10 High Growth Food Stocks to Buy

4. Chipotle Mexican Grill, Inc. (NYSE:CMG)

Number of Hedge Funds Holders: 68

5-year Revenue CAGR: 17.20%

Chipotle Mexican Grill, Inc. (NYSE:CMG) is redefining fast-casual dining through its commitment to high-quality ingredients, rapid expansion, and digital transformation. With record-breaking growth and strong financial performance, the company has solidified its place in our list of the high growth food stocks to buy.

The company’s momentum is showing no signs of slowing. Chipotle opened 304 new restaurants in 2024, up from 271 in 2023. The expansion will continue as Chipotle Mexican Grill, Inc. (NYSE:CMG) plans to open between 315 and 345 new locations by 2025 end. This aggressive growth strategy has helped drive total revenue to $11.3 billion, up by 14.6% YoY. Digital sales were significant, accounting for 35% of total revenue, demonstrating the company’s ability to meet the changing preferences of today’s customers.

To support its rapid growth, Chipotle Mexican Grill, Inc. (NYSE:CMG) has prioritized operational efficiency by investing in digital kitchen technology and automation. Investment in automated cooking equipment has increased restaurant throughput while maintaining the brand’s high-quality standards. These technological advancements not only improve service quality, but also allow Chipotle to scale more effectively while remaining profitable.

On the other hand, exhibiting supply chain resilience is a critical feature of Chipotle’s strategy. Accordingly, by sourcing 50% of its avocado supply from outside Mexico, the company has reduced the risk of trade tariffs and supply disruptions. This diversification not only keeps ingredient costs stable, but it also protects the company’s long-term margins.

According to Insider Monkey hedge fund database, investor confidence in Chipotle remains high, with 68 hedge funds holding stakes in the company, as of Q4 2024. Furthermore, the company’s stock has increased by 3.58% in the last six months. Thus, Chipotle Mexican Grill, Inc. (NYSE:CMG) remains one of the top high-growth companies in the food industry, thanks to its clear expansion strategy, ongoing technological investments, and proactive supply chain approach.