Market Overview

Newest Fast-Food Battle Pits Chipotle Against Burger King

Newest Fast-Food Battle Pits Chipotle Against Burger King
Related CMG
Bill Ackman's Pershing Square Q3 Shareholder Letter Weighs In On Valeant, Chipotle
Chipotle Is Having Its Second-Worst Day Of 2016
Bill Ackman Comments on Chipotle Mexican Grill (GuruFocus)
Related JACK
10 Stocks With Highest Close In Three Weeks
10 Notable Stocks Trading Ex-Dividend Thursday, December 1
Cramer's Wrong: Chipotle Won't Come Back Like Jack-In-The-Box; Here's Why (Seeking Alpha)

Investors following the restaurant sector would likely list Panera Bread Co (NASDAQ: PNRA), Jack in the Box Inc. (NASDAQ: JACK)'s Qdoba and a few other names in the "fast casual" space as being Chipotle Mexican Grill, Inc. (NYSE: CMG)'s main competitors.

According to a report by Bloomberg, restaurant investors can add a new name to the list of Chipotle's competitors: Restaurant Brands International Inc (NYSE: QSR)'s Burger King.

Burger King's new "Whopperito" consists of standard Whopper burger ingredients such as beef, tomatoes, onions, lettuce and pickles inside a tortilla. Bloomberg suggested that the new menu item was created with the intention of "taking a stab at Chipotle" whose name took a hit recently following several foodborne illnesses that were linked to its restaurants.

Related Link: Chipotle E. Coli Saga Will Be Studied For 'Decades To Come,' JPMorgan Warns

Burger King's $2.99 new menu item offers consumers the chance to save a few dollars compared to Chipotle's burrito, which sells anywhere from $7 to $9, depending on the region.

"It's certainly one of the first times that we've tapped into the Tex-Mex category," Bloomberg quoted Alex Macedo, North American president at Burger King as saying in an interview. "It's one of the fastest-growing categories — consumers like the freshness of it, they like the mix of flavors."

Ironically enough, Chipotle said in late July that it plans on moving into Burger King's line of business with a chain of burger restaurants called Tasty Made. However, Macedo told Bloomberg that its new Whopperito isn't in response to any competitive activity.

Full ratings data available on Benzinga Pro.

Do you have ideas for articles/interviews you'd like to see more of on Benzinga? Please email with your best article ideas. One person will be randomly selected to win a $20 Amazon gift card!

Latest Ratings for CMG

Nov 2016GuggenheimDowngradesNeutralSell
Oct 2016Goldman SachsMaintainsNeutral
Oct 2016Credit SuisseDowngradesOutperformNeutral

View More Analyst Ratings for CMG
View the Latest Analyst Ratings

Posted-In: Alex Macdeo Bloomberg Casual Fast FoodAnalyst Color Restaurants Analyst Ratings Media General Best of Benzinga


Related Articles (JACK + CMG)

View Comments and Join the Discussion!