Retail and restaurant chains are starting to feel the impact of persistent inflation, especially as lower-income customers cut back on spending.
Burrito chain Chipotle Mexican Grill Inc. (NYSE:CMG) recently saw its stock tumble 19% in a single day after missing third-quarter revenue estimates and cutting its full-year same-store sales forecast. The fast-casual restaurant chain, where an average burrito and bowl costs about $10-$12, is struggling as fewer young Americans dine out due to rising inflation and weakening consumer sentiment, Chief Executive Scott Boatwright told analysts during its Q3 earnings call last month.
