Daniel Harris Meyer Buys 32,258 Shares of Shake Shack (NYSE:SHAK) Stock

Shake Shack, Inc. (NYSE:SHAK) Director Daniel Harris Meyer bought 32,258 shares of the firm’s stock in a transaction dated Friday, May 15th. The stock was purchased at an average price of $61.88 per share, for a total transaction of $1,996,125.04. Following the transaction, the director owned 378,670 shares of the company’s stock, valued at approximately $23,432,099.60. This represents a 9.31% increase in their ownership of the stock. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink.

Shake Shack Stock Performance

Shares of Shake Shack stock opened at $64.08 on Wednesday. Shake Shack, Inc. has a one year low of $59.49 and a one year high of $144.65. The company has a market cap of $2.74 billion, a price-to-earnings ratio of 65.38, a PEG ratio of 2.47 and a beta of 1.78. The company has a debt-to-equity ratio of 0.45, a quick ratio of 1.66 and a current ratio of 1.69. The business’s 50 day moving average price is $89.03 and its 200 day moving average price is $89.42.

Shake Shack (NYSE:SHAK) last announced its quarterly earnings data on Thursday, May 7th. The company reported $0.00 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 for the quarter, compared to analysts’ expectations of $372.43 million. During the same quarter in the previous year, the business posted $0.14 EPS. The business’s quarterly revenue was up 14.3% compared to the same quarter last year. On average, research analysts predict that Shake Shack, Inc. will post 1.24 EPS for the current year.

Shake Shack News Roundup

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

Wall Street Analyst Weigh In

A number of brokerages recently commented on SHAK. Truist Financial lifted their price objective on Shake Shack from $144.00 to $148.00 and gave the stock a “buy” rating in a research report on Monday, March 2nd. JPMorgan Chase & Co. reduced their price objective on Shake Shack from $100.00 to $85.00 and set a “neutral” rating on the stock in a research report on Friday, May 8th. Robert W. Baird set a $76.00 price objective on Shake Shack in a research report on Thursday, May 7th. Raymond James Financial set a $140.00 price objective on Shake Shack in a research report on Wednesday, January 21st. Finally, TD Cowen reduced their price objective on Shake Shack from $105.00 to $76.00 and set a “hold” rating on the stock in a research report on Thursday, May 7th. One equities research analyst has rated the stock with a Strong Buy rating, fourteen have given a Buy rating, twelve have given a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat, Shake Shack currently has an average rating of “Moderate Buy” and an average target price of $107.08.

Institutional Investors Weigh In On Shake Shack

Several hedge funds and other institutional investors have recently added to or reduced their stakes in SHAK. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its stake in Shake Shack by 4.5% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 22,627 shares of the company’s stock worth $1,995,000 after acquiring an additional 976 shares during the last quarter. Jones Financial Companies Lllp increased its stake in Shake Shack by 4,210.3% during the first quarter. Jones Financial Companies Lllp now owns 2,500 shares of the company’s stock worth $220,000 after acquiring an additional 2,442 shares during the last quarter. United Services Automobile Association acquired a new stake in Shake Shack during the first quarter worth $219,000. Geneos Wealth Management Inc. acquired a new stake in Shake Shack during the first quarter worth $26,000. Finally, Northwestern Mutual Wealth Management Co. increased its stake in Shake Shack by 159.7% during the second quarter. Northwestern Mutual Wealth Management Co. now owns 748 shares of the company’s stock worth $105,000 after acquiring an additional 460 shares during the last quarter. Institutional investors and hedge funds own 86.07% of the company’s stock.

Shake Shack Company Profile

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.