Chipotle Faces Downbeat Outlook Amid Consumer Slowdown

3 months ago

Paul Swinny

"Chipotle Mexican Grill. You will see Paul there on occasion. Um that's falling, cutting the fullear outlook for the third time this year. It appears that diners are pulling back from eating out in the uh the fast casual uh food category. The burrito chain now sees sales for the full year slipping into the low singledigit range from a year earlier. Earlier they projected that performance would be flat. By the way, in the third quarter, comp sales rising slightly, but it also uh fell short of Wall Street expectations. So, the new CEO, Scott Boatight, said uh this was the analyst call. The consumer slowdown is really affecting our business in a meaningful way. Chipotle has fallen about 34%."

The commentary outlines a deteriorating sales outlook for Chipotle as the company lowers its full-year guidance amidst a notable consumer slowdown, with the stock experiencing a steep decline and comp sales underperforming Wall Street expectations.

Related Stocks