Starbucks shot down reports that the coffee giant was considering acquiring restaurant chain Chipotle Mexican Grill.
A spokesperson for Starbucks said it is not buying Chipotle, which has a market worth of $47 billion, saying that the company is focused on its strategic plan to boost growth.
"Our team is laser-focused on executing our Back to Starbucks strategy. We have strong momentum and confidence in our long-term growth potential. We look forward to sharing our Q4 results, including FY27 guidance, later this month," a Starbucks spokesperson said in a statement to CBS News.
Chipotle's stock soared as much as 8% last week after the Financial Times reported that Starbucks had been exploring a deal to purchase Chipotle.
Industry analysts were skeptical of the report. TD Cowen analysts said in a research note last week that they considered a merger between Starbucks and Chipotle "a low-probability outcome," and instead expected Starbucks chief executive Brian Niccol to prioritize the company's turnaround plan.
Niccol previously served as CEO of Chipotle, whose stock price has dropped about 50% since he left the post in August 2024. The shares have lost about 20% of their value over the past year.
