Chipotle shares fall rapidly after a scandal over substandard products

Chipotle shares fall rapidly after a scandal over substandard products

09.12.2015 News

Chipotle shares fall rapidly after a scandal over substandard productsThis week Chipotle (Chipotle Mexican Grill) closed another restaurant, this time in Boston, after a large number of students were poisoned by food. Questions of consumers about quality of products in Chipotle grow. Similar cases have been seen in other states, when people feel bad after a visit to Chipotle.

 Food scandal confused the investors of Chipotle. In November the fast-food chain has closed its 43 points due to infection E. coli. After the scandal a large network that specializes in cooking burritos and tacos, appeared in “investment danger.” Chipotle shares fell $ 12.62, or 2.3% on Tuesday to $ 539.13.

The company has been hammered series of complaints, which related to the fact that the restaurant is accused of substandard products. Center for Disease Control and Prevention reported on the virus of E. coli infected the customers of Chipotle’s chain. After the scandal in Boston, the cause of poisoning is being investigated by the Department of Health in Massachusetts.

Analysts build forecasts about how the scandal with food will affect the financial health of the company. According to estimates, the financial profit of the restaurant chain  in the fourth quarter of 2016 fell 25%.

The company is well developed in the period from 2012 to 2015. Its income in the end of 2014 reached $ 4.11 billion, nearly a billion more than in 2013. Profits at the end of 2014 exceeded one billion as compared to $ 758.72 million in 2013.

Restaurant chain has always been very attractive to investors; the company has opened about 1,900 restaurants and has become a worthy competitor of McDonald’s. The incident hit the reputation of Chipotle and now most investors are thinking about whether to invest money into the company in the future.

Source: www.usatoday.com

Other articles

  • The state will sell its stake in Lufthansa in the next two years
    News

    The state will sell its stake in Lufthansa in the next two years

    The Fund for Economic Stability (WSF), created by the German government, saved the largest German airline from bankruptcy after the collapse of air traffic in March 2020 with billions of infusions, but now there is a way out of the crisis, the concern said. Lufthansa intends to return to the state by the end of […]

  • Lufthansa will repay the state aid of 2.5 billion euros
    News

    Lufthansa will repay the state aid of 2.5 billion euros

    The German concern Lufthansa plans to remove the state from its co-owners by increasing its capital by 2.14 billion euros and returning the state anti-crisis aid received during the COVID-19 pandemic. These measures will begin before the elections to the Bundestag on September 26, the airline said on Sunday evening, September 19. From September 22 […]

  • Gazprom has delivered a record amount of gas to Turkey
    News

    Gazprom has delivered a record amount of gas to Turkey

    In 2021, Russia’s Gazprom supplied 20.3 billion cubic meters of gas to Turkey, which is the maximum figure in less than nine months. This was reported by the company’s press service following a meeting of its chairman Alexei Miller with Turkish Minister of Energy and Natural Resources Fatih Donmez on Monday, September 20. At the […]

  • The State Statistics Service has improved the quarterly economy
    News

    The State Statistics Service has improved the quarterly economy

    According to the updated data of the State Statistics Service, Ukraine’s GDP growth in the second quarter of 2021 was 5.7% in annual terms, which is 0.3% higher than the previous estimate. In particular, for six months the nominal GDP was UAH 1 trillion 169.4 billion, and per capita – UAH 28.19 thousand. Compared to […]

  • What help Ukrainian entrepreneurs need to export more
    Analytics

    What help Ukrainian entrepreneurs need to export more

    Exports of goods accounts for a third of Ukraine’s GDP.But we sell primarily raw materials abroad. It is a marker of underdeveloped countries and a path that does not contribute to economic development. Our state’s strategic task is to increase the exports of high-tech goods with high added value: that is, not just to grow […]

  • The Ministry of Finance named the main risks of the economy in 2022
    News

    The Ministry of Finance named the main risks of the economy in 2022

    Next year, Ukraine may face a number of macroeconomic risks that will greatly affect economic growth. The Ministry of Finance listed these risks. In particular, Ukraine may lose 0.6-0.8 percentage points of GDP growth due to too low grain yields, due to which the budget will not receive UAH 8.5 billion. At the same time, […]

  • Ryanair plans to become the main investor in Ukraine
    News

    Ryanair plans to become the main investor in Ukraine

    The low-cost airline Ryanair plans to expand in Ukraine if the open skies agreement with the EU is approved in the coming months. CEO Michael O’Leary stated this. O’Leary predicts the signing of an agreement between Ukraine and the EU by the end of 2021. “One of the markets I would single out is Ukraine. […]

  • Almost 740 enterprises have been put up for sale in Ukraine
    News

    Almost 740 enterprises have been put up for sale in Ukraine

    Ukraine plans to privatize 737 state-owned enterprises during 2021-2023. The Ministry of Economy published the list of objects for sale. Although some companies will be able to sell only after the amendments to the legislation. In particular, such large enterprises as Centerenergo, the United Mining and Chemical Company, Turboatom, the Zaporizhia Titanium and Magnesium Plant, […]

Read also

Chipotle shares fall rapidly after a scandal over substandard products
News

Bloomberg has learned the date of completion of construction of NS -2

Completion of the construction of the Russian Nord Stream-2 gas pipeline is scheduled for September 12. Bloomberg reported this on August 23, citing the maritime authorities of Germany. Laying of pipes in the waters of Germany is carried out by the Russian ship-pipelayer Fortuna. According to a message for seafarers sent by the German Department […]

Next
Chipotle shares fall rapidly after a scandal over substandard products
News

Travel concern TUI expects another 1.2 billion euros of “coronavirus” state aid

TUI will receive another 1.2 billion euros in state aid in connection with the effects of the coronavirus pandemic, the press service of the travel concern said. “The € 1.2 billion stabilization package strengthens the group’s position, providing sufficient liquidity in an unstable market environment. This applies to both the tourist season of the winter […]

Next
Chipotle shares fall rapidly after a scandal over substandard products
News

“Rosinka” urged the bankrupt

The Economic court of Vinnytsia region decided to recognise the Rosinka Kiev plant of the Dewdrop soft drinks entity as the bankrupt. The information on preliminary judicial review had been posted on the Court solutions register website with links to the corresponding court orders. The majority of them is a credits payment liability. There is […]

Next
Chipotle shares fall rapidly after a scandal over substandard products
News

Foreigners continue to withdraw money from Ukraine

In the first quarter of 2021, the net outflow of foreign direct investment from Ukraine amounted to 301 million dollars. This was reported on the website of the National Bank. At the same time, negative reinvested earnings of $ 141 million were recorded. According to the NBU, investments in equity (excluding reinvestment of income) amount […]

Next
Chipotle shares fall rapidly after a scandal over substandard products
News

Why do the foreign investors need Chornobyl zone?

A number of investment companies in the world are interested to invest money in the construction of solar power plants in the Chоrnobyl zone. Among them are China, Germany, Austria and others. It is reported by investment portal InVenture. Head of Ministry of Environmental Protection of Ukraine Ostap Semerak stressed the fact that the Ministry […]

Next
Chipotle shares fall rapidly after a scandal over substandard products
News

Elektrovazhmash will modernize Ukrzaliznytsia’s locomotives

Kharkiv plant Electrovazhmash will soon receive a certificate and will participate in tenders of Ukrzaliznytsia for the renewal of rolling stock. This was announced on Thursday, March 25, the State Property Fund. Representatives of the companies discussed further cooperation within the framework of the previously signed road map. The Minister of Infrastructure Vladislav Krykliy and […]

Next
Chipotle shares fall rapidly after a scandal over substandard products
News

Kurt Walker became a member of the board of a Ukrainian transport company

Former special representative of the US State Department on Ukraine Kurt Walker on Tuesday, September 1, became an independent member of the Board of Directors of BGS Rail. This was reported by LIGA. Business with reference to the press release. It is noted that Kurt Walker will also work as an advisor to the chairman […]

Next
Chipotle shares fall rapidly after a scandal over substandard products
News

Nvidia’s merger agreement with Arm could take more than two years because of China

It may take Nvidia twice as long to get approval for its deal to buy Britain’s largest technology company, Arm Holdings, which is owned by Japanese financial conglomerate SoftBank Group. After the companies announced a $ 40 billion deal last September, the first hurdle was a class action lawsuit from Google, Qualcomm and Microsoft, which […]

Next
Chipotle shares fall rapidly after a scandal over substandard products
News

Oschadbank won the case in the Deposit Guarantee Fund

The state financial institution Oschadbank won the Court in the Individuals Deposit Guarantee Fund (IDGF), and obtained the right not to return 2 billion UAH, that was  received from the Delta Bank. This was stated by FinClub. “The essence of the conflict is to try to return to the Delta assets that Oschadbank received from […]

Next
Chipotle shares fall rapidly after a scandal over substandard products
News

Parliament of Ukraine abolished the mandatory registration of foreign investments

The deputies of the Verkhovna Rada of Ukraine (VRU) supported in the second reading a bill amending the law on the abolition of mandatory state registration of foreign investments. For document №2763 on Tuesday, May 31 voted 259 MPs with the required minimum of 226 votes. This bill will help to create the conditions to […]

Next
Chipotle shares fall rapidly after a scandal over substandard products
News

Ukraine’s space industry has increased its net loss by 23 times since the beginning of the year

Enterprises and institutions of the space industry of Ukraine increased the net loss to 1.038 billion hryvnias from January to September 2020. This is 23 times more than in the first nine months of last year. In 2019, for the same period, the net loss amounted to 44.3 million hryvnias, according to the press service […]

Next
Chipotle shares fall rapidly after a scandal over substandard products
News

The State Food and Grain Corporation of Ukraine (SFGCU) adjudged $ 6,920,000 from Sonders Trading K / S Co., Limited

The court ordered the Sonders Trading K / S Co., Limited, Hong Kong company $ 6,92 million in favor of “State Food and Grain Corporation of Ukraine” (SFGCU), JSC. This is stated in the decision of the Commercial Court of Kyiv on January, 18. On November  1, 2013 SFGCU signed an agreement with the Neslot […]

Next
Chipotle shares fall rapidly after a scandal over substandard products
News

Shell is going to to sell its Ukrainian assets due to the oil crisis

The company will sell its networks in Central and Eastern Europe, which are not profitable, this opinion is shared by the experts on the energy market. The UK-Dutch oil and gas company Royal Dutch Shell, which profit fell 8 times due to the collapse in oil prices may abandon non-core assets and expose their networks […]

Next
Chipotle shares fall rapidly after a scandal over substandard products
News

Volkswagen buys American truck manufacturer for $ 3.7 billion

Traton Group, Volkswagen’s subsidiary for truck production, announced the purchase of its American competitor, Navistar International. Traton, which already owns about 16.7% of Navistar, is buying 83.3% of the company’s shares for the remaining $ 3.7 billion. Thus, the total value of the American company is estimated at $ 4.4 billion. Traton will pay Navistar […]

Next
Chipotle shares fall rapidly after a scandal over substandard products
News

The price of bitcoin exceeded $ 50 thousand for the first time since May

The value of bitcoin reached $ 50,000 on August 23. The last time cryptocurrency was traded at this level was on May 15. According to Coinmarketcap, which compares the data of the largest exchanges, bitcoin exceeded 50.1 thousand, rising by 2.6 percent per day. Other cryptocurrencies are also growing: Ethereum, Binance Coin, XRP and others. […]

Next
Chipotle shares fall rapidly after a scandal over substandard products
News

VISA AND GEORGIA’S TBC-BACKED NEOBANK – SPACE ANNOUNCE STRATEGIC PARTNERSHIP

Visa signs partnership agreement with FTSE250 TBC Bank’s Space, the first Georgian neobank, to develop innovative banking solutions in Georgia and beyond in the growing digital payments landscape. TBILISI, 14 November 2019 – Visa, the world’s leader in digital payments, and Space, the first fully digital bank in Georgia, today announced they have signed a […]

Next
WP2Social Auto Publish Powered By : XYZScripts.com