Before the open, Wedbush Securities turned negative on Chipotle Mexican Grill (CMG). The analyst has finally come to the conclusion that the market is overly optimistic on the recovery potential of the stock that had recently rebounded far above $500. The analyst lowered the target on the stock to $400 from a previous $450 level. Even at that level, the stock trades at nearly 30x analyst forecasts for 2017 that are likely too optimistic. When Chipotle starts trading in the $300s, the stock will get interesting. More analyst downgrades will help the stock reach a bottom, but it's still too early. Disclosure: No position