Shake Shack Inc. (NYSE:SHAK) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a research note issued on Wednesday. The brokerage currently has a $38.00 price objective on the stock. Zacks Investment Research’s target price points to a potential upside of 14.32% from the company’s current price.
According to Zacks, “Shake Shack Inc. is engaged in owning and operating restaurants. The company offers burgers, hot dogs, frozen custard, crinkle cut fries, beer and wine. It operates primarily in New York, New Jersey, Washington, D.C., Connecticut, Georgia, Illinois, Pennsylvania, Florida, Massachusetts, Virginia, Nevada, London, Istanbul and Dubai. Shake Shack Inc. is headquartered in New York. “
Other equities analysts have also recently issued reports about the stock. Buckingham Research started coverage on shares of Shake Shack in a report on Thursday, June 16th. They issued a “buy” rating and a $45.00 target price on the stock. Vetr raised shares of Shake Shack from a “sell” rating to a “buy” rating and set a $41.00 target price on the stock in a report on Friday, August 12th. SunTrust Banks Inc. raised shares of Shake Shack from a “neutral” rating to a “buy” rating and lifted their target price for the company from $40.87 to $48.00 in a report on Thursday, August 11th. Jefferies Group reaffirmed a “hold” rating and issued a $36.00 target price (down from $38.00) on shares of Shake Shack in a report on Thursday, August 11th. Finally, JPMorgan Chase & Co. reaffirmed a “hold” rating and issued a $38.00 target price on shares of Shake Shack in a report on Wednesday, September 28th. Three research analysts have rated the stock with a sell rating, four have issued a hold rating, five have assigned a buy rating and one has assigned a strong buy rating to the company’s stock. The company presently has a consensus rating of “Hold” and a consensus price target of $39.89.
Shake Shack (NYSE:SHAK) opened at 33.24 on Wednesday. The firm’s 50-day moving average is $35.08 and its 200-day moving average is $36.47. The firm has a market capitalization of $796.20 million, a PE ratio of 82.07 and a beta of 1.15. Shake Shack has a 52-week low of $30.00 and a 52-week high of $53.50.
Shake Shack (NYSE:SHAK) last announced its earnings results on Wednesday, August 10th. The company reported $0.14 EPS for the quarter, beating analysts’ consensus estimates of $0.13 by $0.01. The business had revenue of $66.50 million for the quarter, compared to analysts’ expectations of $63.07 million. Shake Shack had a net margin of 3.35% and a return on equity of 8.09%. The company’s quarterly revenue was up 37.1% on a year-over-year basis. During the same period in the previous year, the company posted $0.09 EPS. On average, analysts anticipate that Shake Shack will post $0.45 earnings per share for the current year.
In related news, major shareholder Richard D. Coraine sold 59,362 shares of the business’s stock in a transaction dated Wednesday, July 20th. The shares were sold at an average price of $40.00, for a total value of $2,374,480.00. Following the sale, the insider now directly owns 5,000 shares in the company, valued at approximately $200,000. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link. Also, major shareholder Granite Point Capital, L.P. sold 100,000 shares of the business’s stock in a transaction dated Wednesday, July 13th. The stock was sold at an average price of $38.22, for a total transaction of $3,822,000.00. Following the completion of the sale, the insider now owns 250,001 shares in the company, valued at $9,555,038.22. The disclosure for this sale can be found here. Company insiders own 44.69% of the company’s stock.
Several large investors have recently added to or reduced their stakes in the company. Royal Bank of Canada raised its stake in Shake Shack by 110.3% in the second quarter. Royal Bank of Canada now owns 11,990 shares of the company’s stock valued at $437,000 after buying an additional 6,289 shares in the last quarter. Schwab Charles Investment Management Inc. increased its position in shares of Shake Shack by 220.8% in the second quarter. Schwab Charles Investment Management Inc. now owns 30,960 shares of the company’s stock valued at $1,128,000 after buying an additional 21,310 shares during the last quarter. Numeric Investors LLC increased its position in shares of Shake Shack by 0.6% in the second quarter. Numeric Investors LLC now owns 94,268 shares of the company’s stock valued at $3,434,000 after buying an additional 600 shares during the last quarter. Weiss Multi Strategy Advisers LLC purchased a new position in shares of Shake Shack during the second quarter valued at $1,366,000. Finally, A.R.T. Advisors LLC purchased a new position in shares of Shake Shack during the second quarter valued at $843,000. Institutional investors and hedge funds own 93.41% of the company’s stock.
Shake Shack Company Profile
Shake Shack Inc operates roadside burger stands. The Company serves an American menu of burgers, hot dogs, crispy chicken, frozen custard, crinkle cut fries, shakes, beer and wine, among others. The Company has approximately 84 Shacks in over 10 countries and approximately 45 cities. The Company’s signature items are its all-natural, hormone and antibiotic-free burgers, hot dogs, crispy chicken, crinkle cut fries, shakes and frozen custard.
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