Josh Silverman Purchases 8,290 Shares of Shake Shack (NYSE:SHAK) Stock

Shake Shack, Inc. (NYSE:SHAK) Director Josh Silverman purchased 8,290 shares of the stock in a transaction that occurred on Friday, May 15th. The stock was bought at an average price of $60.38 per share, with a total value of $500,550.20. Following the completion of the transaction, the director owned 8,290 shares of the company’s stock, valued at $500,550.20. The trade was a ∞ increase in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink.

Shake Shack Stock Up 7.3%

Shares of SHAK opened at $64.08 on Wednesday. The company has a market cap of $2.74 billion, a PE ratio of 65.38, a P/E/G ratio of 2.47 and a beta of 1.78. The business has a fifty day moving average of $89.03 and a 200 day moving average of $89.42. Shake Shack, Inc. has a 52-week low of $59.49 and a 52-week high of $144.65. The company has a quick ratio of 1.66, a current ratio of 1.69 and a debt-to-equity ratio of 0.45.

Shake Shack (NYSE:SHAK) last issued its quarterly earnings results on Thursday, May 7th. The company reported $0.00 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.11 by ($0.11). Shake Shack had a return on equity of 9.62% and a net margin of 2.76%.The company had revenue of $366.74 million during the quarter, compared to the consensus estimate of $372.43 million. During the same quarter in the prior year, the business earned $0.14 earnings per share. The firm’s quarterly revenue was up 14.3% compared to the same quarter last year. On average, sell-side analysts expect that Shake Shack, Inc. will post 1.24 EPS for the current year.

Analysts Set New Price Targets

A number of research firms have weighed in on SHAK. Morgan Stanley reiterated an “overweight” rating on shares of Shake Shack in a research note on Friday, May 8th. Truist Financial increased their target price on Shake Shack from $144.00 to $148.00 and gave the stock a “buy” rating in a research note on Monday, March 2nd. TD Cowen reduced their target price on Shake Shack from $105.00 to $76.00 and set a “hold” rating on the stock in a research note on Thursday, May 7th. JPMorgan Chase & Co. reduced their target price on Shake Shack from $100.00 to $85.00 and set a “neutral” rating on the stock in a research note on Friday, May 8th. Finally, Zacks Research upgraded Shake Shack from a “strong sell” rating to a “hold” rating in a research note on Monday, March 9th. One investment analyst has rated the stock with a Strong Buy rating, fourteen have given a Buy rating, twelve have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat, Shake Shack has a consensus rating of “Moderate Buy” and an average price target of $107.08.

Shake Shack News Summary

Here are the key news stories impacting Shake Shack this week:

• Positive Sentiment: Multiple Shake Shack insiders bought shares, including CEO Robert Lynch, directors Daniel Harris Meyer, Sumaiya Balbale, Jeffrey Flug, and Josh Silverman. Large insider purchases can signal confidence that management believes the stock is undervalued. SEC filing for Robert Lynch purchase
• Positive Sentiment: Director Daniel Harris Meyer made a particularly large purchase of 32,258 shares, reinforcing the view that key insiders see value after the post-earnings selloff. SEC filing for Daniel Harris Meyer purchase
• Neutral Sentiment: Shake Shack’s latest earnings missed expectations, with EPS of $0.00 versus $0.11 expected and revenue of $366.7 million versus $372.4 million estimated. That miss remains a major reason the stock has been under pressure. Shake Shack Stock Gets Shaken After Earnings Miss
• Neutral Sentiment: Analysts still have a mixed-but-notable outlook: consensus remains “Moderate Buy,” but some firms have cut price targets after the earnings report, reflecting uncertainty about near-term growth.
• Negative Sentiment: Shake Shack is facing multiple law-firm investigations over possible securities-law violations and alleged misleading statements, which can weigh on investor confidence and create headline risk. Kessler Topaz Meltzer & Check investigation alert

Hedge Funds Weigh In On Shake Shack

A number of large investors have recently added to or reduced their stakes in SHAK. Hilton Head Capital Partners LLC bought a new position in Shake Shack in the fourth quarter worth about $25,000. Geneos Wealth Management Inc. bought a new position in Shake Shack in the first quarter worth about $26,000. Assetmark Inc. raised its holdings in Shake Shack by 457.6% in the fourth quarter. Assetmark Inc. now owns 368 shares of the company’s stock worth $30,000 after purchasing an additional 302 shares in the last quarter. UMB Bank n.a. raised its holdings in Shake Shack by 42.2% in the fourth quarter. UMB Bank n.a. now owns 391 shares of the company’s stock worth $32,000 after purchasing an additional 116 shares in the last quarter. Finally, Murphy & Mullick Capital Management Corp raised its holdings in Shake Shack by 68.5% in the third quarter. Murphy & Mullick Capital Management Corp now owns 418 shares of the company’s stock worth $38,000 after purchasing an additional 170 shares in the last quarter. 86.07% of the stock is currently 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.