03:47 PM EST, 11/11/2024 (MT Newswires) -- Chipotle Mexican Grill ( CMG ) said Monday it has named Scott Boatwright as its permanent chief executive with immediate effect.

The burrito chain appointed Boatwright as interim CEO in August after its then-CEO Brian Niccol resigned to join coffee giant Starbucks ( SBUX ) as CEO and chairman in September. Boatwright previously served as Chipotle's chief operating officer.

"We conducted a thorough and rigorous external search process that confirmed (Boatwright) is absolutely the best person to lead the next stage of growth at Chipotle," Chairman Scott Maw said in a Monday statement. "The board overwhelmingly believes (Boatwright) will deliver on the key strategies in place and position the company for continued success."

Boatwright is a board member at sporting goods retailer Academy Sports and Outdoors ( ASO ) .

Chipotle shares were up 0.8% in Monday late-afternoon trade. Year-to-date, the stock has risen 30%.

Boatwright's appointment as the permanent CEO is a positive for the company, Truist Securities said in a note to clients.

"While menu innovation with seasonal offers, the growth of digital sales and improved marketing have contributed to (Chipotle's) sales growth and recovery post food-safety issues, we believe the primary driver has been improved operations, which Mr. Boatwright is well-positioned to continue," Truist analyst Jake Bartlett said.

Late last month, the company reported mixed third-quarter results, with its adjusted per-share earnings topping Wall Street estimates and revenue lagging. The company continues to expect full-year comparable restaurant sales growth in the mid- to high-single digit range, it said at the time.

"The momentum in the business has continued into the fourth quarter with accelerating transaction trends," Boatwright said on an earnings conference call in October, according to a Capital IQ transcript.

Price: 59.20, Change: +0.39, Percent Change: +0.66