Chipotle

Chipotle (CMG - Get Report)   is gaining 0.75% after analysts at Wedbush upgraded the stock to neutral from underperform while also raising their price target to $640 from $500. 

The price target still represents a 4.5% downside from the stock's closing price Thursday of $670.45. The stock has been on the rebound all year and has risen nearly 60% in 2019. 

Wedbush channel checks suggested that same-store sales growth was 6.6% in the first quarter, which the firm said was caused by digital/delivery and marketing pushes. That marketing push is driving loyalty with the brand, which analyst Nick Seytan said he finds valuable. 

"We view loyalty as a compelling value, with 10-11 transactions equating to a free entrée at CMG's current in-store average check of ~$12 and 8 digital transactions equating to a free entrée at the current digital average check of $16-17 (Figure 5). Therefore, we believe the adoption/use of loyalty could sustain YoY growth rates in digital at levels we previously believed were unrealistic as compares become difficult," Seytan said. 

Chipotle shares were rising 0.5% in premarket trading Friday to $673.44.

Will You Have Enough Money Retire?

Want to learn about retirement planning from some of the nation's top experts? Join TheStreet's Robert "Mr. Retirement" Powell live in New York on April 6 for our Retirement Strategies Symposium. For a limited time, tickets are available for $99 for this full-day event. Check out the agenda, learn about the speakers and sign up here.