Chipotle Faces Consumer Slowdown, Outlook Cut for Third Time

3 months ago

"Let's move on to food. My favorite, the only Mexican grill. You will see, Paul. They are on occasion. Yep. That's falling. Cutting the full year outlook for the third time this year, it appears that diners are pulling back from eating out in the fast casual food category. The burrito chain now sees sales for the full year slipping into the low single digit 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 fell short of Wall Street expectations. So the new CEO, Scott Boatwright, said this was the analyst call. The consumer slowdown is really affecting our business in a meaningful way. Chipotle has fallen about 34%."

Chipotle is experiencing a significant consumer slowdown, leading to a cut in its full-year outlook for the third time. The company now forecasts low single-digit sales growth for the year, and its shares have dropped about 34% amid falling comparable sales.

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