Here's Why Chipotle Stock Just Crashed 21% in Less Than a Week

Core Viewpoint - Chipotle's stock has experienced significant sell-offs, dropping 21.2% following a disappointing Q3 report and projections [1][2]. Financial Performance - Chipotle reported Q3 non-GAAP earnings per share of $0.29, meeting Wall Street expectations, but sales of $2.99 billion fell approximately $20 million short of analyst targets [2]. - Year-over-year revenue growth was 7.5%, but same-store sales growth was only 0.3%, indicating reliance on new store openings for revenue [4]. Sales and Customer Trends - The modest same-store sales growth was attributed to a 1.1% increase in average check size, while transaction volume decreased by 0.8%, reflecting reduced customer traffic [5]. - CEO Scott Boatwright noted a decline in same-restaurant sales in October, with projections indicating a low-single-digit percentage decline in annual same-store sales [6]. Market Context - Chipotle's stock has declined approximately 46% in 2025, contrasting with a 16% increase in the S&P 500 during the same period [7]. - The company is facing significant spending drop-offs among the 25-to-35 age demographic due to economic pressures, with reduced purchase frequency across all income cohorts [8].