Financial PerformanceRestaurant level margins are expected to recover to 27.6%, driven by sales leverage, supply chain efficiencies, new equipment rollout, and labor productivity improvements.
Growth PotentialChipotle benefits from structural tailwinds, such as category, target demographics, and health and wellness positioning, alongside effective company strategies that are expected to continue.
ValuationThe recent pullback in CMG’s valuation at 45x represents an attractive entry point, fairly de-risked from temporary pullbacks that may occur.