Chipotle price target lowered to $70 from $75 at RBC Capital

RBC Capital lowered the firm’s price target on Chipotle (CMG) to $70 from $75 but keeps an Outperform rating on the shares. The company’s Q4 results were below expectations while its softer-than-expected FY25 SSS guidance of low-mid single digits vs. 5.4% consensus reflect weather, holiday timing, lapping leap day, and tough y/y comparisons, the analyst tells investors in a research note. Chipotle management laid out the path for accelerating comps and incremental margins however, while comparisons get easier and first-half headwinds are “one-time in nature”, the firm added.