Chipotle Aims To Spice Up Sales With Red Chimichurri Launch

Core Insights - Chipotle Mexican Grill will launch a new limited-time menu item, Red Chimichurri, on September 30, aimed at enhancing the flavor of Carne Asada and diversifying the menu [1] - The introduction follows the success of the Adobo Ranch sauce, which attracted new customers and increased transactions [2] - The company reported second-quarter revenue of $3.06 billion, which was below analyst expectations, with a year-over-year revenue increase of 3% but a 4% decline in comparable restaurant sales [4] Financial Performance - Chipotle's second-quarter adjusted earnings were 33 cents per share, aligning with Wall Street estimates [4] - Revenue projections include $12.15 billion in 2025, up from $11.31 billion in 2024, and expected to reach $13.88 billion in 2026 [5] - Adjusted EPS is forecasted at $1.22 in 2025 and $1.44 in 2026, with operating EBITDA estimated at $2.45 billion in 2025 and $2.86 billion in 2026 [5] Market Outlook - Analyst Jim Salera maintains an Equal-Weight rating with a price target of $60, emphasizing the importance of mid-single-digit comparable store sales growth for Chipotle's long-term model [2] - The company is expected to face challenges in the macro environment while trying to regain positive momentum in comparable sales [3] - CMG shares were trading higher by 0.24% to $40.18 at the last check [5]