Chipotle Mexican Grill (CMG) PT Lowered to $300 at Baird Following 3Q Miss
Baird lowered its price target on Chipotle Mexican Grill (NYSE: CMG) to $300.00 (from $340.00) while maintaining a Neutral rating following the company's 3Q. EPS of $1.33 missed consensus on higher-than-expected food costs, one-time impacts from hurricanes, and some unexpected closing/impairment costs.
Management intends to slow unit development temporarily for the next 12-18 months to focus on improving execution within the existing base. Baird Lowered 2017E EPS to $6.53 (consensus $7.37) and 2018E to $9.40.