Can Chipotle Mexican Grill Gain From Sequoia's Stake In Its Shareholding?

Recently the Sequoia Fund in a letter to its shareholders announced that it had taken stake in Chipotle Mexican Grill (NYSE: CMG) in Q2 2016, its stock having been depressed by a series of contamination events at its outlets. This investment was based on discussions fund managers had with a number of food safety experts to verify the efficacy of Chipotle management’s new food safety practices in all of its stores. The fund also held conversations with dozens of industry veterans to develop a t...