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Chipotle upgraded to Outperform at BMO Capital on better second half outlook

As previously reported, BMO Capital upgraded Chipotle (CMG) to Outperform from Market Perform with a price target of $65, up from $56. The upgrade is “not about 2Q, and we expect another quarter of comp declines and margin compression,” says the analyst, who adds that such a result should be generally in line with consensus and “not a surprise to investors.” However, the firm believes Chipotle is well positioned for accelerating comp growth and improving margins beginning in the second half of 2025, the analyst tells investors.

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