Shake Shack (NYSE:SHAK) Share Price Crosses Below 50-Day Moving Average – Here’s What Happened

Shake Shack, Inc. (NYSE:SHAK) shares crossed below its 50-day moving average during trading on Friday . The stock has a 50-day moving average of $70.46 and traded as low as $54.40. Shake Shack shares last traded at $56.7590, with a volume of 2,555,902 shares.

Wall Street Analyst Weigh In

SHAK has been the topic of several recent research reports. Raymond James Financial lowered Shake Shack from a “strong-buy” rating to an “outperform” rating and reduced their price target for the stock from $125.00 to $85.00 in a research report on Wednesday, June 3rd. Wells Fargo & Company dropped their price objective on Shake Shack from $80.00 to $65.00 and set an “equal weight” rating for the company in a research note on Wednesday, June 3rd. Stifel Nicolaus upgraded shares of Shake Shack from a “hold” rating to a “buy” rating and cut their target price for the stock from $105.00 to $85.00 in a report on Friday, May 8th. Mizuho set a $100.00 price target on shares of Shake Shack in a report on Friday, May 8th. Finally, Guggenheim lowered their price target on shares of Shake Shack from $120.00 to $100.00 and set a “buy” rating for the company in a report on Monday, May 11th. Fifteen investment analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $91.00.

Shake Shack Trading Up 2.8%

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 company has a market cap of $2.43 billion, a P/E ratio of 57.92, a price-to-earnings-growth ratio of 2.52 and a beta of 1.63. The stock has a 50-day moving average of $70.46 and a two-hundred day moving average of $83.48.

Insider Activity

In other Shake Shack news, CEO Robert Lynch acquired 5,000 shares of the company’s stock in a transaction on Friday, May 15th. The stock was acquired at an average cost of $60.39 per share, with a total value of $301,950.00. Following the purchase, the chief executive officer directly owned 77,845 shares of the company’s stock, valued at approximately $4,701,059.55. This represents a 6.86% increase in their position. The purchase was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Jeffrey Flug acquired 1,000 shares of Shake Shack stock in a transaction on Friday, May 15th. The shares were bought at an average cost of $61.30 per share, for a total transaction of $61,300.00. Following the completion of the purchase, the director directly owned 5,470 shares of the company’s stock, valued at $335,311. The trade was a 22.37% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. Insiders have bought a total of 50,616 shares of company stock valued at $3,109,782 in the last three months. 8.32% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the business. Swedbank AB purchased a new position in Shake Shack during the 4th quarter worth $84,092,000. Adage Capital Partners GP L.L.C. bought a new stake in Shake Shack during the 4th quarter valued at $40,829,000. Wellington Management Group LLP lifted its holdings 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 buying an additional 450,406 shares during the period. Marshall Wace LLP lifted its holdings in shares of Shake Shack by 285.2% in the 3rd quarter. Marshall Wace LLP now owns 586,999 shares of the company’s stock worth $54,949,000 after buying an additional 434,625 shares during the period. Finally, Renaissance Technologies LLC bought a new position in shares of Shake Shack during the 4th quarter worth $20,455,000. Hedge funds and other institutional investors own 86.07% of the company’s stock.

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.