Shake Shack (NYSE:SHAK) Shares Down 7.6% – Here’s Why

Shake Shack Inc. (NYSE:SHAK) was down 7.6% during trading on Friday . The stock traded as low as $114.68 and last traded at $114.23. Approximately 1,015,010 shares traded hands during mid-day trading, a decline of 27% from the average daily volume of 1,394,495 shares. The stock had previously closed at $123.61.

Wall Street Analyst Weigh In

SHAK has been the topic of a number of research reports. Wedbush boosted their price objective on Shake Shack from $115.00 to $125.00 and gave the company a “neutral” rating in a research report on Friday. Stifel Nicolaus lowered their price objective on Shake Shack from $128.00 to $110.00 and set a “hold” rating on the stock in a research report on Friday, January 17th. UBS Group boosted their price objective on Shake Shack from $130.00 to $140.00 and gave the company a “neutral” rating in a research report on Tuesday, January 7th. Gordon Haskett upgraded Shake Shack from a “hold” rating to a “buy” rating and set a $154.00 price objective on the stock in a research report on Wednesday, January 8th. Finally, Barclays upgraded Shake Shack from an “equal weight” rating to an “overweight” rating and boosted their price objective for the company from $125.00 to $159.00 in a research report on Tuesday, January 7th. Two equities research analysts have rated the stock with a sell rating, eight have issued a hold rating and nine have given a buy rating to the company’s stock. According to MarketBeat, Shake Shack has an average rating of “Hold” and an average price target of $125.50.

Shake Shack Trading Down 11.9 %

The company has a debt-to-equity ratio of 0.50, a current ratio of 1.97 and a quick ratio of 1.98. The company has a market cap of $4.63 billion, a price-to-earnings ratio of 473.73 and a beta of 1.86. The business has a 50 day simple moving average of $121.79 and a 200 day simple moving average of $116.39.

Shake Shack (NYSE:SHAK) last posted its quarterly earnings data on Thursday, February 20th. The company reported $0.26 EPS for the quarter, topping analysts’ consensus estimates of $0.25 by $0.01. The company had revenue of $328.68 million for the quarter, compared to analyst estimates of $329.02 million. Shake Shack had a return on equity of 8.40% and a net margin of 0.81%. As a group, equities analysts forecast that Shake Shack Inc. will post 1.26 EPS for the current year.

Insider Transactions at Shake Shack

In other news, CFO Katherine Irene Fogertey sold 642 shares of the business’s stock in a transaction on Wednesday, December 11th. The stock was sold at an average price of $137.51, for a total transaction of $88,281.42. Following the completion of the sale, the chief financial officer now owns 30,717 shares in the company, valued at $4,223,894.67. The trade was a 2.05 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this link. 9.73% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Shake Shack

A number of institutional investors and hedge funds have recently made changes to their positions in the company. Public Employees Retirement System of Ohio increased its holdings in Shake Shack by 9.4% in the fourth quarter. Public Employees Retirement System of Ohio now owns 31,370 shares of the company’s stock valued at $4,072,000 after purchasing an additional 2,690 shares during the last quarter. RB Capital Management LLC bought a new stake in Shake Shack in the fourth quarter valued at about $286,000. Woodline Partners LP increased its holdings in Shake Shack by 6.7% in the fourth quarter. Woodline Partners LP now owns 60,378 shares of the company’s stock valued at $7,837,000 after purchasing an additional 3,809 shares during the last quarter. Two Sigma Advisers LP increased its holdings in Shake Shack by 117.1% in the fourth quarter. Two Sigma Advisers LP now owns 43,200 shares of the company’s stock valued at $5,607,000 after purchasing an additional 23,300 shares during the last quarter. Finally, State of Wyoming increased its holdings in Shake Shack by 26.6% in the fourth quarter. State of Wyoming now owns 3,543 shares of the company’s stock valued at $460,000 after purchasing an additional 745 shares during the last quarter. Institutional investors own 86.07% of the company’s stock.

Shake Shack Company Profile

Shake Shack Inc owns, operates, and licenses Shake Shack restaurants (Shacks) in the United States and internationally. Its Shacks offers hamburgers, chicken, hot dogs, crinkle cut fries, shakes, frozen custard, beer, wine, and other products. The company was founded in 2001 and is headquartered in New York, New York.