Chipotle Stock Plummets After Q3 2024 Earnings Fall Short

Chipotle released disappointing Q3 2024 results, and the fast-food giant’s stock plummeted as a result.

According to Yahoo! Finance, as investors processed third-quarter earnings that fell short of Wall Street’s sales projections following a run of successful quarters, the fast-food giant’s shares dropped early on Wednesday.

According to Bloomberg consensus estimates, the burrito company reported $2.78 billion in revenue on Tuesday, which was less than the $2.82 billion predicted but up 13% year over year. With adjusted earnings per share of $0.27, the company outperformed projections of $0.25 and increased 17.4% over the previous year.

In Wednesday morning trading, the company’s shares fell 6%.

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During a call with investors, interim CEO Scott Boatwright stated that the fast-food chain’s food, service, and the return of smoked brisket drove check size, foot traffic, and margins. Other temporary products, such as honey chicken, are being tried in Nashville and Sacramento.

The findings come as investors wait for the appointment of a new CEO following Starbucks’ August poaching of former CEO Brian Niccol.

Chipotle Has Been Trying To Attract Customers

The fast-food giant has been trying to attract new customers throughout 2024. Most recently, back in September, Chipotle brought back a fan-favorite menu item, the smoked brisket, to bring customers through its doors.

For individuals who want to try smoked brisket for the first time, Vice President of Culinary Nevielle Panthaky recommends a Smoked Brisket Burrito Bowl with white rice, black beans, fresh tomato salsa, and cheese.

It’s not your normal brisket experience with the Smoked Brisket. Traditional cooking techniques are employed to create rich flavor layers that perfectly match the brand’s usage of real, fresh ingredients. Using responsibly farmed beef, this culinary innovation is grilled and seasoned with smoked serrano and chipotle chili peppers. A tasty brisket sauce made with smoky chili peppers that have been hand-chopped into juicy, tender chunks completes the protein.

“We are listening to our guests and bringing this fan-favorite menu innovation out of the vault after three years,” said Chris Brandt, chief brand officer at Chipotle, in a statement. “This premium protein is sure to delight guests looking to taste the difference of brisket prepared the Chipotle way.”