When Your Old Investor Becomes Your PR Problem

Here's a situation no corporate communications team wants to deal with: your company is getting dragged on social media because of someone who used to own a bunch of your stock. Welcome to Chipotle's week.

Billionaire investor Bill Ackman donated $10,000 to a GoFundMe campaign for ICE agent Jonathan Ross, who fatally shot Renee Nicole Good in Minnesota last week. The donation sparked immediate backlash on social media, with users calling for boycotts of businesses connected to Ackman. And somehow, Chipotle Mexican Grill Inc. (CMG) found itself in the crosshairs.

The confusion is understandable, if technically wrong. Ackman's hedge fund, Pershing Square Capital Management, was once one of Chipotle's largest shareholders. He invested over $1 billion in September 2016, acquiring a 9.9% stake when the stock was beaten down from food-safety issues and slumping sales. Pershing Square pushed for changes and held a significant position for years.

But here's the thing: Ackman doesn't run Chipotle. He's not on the board. He's not making decisions about guacamole pricing or burrito bowl portions. And as of late 2025, Pershing Square doesn't even own Chipotle stock anymore. The fund sold its entire position after years of trimming the stake and taking gains.

Chipotle Issues a Rare Clarification

Still, social media users were calling Ackman the "owner" of Chipotle and urging boycotts of the restaurant chain. That prompted Chipotle to do something companies generally try to avoid: wading into a politically charged conversation.

"Bill Ackman is not affiliated with Chipotle," the company stated on its Threads account.

It's a short statement, but it speaks volumes about how worried Chipotle is about potential boycotts. The company clearly doesn't want to get tangled up in the heated political climate surrounding the Minnesota shooting. By addressing the issue head-on, Chipotle is trying to draw a bright line between itself and Ackman.

At the end of the third quarter, Pershing Square still held 21,541,177 shares, making Chipotle the eighth-largest position in the fund at 5.8% of the portfolio. But that was before the fund announced it had sold the entire stake later in 2025.

Why Ackman Says He Made the Donation

Ackman took to X to defend his decision, responding to critics like author Shannon Watts, who called it "reward money for shooting a mother of three in the face."

Not quite, Ackman argued. He said people characterizing it as a reward were doing so to "generate clicks and boost virality." Instead, he framed the donation as part of a longstanding personal commitment to helping accused individuals afford legal defense.

"My purpose in supporting Ross and attempting to support Good was not to make a political statement. I was simply continuing my longstanding commitment to assisting those accused of crimes of providing for their defense," Ackman wrote in a lengthy post.

Ackman said he had also planned to donate to a GoFundMe set up for Good's family, but it closed after reaching its $1.5 million goal. He explained that he wanted to donate to Ross because the ICE agent would likely need funds for defense costs, and to Good's family because it was "the right thing to do."

The billionaire shared a personal story about being accused of a crime he didn't commit 23 years ago, saying he was "convicted in the headlines" despite his innocence. That experience, he suggested, shaped his view on ensuring accused people have resources for their defense.

"I strongly believe that only a detailed forensic investigation by experts and a deep understanding of the law that applies will enable us to determine whether Ross is guilty of murder," Ackman wrote.

He added that he deliberately didn't make the donation anonymous, hoping his name would encourage others to contribute. "Ross has only been convicted by some in the world of public opinion. He has not been charged with a crime," Ackman noted.

What's Next for Chipotle

Chipotle is hoping its public clarification will be enough to head off any serious boycott efforts. The company has other things to focus on right now.

Two executives recently departed: Chris Brandt, who served as president and chief brand officer for eight years, and Chief Legal Officer Roger Theodoredis.

The restaurant chain is scheduled to report fourth-quarter financial results on February 3. Analysts expect earnings per share to come in slightly below last year's fourth quarter, while revenue is projected to rise from $2.85 billion to $2.96 billion. Chipotle has beaten earnings estimates for three consecutive quarters, though revenue has missed analyst expectations for five straight quarters.

Looking ahead, the company could benefit from the current focus on protein-heavy foods, which align with Robert F. Kennedy Jr.'s new food pyramid recommendations. Telsey analyst Sarang Vora, who has an Outperform rating and $50 price target, highlighted Chipotle's expansion opportunities in both North America and internationally. Vora believes Chipotle can become a "global restaurant brand," with unit growth of 8% to 10% expected in the coming years and average unit volumes returning to growth in 2026 and 2027.

CMG Price Action: Chipotle Mexican Grill closed Wednesday up 2.99% at $40.59. The stock's 52-week range is $29.75 to $59.57.