Chipotle Mexican Grill(US:CMG) The Motley Fool·2026-02-13 02:05Core Insights - Chipotle Mexican Grill's shares have experienced volatility, currently trading 42% below their peak but have risen 29% in the last three months [1] - The company exceeded analyst expectations for revenue and earnings per share in Q4 2025, yet foot traffic declined in every quarter of 2025 [1][6] Business Outlook - CEO Scott Boatwright expressed confidence in achieving $4 million annual unit volumes (AUVs) and approaching 30% margins, with Q4 2025 AUVs at $3.1 million [4] - Chipotle aims to expand from 4,042 company-owned stores to 7,000 in North America, indicating a revenue potential of $28 billion, which is 135% higher than 2025 revenue [5] Growth Strategy - In 2025, Chipotle opened 334 new locations and plans to open 350 to 370 in 2026, many featuring Chipotlane drive-through setups to enhance sales and margins [7] - The company continues to invest in supply chain and technology initiatives, aiming for higher AUVs and improved restaurant-level margins [7] Market Position - Chipotle has maintained growth in store base, revenue, and profits since the COVID-19 pandemic, despite facing macroeconomic challenges such as inflation and rising interest rates [8] - The current price-to-earnings ratio of 34.4 is 72% lower than five years ago, presenting a potential investment opportunity [9]