Chipotle Mexican Grill (NYSE:CMG) is set to execute a 50-for-1 CMG stock split.

Although this development doesn’t directly impact the overall worth of the beloved Mexican cuisine establishment, it triggered a 5% surge in CMG stock value overnight. At pre-market hours, shares were exchanging hands at $2,939 per share. Post-split, these shares would be valued at $59 each, maintaining the market capitalization at a stable $81 billion. Consequently, the stock count will escalate from the present 27.42 million to a post-split count of 1.371 billion.

A Journey to the Pinnacle

Chipotle debuted on the market 18 years ago with a modest initial share price of $22. Fast forward to 2023, and the chain boasted a network of 3,437 restaurants, with a vast majority situated in the U.S., except for 67 overseas locations. Furthermore, Chipotle continues to add approximately 250 more stores annually.

Despite its current eminence, Chipotle’s trajectory to success was fraught with challenges. Amidst a slew of food-handling crises in the mid-2010s, founder Steve Ells was ousted in 2017 and later succeeded by Brian Niccol.

Upon assuming leadership, Niccol wasted no time in revamping the executive team, relocating the company from Denver, Colorado to Newport Beach, California, and laying down his strategy for success. Notably, his introduction of pick-up shelves, catering packs, and a loyalty program resonated well, especially during the Covid era, catapulting Chipotle to unprecedented victory.

Today, Chipotle’s trajectory is often likened to that of McDonald’s (NYSE:MCD), which is fascinating given Chipotle’s origin as a McDonald’s spin-off. Amidst its triumphs, Chipotle has inspired competitors like Cava (NASDAQ:CAVA) in the Mediterranean cuisine sector, with CMG stock witnessing a soaring 70% increase since its market debut last June.

The Future Unveiled

Chipotle’s innovative strides within the fast-food landscape have been remarkable, yet the potential for further expansion remains vast. Compared to McDonald’s sprawling empire of 40,000 outlets globally, Chipotle has only begun to scratch the surface beyond U.S. borders.

On the publication date, Dana Blankenhorn affirmatively stated no direct or indirect investment positions in the securities highlighted in this article. The viewpoints expressed herein belong to the author and are subject to the editorial regulations of InvestorPlace.com.