Shake Shack Inc. (SHAK) Upgraded to Buy by Zacks Investment Research
Zacks Investment Research upgraded shares of Shake Shack Inc. (NYSE:SHAK) from a hold rating to a buy rating in a report released on Wednesday morning. Zacks Investment Research currently has $38.00 target price on the stock.
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. “
A number of other equities analysts have also recently weighed in on SHAK. Wedbush restated an underperform rating and set a $30.00 price objective on shares of Shake Shack in a research report on Thursday, August 11th. SunTrust Banks Inc. upgraded shares of Shake Shack from a neutral rating to a buy rating and upped their price objective for the stock from $40.87 to $48.00 in a research report on Thursday, August 11th. Vetr cut shares of Shake Shack from a hold rating to a sell rating and set a $37.50 price objective for the company. in a research report on Wednesday, July 20th. JPMorgan Chase & Co. restated a hold rating and set a $38.00 price objective on shares of Shake Shack in a research report on Wednesday, September 28th. Finally, Jefferies Group restated a hold rating and set a $36.00 price objective (down from $38.00) on shares of Shake Shack in a research report on Thursday, August 11th. Three analysts have rated the stock with a sell rating, four have given 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 target price of $39.89.
Shares of Shake Shack (NYSE:SHAK) opened at 33.15 on Wednesday. Shake Shack has a 12 month low of $30.00 and a 12 month high of $53.50. The company has a market capitalization of $794.04 million, a P/E ratio of 81.85 and a beta of 1.15. The stock’s 50 day moving average is $34.92 and its 200 day moving average is $36.51.
Shake Shack (NYSE:SHAK) last posted its quarterly earnings data on Wednesday, August 10th. The company reported $0.14 earnings per share for the quarter, topping the Zacks’ consensus estimate of $0.13 by $0.01. The company earned $66.50 million during 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 firm’s revenue for the quarter was up 37.1% on a year-over-year basis. During the same period in the prior year, the business posted $0.09 earnings per share. On average, equities analysts predict that Shake Shack will post $0.45 EPS for the current fiscal year.
In other Shake Shack news, major shareholder Richard D. Coraine sold 59,362 shares of the stock in a transaction dated Wednesday, July 20th. The shares were sold at an average price of $40.00, for a total transaction of $2,374,480.00. Following the completion of the transaction, the insider now owns 5,000 shares of the company’s stock, valued at $200,000. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, major shareholder Laura J. Sloate sold 2,500 shares of the stock in a transaction dated Tuesday, August 9th. The stock was sold at an average price of $42.35, for a total transaction of $105,875.00. Following the transaction, the insider now directly owns 10,000 shares of the company’s stock, valued at approximately $423,500. The disclosure for this sale can be found here. 44.69% of the stock is currently owned by corporate insiders.
A number of hedge funds and other institutional investors have recently made changes to their positions in the company. USA Mutuals Advisors Inc. bought a new position in shares of Shake Shack during the second quarter valued at $182,000. Wealthsource Partners LLC acquired a new stake in shares of Shake Shack during the first quarter valued at about $219,000. UBS Asset Management Americas Inc. boosted its stake in shares of Shake Shack by 5.3% in the second quarter. UBS Asset Management Americas Inc. now owns 6,000 shares of the company’s stock valued at $219,000 after buying an additional 300 shares in the last quarter. BlackRock Advisors LLC boosted its stake in shares of Shake Shack by 121.1% in the second quarter. BlackRock Advisors LLC now owns 6,245 shares of the company’s stock valued at $228,000 after buying an additional 3,420 shares in the last quarter. Finally, Quadrature Capital Ltd acquired a new stake in shares of Shake Shack during the second quarter valued at about $289,000. 93.41% of the stock is owned by institutional investors.
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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