Chipotle Mexican Grill (CMG) roared to life in extended hours after outdoing second quarter estimates. The burrito bowl chain posted $3.0 billion in revenue and adjusted earnings of $0.34 per share, with sales rising 11%. The stock has since calmed down in after-hours trading but maintains gains.

Morningstar senior equity analyst Sean Dunlop comes onto Asking for a Trend to talk Chipotle's "really solid earnings results" and how the fast-casual restaurant manages growth while trying to keep menu prices low.

"It really is sensational. I think they would point to improvements in operations that have been laser-focused on increasing their peak transaction capacity, and they measure that as the number of burritos that they can move through a store in a 15-minute stretch. And you've got restaurants basically operating at 100 entrees per hour at this point" off of productivity margins from 10 years ago.

Dunlop also weighs in on how consumers are trading up and spending more on Chipotle for dining out occasions, as well as CFO Jack Hartung's announced retirement set for 2025.

For more expert insight and the latest market action, click here to watch this full episode of Asking For A Trend.

This post was written by Luke Carberry Mogan.