Raymond James Sees Menu Pricing Momentum Building at Chipotle (CMG)

Pricing Strategy - Chipotle Mexican Grill, Inc. has begun raising menu prices in select markets, with increases of approximately 2.5% in Denver and over 3% in Sacramento, aligning with management's strategy discussed in the Q3 call [2] - The company plans to implement phased price increases in the range of 2% to 3% through 2026, potentially resulting in year-over-year menu pricing growth of about 1% to 2% [2] Share Buybacks - Chipotle's board has approved an additional $1.8 billion for share buybacks, indicating a shift towards larger repurchase pools that can fund buybacks over multiple quarters [3] Expansion Milestone - Chipotle has opened its 4,000th restaurant in Manhattan, Kansas, marking significant progress towards its long-term goal of 7,000 locations in the US and Canada [4] - Since CEO Scott Boatwright's tenure began in 2017, the company has added approximately 1,700 new locations, achieving over 70% growth in its footprint [4] - For 2025, Chipotle anticipates opening 315 to 345 new restaurants, with at least 80% featuring a Chipotlane, and plans for 350 to 370 openings in 2026, including 10 to 15 operated by international partners [4]