Heat olive oil in a heavy-bottomed pot over medium-high heat. Add diced onion and cook until softened, about 5 minutes.
Add minced garlic and cook for another minute until fragrant.
Toss beef chunks with flour in a bowl until lightly coated. Add to the pot and brown on all sides, about 6-8 minutes total. (Don't overcrowd the pot — brown in batches if needed for proper searing)
Add chopped green chiles and let them heat through for 2-3 minutes, releasing their flavor.
Pour in the diced tomatoes with their juice and 2 cups water. Bring to a simmer.
Add potato chunks, cover, and simmer for 45-60 minutes until beef is tender and potatoes break easily with a fork.
Check liquid level every 20 minutes and add more water if needed — you want a stewlike consistency, not dry.
Season with salt to taste. Serve hot with warm flour tortillas.
The stew gets better as it sits — flavors meld and deepen. Keep simmering gently if you have time.
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