Taco Bell's parent company, Yum Brands, saw shares drop 4.5% on Tuesday to below $160 amid headlines about a potential link between the fast-food chain and an outbreak of explosive diarrhea. The stock continued to slide in after-hours trading.
The sell-off comes as state and federal investigators probe a multistate cyclosporiasis outbreak that may be connected to lettuce served at Taco Bell. The Washington Post reports that leafy lettuce is the leading suspect, but other food items have not been ruled out.
Taco Bell has already removed several fresh ingredients—including lettuce, pico de gallo, guacamole, and its cilantro-onion blend—from some locations while the investigation continues. The company stated, "Public health officials have not confirmed a link to Taco Bell or any specific ingredient, supplier, restaurant or retailer."
Despite the lack of a confirmed connection, investors are taking the news seriously, and social media is flooded with jokes about Taco Bell-induced diarrhea. The outbreak and subsequent headlines have clearly taken a toll on the company's market value.