Shake Shack’s (SHAK) Buy Rating Reaffirmed at DA Davidson

Shake Shack (NYSE:SHAK)‘s stock had its “buy” rating reissued by research analysts at DA Davidson in a research report issued to clients and investors on Monday,Benzinga reports. They presently have a $125.00 price target on the stock. DA Davidson’s price target suggests a potential upside of 23.86% from the stock’s previous close.

Several other equities research analysts also recently weighed in on the company. JPMorgan Chase & Co. raised their price objective on Shake Shack from $95.00 to $100.00 and gave the company a “neutral” rating in a report on Friday. Robert W. Baird raised their price objective on Shake Shack from $104.00 to $108.00 and gave the company a “neutral” rating in a report on Friday, February 27th. Wolfe Research started coverage on Shake Shack in a report on Monday, March 9th. They set an “outperform” rating and a $118.00 price objective on the stock. Zacks Research raised Shake Shack from a “strong sell” rating to a “hold” rating in a report on Monday, March 9th. Finally, Truist Financial lifted their target price on Shake Shack from $144.00 to $148.00 and gave the stock a “buy” rating in a report on Monday, March 2nd. One investment analyst has rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and fourteen have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average target price of $119.67.

Shake Shack Price Performance

Shares of NYSE SHAK traded down $2.10 during mid-day trading on Monday, hitting $100.92. 240,077 shares of the stock traded hands, compared to its average volume of 1,389,851. The company has a debt-to-equity ratio of 0.45, a current ratio of 1.76 and a quick ratio of 1.73. Shake Shack has a twelve month low of $76.51 and a twelve month high of $144.65. The company has a market cap of $4.31 billion, a PE ratio of 92.42, a price-to-earnings-growth ratio of 4.04 and a beta of 1.75. The firm has a 50 day simple moving average of $93.59 and a two-hundred day simple moving average of $90.82.

Shake Shack (NYSE:SHAK) last released its quarterly earnings data on Thursday, February 26th. The company reported $0.37 earnings per share for the quarter, beating the consensus estimate of $0.35 by $0.02. Shake Shack had a return on equity of 11.08% and a net margin of 3.16%.The company had revenue of $400.53 million for the quarter, compared to the consensus estimate of $402.06 million. During the same quarter last year, the business posted $0.26 EPS. Shake Shack’s revenue for the quarter was up 21.8% on a year-over-year basis. As a group, equities research analysts forecast that Shake Shack will post 1.39 EPS for the current fiscal year.

Insider Buying and Selling

In other Shake Shack news, insider Stephanie Ann Sentell sold 258 shares of Shake Shack stock in a transaction dated Wednesday, April 15th. The stock was sold at an average price of $102.21, for a total transaction of $26,370.18. Following the transaction, the insider directly owned 15,084 shares of the company’s stock, valued at approximately $1,541,735.64. The trade was a 1.68% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 8.50% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in the business. Wellington Management Group LLP raised its position in shares of Shake Shack by 21.0% in the 3rd quarter. Wellington Management Group LLP now owns 2,590,911 shares of the company’s stock worth $242,535,000 after acquiring an additional 450,406 shares in the last quarter. 12 West Capital Management LP raised its position in shares of Shake Shack by 12.0% in the 4th quarter. 12 West Capital Management LP now owns 1,963,595 shares of the company’s stock worth $159,385,000 after acquiring an additional 210,000 shares in the last quarter. State Street Corp raised its position in shares of Shake Shack by 1.1% in the 2nd quarter. State Street Corp now owns 1,470,084 shares of the company’s stock worth $206,694,000 after acquiring an additional 15,607 shares in the last quarter. Swedbank AB bought a new position in shares of Shake Shack in the 4th quarter worth about $84,092,000. Finally, Van Berkom & Associates Inc. raised its position in shares of Shake Shack by 27.6% in the 4th quarter. Van Berkom & Associates Inc. now owns 923,347 shares of the company’s stock worth $74,948,000 after acquiring an additional 199,687 shares in the last quarter. 86.07% of the stock is owned by institutional investors.

About Shake Shack

Shake Shack, Inc (NYSE: SHAK) is a publicly traded hospitality company known for its modern take on the classic American roadside burger stand. The company operates a chain of quick-casual restaurants offering premium hamburgers, hot dogs, crinkle-cut fries, frozen custard, milkshakes and a curated selection of beer and wine. Shake Shack emphasizes high-quality ingredients, including 100% all-natural Angus beef with no hormones or antibiotics, and works with local suppliers where possible to maintain its commitment to fresh, responsibly sourced food.

Shake Shack traces its origins to a hot dog cart opened in New York City’s Madison Square Park in 2001 by Danny Meyer’s Union Square Hospitality Group.