Chipotle's Tarnished Image Puts Every Sneeze Under Scrutiny
Posted in: UncategorizedThe reports were familiar: In the space of 48 hours, a handful of people said they’d gotten sick after eating at a Chipotle Mexican Grill.
Bang: Wall Street’s judgment was swift — and brutal. Chipotle’s stock plunged nearly 8% on Tuesday, erasing its gain for the year. The episode, which involved a single location in Sterling, Virginia, recalled the string of foodborne illnesses that upended the chain two years ago, and underscored the fact that the company remains on probation with both customers and investors.
“Chipotle is under the microscope,” said Stephen Anderson, an analyst at Maxim Group. “Since this is Chipotle and it’s had its troubles in the past, it’s going to be under pressure.”
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