Chipotle is focusing on speedily serving a customer base it's growing through game-like rewards and TikTok engagement. That's good news for shareholders, according to Bernstein. Analyst Danilo Gargiulo began research coverage of the Mexican grill chain with an outperform rating and a price target of $2,000, implying an upside of 35%. He said the chain is both cutting costs while finding new ways to increase base of consumers, meaning "the growth story is far from over.
This is a product of the brand advertising more on TikTok than McDonald's, Starbucks and Wendy's combined, he said. Chipotle also has what he called an "addictive" rewards program where spending resembles a game with special rewards and challenges. Meanwhile, Gargiulo said Chipotle could expand further by moving into breakfast or deserts.
Despite being the same food items, it's quality isn't the same it was 10 yrs ago. Small cuts in quality and management to appease the shorterm Q numbers over time.
Or an increase in food poisoning.