Shares of Chipotle Mexican Grill rallied Wednesday, just one day after the company announced it was poaching Taco Bell CEO Brian Niccol to take the mantle as its new chief executive.
The burrito chain's stock spiked more than 15 percent, closing up more than $38 per share at $289.91, just shy of its best daily performance since Oct. 18, 2013 when it gained 16.1 percent.
Investors praised Chipotle's hire, suggesting that the addition of Niccol could be the move that finally initiates a solid turnaround for the company. Chipotle has struggled of late to win customers back after a number of food-safety issues trampled traffic and sales.
While menu price increases helped Chipotle in the fourth quarter, the company expects traffic to continue to lag during through the middle of the year.