Starbucks Ousts CEO and Taps Chipotle’s Brian Niccol as Boss (2)

In a sudden industry reset, Starbucks Corp.ousted its chief executive officer and picked Chipotle Mexican Grill Inc.’s Brian Niccol as its next leader. The move simultaneously flipped the fortunes of two of America’s largest restaurant chains.

Shares of Starbucks, which now has a new lifeline, soared by 24% on Tuesday, their biggest intraday gain on record. Meanwhile, shares of Chipotle, which has now plunged into uncertainty, dropped by as much as 13%.

Niccol will start his new role on Sept. 9, the company said in a statement. The current chief financial officer will lead the company until ...