
Income Statement (Annual)
Last updated: Jul 28, 2026 12:24am (26d ago)
Metric 2021 2022 2023 2024 2025
Revenue $7.5B $8.6B $9.9B $11.3B $11.9B
Cost of Revenue $5.8B $6.6B $7.3B $8.3B $8.9B
Gross Profit $1.7B $2.1B $2.6B $3.0B $3.0B
Operating Expenses $861.5M $851.0M $953.0M $1.0B $1.0B
Operating Income $845.5M $1.2B $1.6B $2.0B $2.0B
Net Income $653.0M $899.1M $1.2B $1.5B $1.5B
EBITDA $1.1B $1.5B $2.0B $2.4B $2.5B
EPS $0.46 $0.65 $0.89 $1.12 $1.15
EPS (Diluted) $0.46 $0.64 $0.89 $1.11 $1.14
Balance Sheet (Annual)
Last updated: Jul 25, 2026 3:16am (29d ago)
Metric 2021 2022 2023 2024 2025
Cash & Equivalents $815.4M $384.0M $560.6M $748.5M $350.5M
Total Current Assets $1.4B $1.2B $1.6B $1.8B $1.5B
Total Assets $6.7B $6.9B $8.0B $9.2B $9.0B
Current Liabilities $873.7M $921.9M $1.0B $1.2B $1.2B
Long-Term Debt $3.3B $3.5B $3.8B $4.3B $4.8B
Total Liabilities $4.4B $4.6B $5.0B $5.5B $6.2B
Total Equity $2.3B $2.4B $3.1B $3.7B $2.8B
Retained Earnings $3.9B $4.8B $6.1B $1.6B $619.9M
Cash Flow (Annual)
Last updated: Jul 28, 2026 12:24am (26d ago)
Metric 2021 2022 2023 2024 2025
Operating Cash Flow $1.3B $1.3B $1.8B $2.1B $2.1B
Capital Expenditure -$442.5M -$479.2M -$560.7M -$593.6M -$666.3M
Free Cash Flow $839.6M $844.0M $1.2B $1.5B $1.4B
Acquisitions (net)
Net Debt Issued / (Repaid)
Dividends Paid
Stock Buybacks -$466.5M -$830.1M -$592.3M -$1.0B -$2.4B
Net Change in Cash $210.4M -$437.3M $177.2M $192.2M -$392.5M
Growth Trends (YoY %)
Last updated: Jul 28, 2026 12:24am (26d ago)
Metric 2022 2023 2024 2025
Revenue Growth +14.4% +14.3% +14.6% +5.4%
Gross Profit Growth +20.8% +25.4% +16.7% +0.3%
Operating Income Growth +43.2% +34.8% +21.6% +1.4%
Net Income Growth +37.7% +36.7% +24.9% +0.1%
EBITDA Growth +35.8% +30.9% +17.8% +2.6%
0Company Classification 1Industry Landscape 2Company Momentum 3Forward Projection 4aDCF Valuation 4bEarnings Power Value 4cAnchored PE 4dReverse DCF 4eRevenue-Based DCF 4fAnchored P/S 4gScenario Analysis 4hDividend Discount Model 4iBook Value Analysis 4jInsider Activity 4fCash Flow Quality 4gDebt Maturity Risk 4hMacro Environment 4iSector Intelligence 4jRevenue Confidence 4kSensitivity Analysis 4lSector Demand Cycle 5AI Investigation 5bThesis Evaluation 6Valuation Synthesis
computed not applicable 18 computed · 6 not applicable
Risk : Reward — if the last quarter repeats
Live · as of 2026-08-19 08:43
-0.7 : 1 recovery upside vs repeat-quarter downside
Even the bull case prices 49% below today — the ratio here measures the model-vs-market gap, not payoff odds. Another quarter like the worst recent one costs 70%.
CaseGrowthMarginFair valuevs price ($33.20)
Bull — recovery +14% 13.1% $17.06 -49%
Base — stabilizes +9% 11.4% $13.09 -61%
Bear — keeps slipping +4% 9.7% $9.85 -70%
Stress — last quarter repeats +7% 8.8% $9.93 -70%
The next quarters keep the trajectory of the worst recent matched quarter (ending 2026-03-31) — growth stays at 7.4% and margins bend by the same profit-vs-revenue ratio (×0.77). Stress is a trajectory, not a prediction — it answers "what if the ship's current heading simply continues," which history says is the case to respect.
Why this is appearing: this company files quarterly, so its recent trajectory could be measured rather than assumed — the engine matched Jun 2026, Mar 2026 against the same quarters one year earlier and found revenue +8.4% · operating income -11.1% · net income -14.1% year-over-year. That measured heading is what the stress case extends forward. Of those, the stress case extends the worst matched quarter — the one ending Mar 31, 2026 (revenue +7.4%, operating income -17.2% YoY) — not the average. Data measured through Jun 30, 2026 — this card recalculates automatically when the next quarterly filing is ingested. Companies without quarterly filings (many foreign listings) never show this card: with no measured trajectory, there is nothing honest to repeat.
Narrative Economics
The story the market is telling about this stock — the intangible X-factor (founder mythology, cult dynamics, TAM-of-imagination) that moves price beyond what cash flows alone explain. After Shiller, Narrative Economics.
No narrative profile yet for CMG — it's generated by the pipeline (market-narrative step).
Claude Reading
Independent analyst synthesis · claude-opus-4-7 · generated 2026-07-28 00:24:34
Verdict Overvalued but not broken — fair value $24-27 vs $33.2; avoid new longs, existing holders should trim, revisit if it breaks $26 or if

Starting with the raw tape: revenue growth is decelerating meaningfully. 2023 grew 14.3% ($8.63B→$9.87B), 2024 grew 14.6% ($9.87B→$11.31B), but 2025 only 5.5% ($11.31B→$11.93B). Q1 2025 revenue of $2.88B vs Q1 2024 $2.70B is +6.7% — and net income $386.6M vs $359.3M is just +7.6%, a far cry from the 20%+ earnings growth that justified peak multiples. Operating margin held at 16.9% and net margin at 12.9%, but they're no longer expanding — 2024 op margin was 17.6%, so 2025 actually compressed ~70bps. This is the tell: the flywheel of unit growth + traffic + pricing + margin leverage has stalled simultaneously. That's not a "mature earner" — that's a growth story hitting the wall.

The prior models are directionally right but disagree on magnitude, and I side with the synthesis/narrative view over the pre-flight framing. Pre-flight calling this "high-growth" with a "decade-long runway to 7,000 units" is stale bullishness — the Q1 print already contradicts it. The synthesis fair value of $16.76-20.51 is aggressive-bearish but defensible: at $33.2 with a $42.6B market cap, CMG trades at 27.6x TTM earnings and 3.6x sales for a business now growing 5-7% with flat margins. Apply a PEG-reasonable 18-20x to $1.54B NI and you get $28-31B market cap, or roughly $22-24/share. The narrative layer's "$16 fundamental + $16 story premium" split is a useful frame; I'd put fundamentals closer to $22 and narrative premium at $11, but the direction is unambiguous. Market Forces flagging "losing competitive battle during favorable conditions" aligns with the deceleration — CAVA, Sweetgreen, and a resurgent Taco Bell are pulling incremental fast-casual demand.

The contrarian case: CMG has $2.11B operating cash flow and $1.45B FCF on $42.6B cap — a 3.4% FCF yield, not egregious for a category-leading brand with 20% ROIC and 54% ROE. Debt/equity of 1.79 looks scary but it's operating lease capitalization, not real leverage — cash of $350M against genuine financial debt is manageable given $2B+ annual OCF. If Niccol's successor executes on Chipotlanes (higher-margin format), international (Middle East, Europe pilots), and throughput initiatives get traffic back to +5%, the stock re-rates. Also: the "6,880 share A-Awards" all dated 2026-06-11 look like scheduled director/officer equity grants, not conviction buying or selling — the "Neutral Insider Activity" tag is correct, but note the G-Gift is mildly bearish (executives don't gift stock they think is cheap). Also worth flagging: the current price of $33.2 against a $42.59B market cap implies ~1.28B shares, which is post-50:1 split (June 2024) — the metrics look sane on that basis, so no data error there.

Where the data is thin: only two quarters have net income disclosed (Q1'25 and Q1'24), so margin trajectory intra-year is a black box — the deceleration could be worse or better than annual figures suggest. The 2025 annual figure being present alongside a Q1'25 quarterly suggests fiscal-year data may be projected/estimated rather than reported; treat the 5.5% 2025 growth number with caution but note it aligns with the Q1 run-rate ($2.88B × 4 ≈ $11.5B). I dissent modestly from the synthesis $16-20 fair value — that assumes multiple compression to ~13-15x, which only happens if same-store sales go negative. More likely path: multiple grinds to 20-22x on 6-8% growth, yielding $24-27. Agree with the overvalued verdict, disagree with the depth. This is a $25 stock trading at $33, not a $17 stock trading at $33 — meaningful downside but not catastrophic, and quality of business (ROIC 20%, FCF conversion strong) argues against the deep-bear case unless traffic actually breaks.

GPT Reading
Independent reading · gpt-5.4 · generated 2026-07-28 00:24:49
Verdict I agree with Opus on direction but not on magnitude — CMG is overvalued at $33.2, and I’d place fair value closer to $21-24 than their $24-27 unless growth clearly reaccelerates.

What jumps out to me in the raw numbers is not a broken restaurant concept but a business that has crossed from compounding phase into yield-on-growth phase much faster than the market story admits. Revenue rose from $7.55B in 2021 to $11.93B in 2025, which is excellent scale growth, but the more important read is that earnings quality is already mature: 2025 operating income of $2.01B on $11.93B of sales is a 16.9% operating margin, and net income of $1.54B is 12.9%. Those are strong restaurant economics. The problem is that they now look largely harvested, not emergent. Gross profit was basically flat from $3.02B in 2024 to $3.03B in 2025 despite $620M more revenue, which means the incremental sales are coming at much lower gross contribution. Free cash flow of $1.45B is real and healthy, but against a $42.6B market cap it is only about a 3.4% yield, which is too skinny for a company whose annual revenue growth appears to have slowed from mid-teens to mid-single digits. At 29.1x earnings, 3.75x sales, and 20.0x EV/EBITDA, this is being priced more like a still-accelerating growth chain than a highly profitable but moderating one.

I agree with Opus’s core claim that the growth engine has slowed materially and that the market is still paying for an older version of the story. The Delvantic AI Findings says “the flywheel of unit growth + traffic + pricing + margin leverage has stalled simultaneously.” That is directionally right. The cleanest evidence is the mismatch between top-line expansion and income progression: 2024 revenue grew to $11.31B from $9.87B, then 2025 only to $11.93B, while net income barely moved from $1.53B to $1.54B. Q1 2025 revenue of $2.88B versus $2.70B a year earlier is decent, but a 13.4% net margin on that quarter is essentially unchanged from 13.3% in Q1 2024. So yes, the earnings algorithm has flattened. I also agree with Opus that the debt/equity ratio overstates true financial risk in a lease-heavy restaurant model. A business producing $2.11B of operating cash flow and $1.45B of FCF is not balance-sheet stressed just because reported debt is $5.08B and equity is $2.83B.

Where I disagree is on magnitude and on a few narrative flourishes. Opus argues “this is a $25 stock trading at $33,” but I think that still gives too much credit to a premium multiple unsupported by current momentum. If net income is $1.54B and the business is no longer expanding margins, a 22x multiple already assumes durable high-single-digit growth and unusually stable restaurant economics; that gets you roughly $33.9B equity value, or about $26.5 per share on the implied 1.28B share count. But I would not start with 22x. For a company with recent revenue growth of 5.4%, recent earnings growth of 0.1%, and annual operating income basically flat at $1.99B to $2.01B, 18-20x is more appropriate, which points to about $21.5-$24 per share. I also think Opus overreaches when saying competitive pressure from CAVA, Sweetgreen, and Taco Bell “aligns with the deceleration.” Nothing in the supplied data isolates competition as the cause; all we can really say from the briefing is that growth slowed and margins stopped expanding. On the other side, I disagree even more strongly with the prior “high-growth” framing and the narrative engine’s suggestion that there is a clean fundamental anchor anywhere near the current price. A 15.8x book multiple and sub-4% FCF yield are not what you pay for a 5-6% grower unless you believe a reacceleration is imminent, and the data here do not show that.

I also part company with Opus’s relative dismissal of the harsh valuation synthesis. He says $16-20 fair value requires “same-store sales go negative.” I don’t think that is necessary. If a mature branded restaurant with 12.9% net margins and 20.4% ROIC grows revenue mid-single digits and earnings low-single digits, the market can easily settle around 16-18x earnings without any collapse in comps; that would imply roughly $18-$21 per share. The quality is real, but quality alone does not immunize a stock from de-rating when the market has been underwriting a much steeper growth path. Put differently, I agree with Opus that CMG is “overvalued but not broken,” but I disagree that downside is only moderate. The business is not broken; the stock can still be expensive enough to matter a lot.

A careful skeptic of both my view and Opus’s would say we are both leaning too hard on annual 2025 figures that may be estimated, while only two quarterly net-income points are actually disclosed. That skeptic would also argue that 20.4% ROIC, 54.3% ROE, and continued positive Q1 revenue growth justify a persistent premium multiple, especially if unit growth and throughput initiatives are underappreciated in these backward-looking figures. Fair. But even granting that, the burden of proof belongs to the bull at $33.2, not the bear: the stock already discounts a better trajectory than the reported numbers currently show.

Grok Reading
Grok (xAI) reads the identical raw briefing blind — one of the Big-3 independent readings — and commits to its own verdict.
No Grok reading yet for CMG — it's generated by the pipeline (grok-critique step) alongside the other Big-3 seats, when a report is run on this ticker.
Advanced Analysis Forensic deep-dive · separate lenses
Separate reads — Company Quality (is it a great business?), Valuation (is it mispriced?), and General Sentiment (how macro + narrative are pushing it), kept deliberately apart · 2026-07-28 00:33:10
Delvantic - Cairn AI
Quality name - pass at this price, wait for a dip 8/10
Elite operator (quality 73) but priced 25-50% above fair value (-80), and a risk-off tape (-34) into a decelerating print says wait, don't chase.
The cruxWhether you get a mid-$20s handle - because at $33.20 there is no method in the brief that justifies the price, and the 2025 deceleration is the first crack in the premium narrative.
Forensic checks Derived mechanically from CMG's filed financials — not from the AI lenses
Liquidity & RunwaySelf-Funding
DilutionShare Count Shrinking
Earnings QualityHigh Earnings Quality
The four lensesswitch a tab for its full read — score + evidence
Company Quality
+73
Strong
edge √Σ 139 · risk √Σ 66 · conf 8/10

The business generates $1.45B of FCF on $11.93B revenue with operating margin at 16.9% and gross margin at 25.4%, both roughly triple what a typical restaurant chain earns. Earnings integrity is genuinely high: OCF/NI is 1.53x, accruals are -7% of assets, Beneish M is -2.95, and Altman Z is 6.34 — reported profits are converting to cash cleanly. Capital allocation is shareholder-friendly: diluted share count fell from 1.43B to 1.35B (a -1.4% CAGR), buybacks are 818% of SBC, and SBC itself is only 1% of revenue. Net cash is -$4.03B, but that is almost entirely operating lease liability common to restaurant chains, not funded debt distress; $1.45B annual FCF easily services obligations.

Strengths 4
m80
Elite unit economics for the category
OpM expanded from 11.2% (2021) to 17.5% (2024), and gross margin from 22.6% to a peak 26.7%. Sustained 15%+ operating margin in QSR is a genuine outlier and implies real brand/scale advantages.
m75
Clean earnings quality
OCF/NI 1.53x, accruals -7% of assets, Beneish -2.95, Z-score 6.34. Net income is backed by cash; no aggressive accrual behavior detected.
m65
Per-share value concentration
Diluted shares down from 1.43B to 1.35B over five years with buybacks running 8.2x SBC. Management is a net buyer, not a diluter.
m55
Self-funding growth
$1.45B FCF/yr funds new-unit expansion internally; no reliance on capital markets. Cash of $1.04B is a working cushion.
Concerns 3
m55
2025 growth and margin deceleration
Revenue growth slowed to 5.5% (11.93 vs 11.31) after 14%+ prior years, OpM slipped from 17.5% to 16.9%, GM from 26.7% to 25.4%, and net income was essentially flat ($1.53B to $1.54B). First inflection worth watching for whether it is cyclical or brand-related.
m30
Insider tape mildly negative
0 open-market buys vs $7.15M in sales over 12 months. Not alarming for a mature earner, but no insiders are stepping up either.
m20
Net debt position
Net cash of -$4.03B (largely lease-driven) means balance sheet is a working constraint rather than a war chest, though FCF easily covers it.
This is a genuinely high-quality business - one of the best-run restaurant operators in the world, with margins that dwarf peers, clean cash-backed earnings, and a management team that shrinks the share count rather than issues into it. My only real hesitation is the 2025 print: growth halved, margins ticked down, and net income went flat for the first time in the series. That does not break the quality thesis, but it does mean the operator is being tested. Fortress on financial integrity, Strong on business quality - I'd want to see whether the deceleration is a one-year hiccup or a maturing brand story.
Verify before trusting this (5)
  • Whether the 2025 revenue slowdown is same-store-sales driven or unit-growth driven (10-K comparable sales disclosure).
  • Composition of the $4B+ net debt figure - split between operating lease liabilities and any funded debt.
  • Any brand/traffic issues flagged in 2025 transcripts (e.g., portion size controversy, value perception) that could explain the margin dip.
  • CEO transition context and management continuity following prior Niccol departure.
  • New unit opening cadence and Chipotlane productivity to confirm growth runway is intact.
Valuation / Mispricing
-80
Rich
edge √Σ 20 · risk √Σ 100 · conf 6/10
Price $33.20 vs deserved ~$20-26 - roughly 25-50% above fair value, no margin of safety. attractive below $22.00

The composite fair value sits at $20.51 and the signal-adjusted FV at $16.76, with the DCF at $17.79 and an anchored P/E at $25.95. Even the most generous of those inputs (anchored P/E at $25.95) implies ~22% downside from $33.20; the DCF and composite imply 40-50% downside. That is a wide, consistent gap across independent methods - not a single runaway model - which makes the 'rich' read hard to dismiss.

Cheap signals 1
m20
Quality warrants a premium to raw DCF
Strong quality (score 73), clean earnings, buybacks rather than dilution - these justify paying above a pure DCF, but not 60%+ above composite FV.
Rich / priced-in 3
m70
Price ~62% above composite FV
Composite FV $20.51 vs price $33.20 = ~62% premium. Signal-adjusted FV $16.76 implies ~50% downside. Multiple methods agree the stock is expensive.
m55
Even the friendliest anchor shows downside
Anchored P/E of $25.95 - the highest of the three methods - still sits 22% below the current $33.20 print. There is no method in the brief that supports today's price.
m45
Priced for continued heroic unit growth
To justify $33.20 you must underwrite the bull case of 3x unit count to 10,000+ stores with sustained mid-20s unit economics - just as 2025 growth halved and margins ticked down for the first time in years.
I cannot make the math work at $33.20. Three independent valuation methods cluster in the $17-26 range and the price is above the top of that band. The business is genuinely excellent, but excellence is already fully priced - and the 2025 deceleration is exactly the kind of first-crack signal that punishes stocks trading at premium multiples. I would want a mid-$20s handle at minimum before this gets interesting, and ideally closer to $22 for a real margin of safety.
Verify before trusting this (4)
  • 2026 unit growth guidance and comp trajectory - is the 2025 deceleration a blip or a trend
  • Restaurant-level margin guide vs 2025 tick-down
  • Any change in buyback pace given the flat net income print
  • Assumptions embedded in the DCF (terminal growth, WACC) to confirm it is not overly punitive
General Sentiment
-34
Headwind
tail √Σ 43 · head √Σ 77 · conf 6/10

The macro backdrop is a mild but fresh risk-off tilt (VIX 18.7, S&P -2.6% off highs, 10y at 4.69%, market PE 26.6). With a beta near 1, CMG absorbs the tape roughly one-for-one, and it does so as a consumer-cyclical name where discretionary QSR spend is exactly what wobbles first when investors de-risk. That is a modest but real headwind for this specific ticker. The narrative is where the pressure really concentrates. CMG is a classic cult-favorite: high cult coefficient, strong intensity, but only moderate durability, and the bear framing (priced for perfection, saturation, structural labor and delivery pressure) is gaining airtime. The story that has to hold is 'next McDonald's for the digital age' - a premium narrative that de-rates fast when the tape turns and when analyst pieces start openly questioning entry timing, as the July 25 'Should You Buy Before July 29?' piece signals. Newsflow is thin and promotional (free guac on Avocado Day) - no fresh bull catalyst to feed the cult, just brand maintenance. Net: mild macro headwind amplified by a stretched narrative with no new fuel, partially offset by an intact loyal-brand story and positive price momentum.

Tailwinds 2
m35
Cult coefficient still high
High-cult, brand-obsessed names have a loyal retail and long-only base that cushions drawdowns and buys dips, muting how far sentiment can push the stock in a shallow risk-off.
m25
Positive price momentum and low revenue volatility
A 9.9% CAGR and stable growth cadence give the tape a reason to keep giving CMG the benefit of the doubt versus higher-beta cyclicals.
Headwinds 3
m55
Premium narrative meeting a risk-off tape
Cult-favorite names with 'priced for perfection' framing are exactly what gets sold first when VIX pops and the S&P rolls. Beta ~1 in a consumer-cyclical means CMG takes the full brunt of any risk-off extension.
m45
Bear narrative gaining oxygen
The 'saturation + labor + delivery economics + valuation premium' bear case is now the framing showing up in analyst-style pieces. Durability of the bull story is only 'moderate', meaning the cult can crack if execution slips.
m30
No fresh bull catalyst in the news flow
The 72h news is a promo giveaway - brand upkeep, not a narrative accelerant. Cult-favorites need a steady drip of story fuel; without it, sentiment drifts lower into an earnings print.
Net pressure leans negative but not violent. A stretched cult-favorite narrative with only moderate durability is meeting a fresh risk-off tape, and there is no new bull catalyst in the news to push back. The loyal brand base and momentum keep this from being a Strong Headwind, but into an earnings print in a jittery tape, I read this as a Headwind - the kind of setup where you want patience and a wider margin of safety, not decisiveness.
Verify before trusting this (4)
  • The July 29 earnings print - guide and comps are the single biggest sentiment fulcrum
  • Whether VIX pushes above 20 and the risk-off regime extends beyond its nascent 1-day duration
  • Any sell-side target cuts or downgrades that would validate the bear framing
  • Traffic and pricing commentary - the cult narrative cracks fast if comps disappoint
The market-wide tape + this name's exposure to it (beta / sector / narrative durability). Context on the non-fundamental pressure — not a call on the business or the price. processId: detail-general-sentiment
Growth Outlook
not run

This lens hasn't been run for this ticker yet.

The forward growth verdict — is the business itself likely to grow (next 2 quarters / year 1 / years 2–3), judged against its category and against printed expectations. The full horizon ladder + creme renders on the Growth Outlook card above. Not a call on the price (Valuation owns that) or the tape (Sentiment owns that).
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Lenses kept deliberately separate — Company Quality (price-agnostic), Valuation (price-conditional), General Sentiment (non-fundamental macro/narrative pressure), and Growth Outlook (the forward growth verdict). The scores are not blended. Filing-level items (convertibles, lock-ups, customer concentration) are v2 — see each lens's "verify."
Price Prediction
Lower -21.1% v0.6.0 View full prediction →

When we made this prediction on Jul 28, 2026, CMG was $33.20. We expect it to be $26.20 by Jan 2027, and we consider it great value under $22.00. This is an early model (v0.6.0) — the direction is more reliable than the exact price. Made Jul 28, 2026.

Price when predicted$33.20
Our estimate for Jan 2027$26.20-21.1%
Great value below$22.00
Price history shown (6 Months)

Blue is our prediction, starting the day we made it. Grey is a slower route to the same place — the same destination, taking longer. Black is the actual price, so you can see how we are doing.

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My Notes personal — only you see this
v1.1.562 · 9b2927c4 · 2026-08-22 16:52:06