Investors chowed down on shares of Chipotle Mexican Grill (CMG) after an analyst Monday boosted his price target on the restaurant chain's stock price, citing an array of new menu items.

Chipotle's stock price jumped 2.48% to $839.17 after the vote of confidence by Telsey Advisory Group, which boosted its price target on the Mexican cuisine chain's stock to $800 a share from $750 previously, according to published reports.

Telsey expects the new menu lineup will have drive up both sales and profits, "adding more reasons for consumers to utilize the brand, lift their dining frequency and expand Chipotle's digital sales and operating momentum," wrote analysts at the firm, Bloomberg reported.

However, Telsey analyst Robert Derrington also offered a cautionary note, choosing to reaffirm Telsey's market perform rating rather than raising it a notch, citing what he contends is  the stock's "frothy valuation," the news service noted.

Still, the Mexican food chain, whose stock has bounced back dramatically after a three-year decline triggered by an E. coli outbreak in 2015, is on solid ground now and poised to grab market share "from weaker fast food and casual dining chains," the Telsey analyst wrote.

And Chipotle's new menu push should continue over the next few months, with the potential to drive an increase in same-restaurant sales that could beat analyst estimates for 2019 and 2020, the report noted.

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