Chipotle Stock Headed for Worst Day Since 2017

Starbucks is replacing CEO Laxman Narasimhan with Chipotle CEO Brian Niccol

Laura McCandless

Deputy Editor

Aug 13, 2024 at 10:30 AM

SBUX
CMG

Chipotle Mexican Grill Inc (NYSE:CMG) stock is sliding today, down 12.8% at $48.73 at last look, after news that Starbucks (SBUX) is replacing CEO Laxman Narasimhan with Chipotle CEO Brian Niccol. Chipotle has appointed COO Scott Boatwright as interim chief executive amid the abrupt c-suite shakeup.

For context, Starbucks struggled in recent quarters, seeing pressure from slower demand in the U.S. and China. As Niccol had an extremely successful stint at Chipotle -- even through the pandemic -- with shares up over 770% since he took the position in 2018, Starbucks shares are soaring after the announcement.

Should these losses hold, Chipotle stock will mark its largest daily percentage loss since October 2017. Looking to snap a three-day win streak, the equity is still up 6.6% since the start of 2024.

Over in the options pits, CMG has seen 117,000 calls and 88,000 puts exchanged so far -- six times the volume typically seen at this point. The August 55 call is the most popular.

Follow @Schaeffers

Are You Ready for AI's Potential Supercycle Phase?
Amazon's Jeff Bezos surprised investors when he revealed that one emerging technology is the key to Amazon's future success... This technology could be worth $80 trillion by 2030. Learn more and join Motley Fool's Stock Advisor for 50% off!

“Buy This Stock Now!” - Expert Who Called 11x On TSLA

He called a rare 11x on Tesla…

But now, thanks to Elon & Trump’s new alliance…

He says there’s a new opportunity that could be 1,000x BIGGER than Tesla – and it could completely revolutionize a $23 Trillion market.

It’s trading for less than $5 per share right now…

But it won’t be under the radar for long.

Discover The 1,000x Bigger Elon Opportunity Here

Featured Articles from Trusted Partners:

👀Learn How Dividends Create Passive Income for Life
Receive $200 Off Motley Fool Epic. The Motley Fool Epic $299 discounted offer is based on $499/year list price. Introductory promotion for new members only. Take control of your money and your portfolio with Motley Fool Epic.

💵New Income System Could Pay You $4,243 Monthly
You could collect an average of $4,243 per month starting as early as next week with a new payout system for income investors. New registrations are being accepted for investors who want to be in a position to start with their first payout next week.

🚀Easy 92% Crypto Dividends (No Coins Required)
COIN stock doesn't pay a dividend... But there's actually a new way to collect a massive dividend that's indirectly based on the stock and offers a terrific monthly income (currently yielding nearly 92% on a forward basis).

🤝Free Advisor Match with Wiseradvisor.com
Don't leave your retirement to chance! Get matched with a trusted financial expert for FREE and make the most of your tax refund. Get started now.

⚠️Dennis Quaid's #1 Warning for Americans
Here's the thing: life doesn't come with guarantees. The economy shifts, markets stumble, and years of hard work could slip through your fingers like sand. But it doesn't have to be that way for you. So request a free copy of this Gold & Silver Guide that will arrive right to your doorstep when you act now.