These five stocks in the S&P 500 now have the highest prices

Chipotle Mexican Grill (NYSE:CMG) opened trading with a 2.40% swing lower after the restaurant company executed its first stock split ever. The stock split stood out as one of the biggest in the history of the New York Stock Exchange.

Following the high-profile Chipotle (CMG) stock split, the stocks in the S&P 500 Index with the highest share prices are NVR (NVR), Booking Holdings (BKNG), Autozone (AZO), Broadcom (AVGO), and Fair Isaac (FICO).

On Wall Street, Cowen reiterated its Buy rating on Chipotle (CMG) at its new slimmed-down price. Analyst Andrew Charles believes Chipotle (CMG) is well positioned to deliver mid single-digit same-store sales annually over the medium term, driven by the Project Square One operational blueprint to restore 2019 service standards that provide a medium-term tailwind to traffic. In addition, CMG’s omnichannel business is seen having room to move higher due to Chipotlanes. Notably, Cowen’s proprietary survey data suggests accelerating consumer demand for transparent food sourcing. Charles and his team expect the brand to be more top of mind for consumers, due to menu innovation and an ad budget that grows in line with sales. The firm’s price target of $72 is based on a ~50x FY2 adjusted EPS multiple, a level where Chipotle peaked several times in 2020-2021. “We believe a peak multiple can be justified by 1) confidence in 2024 positive traffic that provides a scarcity value in the restaurant industry; 2) Chipotlane’s near peak new store economics of ~65% vs pre-2015’s 70%-80%; and 3) a clear path to returning to the high end of 8%-10% new store growth in 2025,” updated Charles.

Chipotle’s (CMG) one-year gain of 41% ranks the 8th highest out of the 54 stocks in the restaurant sector.