Consumer
Starbucks Ousts CEO and Taps Chipotle’s Brian Niccol as Boss
- Shares in coffee chain jump by record; Chipotle drops
- Abrupt leadership change comes as activists amass stakes
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In a sudden industry reset, Starbucks Corp. ousted its chief executive officer and picked Chipotle Mexican Grill Inc.’s Brian Niccol as its next leader. The move simultaneously flipped the fortunes of two of America’s largest restaurant chains.
Shares of Starbucks, which now has a new lifeline, soared by 24% on Tuesday, their biggest intraday gain on record. Meanwhile, shares of Chipotle, which has now plunged into uncertainty, dropped by as much as 13%.