Is Hiring Chipotle CEO Brian Niccol a Good Move for Starbucks?
The news that Chipotle (NYSE: CMG) CEO Brian Niccol has jumped ship to move to Starbucks (NASDAQ: SBUX) sent shock waves across the restaurant industry. Niccol has had a successful tenure at Chipotle with rapid expansion, revenue growth in the double digits, and procedural changes that addressed the setbacks that hurt Chipotle in previous years.
However, Starbucks presents its own challenges. Howard Schultz has been Starbucks' only truly successful CEO, and the company has brought him back more than once because it failed to find an adequate replacement. Hence, the question for investors is whether this will be a move that will boost the coffee stock over time.
The choice of Niccol was undoubtedly determined by his performance as Chipotle CEO. Since he took over in March 2018, the stock has risen by over 700%, almost six times the return the S 500 delivered over the same timeframe.
Source Fool.com
Chipotle Mexican Grill Inc. Stock
The stock is one of the favorites of our community with 75 Buy predictions and 1 Sell predictions.
With a target price of 2370 € there is potential for a 4892.63% increase which would mean more than doubling the current price of 47.47 € for Chipotle Mexican Grill Inc..
