Shares of Buffalo Wild Wings (NASDAQ: BWLD) fell 7% and tumbled as much as 7.8% after Kansas health officials announced that there were investigating reports of gastrointestinal illness sickening at least 10 customers.
The same report indicated that local health officials have not been able to find the source of the outbreak, but a restaurant 2 miles experienced a similar. The restaurants were closed over the weekend for a "deep cleaning".
“These types of illness are common this time of year,” Lougene Marsh, the department’s director, said in a statement Tuesday. “Proper hand washing and staying home from school, work and public places, like restaurants, when you are ill are the best ways to prevent the spread of these types of illness. We encourage food service facilities and restaurants to take additional precautions to ensure the safety of their customers.”
The stock fell as low as $138.31 in New York, reaching their lowest point since October 2014. As of 11:23 a.m., it was down 6.17%. The company had already decreased 6 % this year before Wednesday’s decline. This year shares of the company are down about 11%.
The company is set to release its quarter report earnings after the closing bell on Wednesday.
Buffalo Wild Wings is currently facing the similar outbreak Chipotle dealt with before. The outbreak resulted in the worst quarters in its company’s history. However, Chipotle is rebounding now within approximately 5 months. How long will the outbreak influence Buffalo? Analyst are still holding their opinions on this event.