Shake Shack (SHAK) Rating Lowered to Hold at Zacks Investment Research
Shake Shack (NYSE:SHAK) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a research note issued to investors on Thursday.
According to Zacks, “Shake Shack Inc. is engaged in owning and operating restaurants. The company offers burgers, hot dogs, frozen custard, crinkle cut fries, beer and wine. It operates primarily in New York, New Jersey, Washington, D.C., Connecticut, Georgia, Illinois, Pennsylvania, Florida, Massachusetts, Virginia, Nevada, London, Istanbul and Dubai. Shake Shack Inc. is headquartered in New York. “
SHAK has been the topic of a number of other reports. Stifel Nicolaus began coverage on Shake Shack in a research note on Tuesday, October 9th. They set a “hold” rating and a $65.00 price objective on the stock. Wedbush reduced their target price on Shake Shack from $62.00 to $56.00 and set a “neutral” rating for the company in a research report on Friday, November 2nd. Cowen restated a “hold” rating and set a $59.00 target price on shares of Shake Shack in a research report on Wednesday, July 25th. SunTrust Banks reduced their target price on Shake Shack to $60.00 and set a “buy” rating for the company in a research report on Friday, November 2nd. Finally, Longbow Research upgraded Shake Shack from a “neutral” rating to a “buy” rating and set a $60.00 target price for the company in a research report on Tuesday. Two analysts have rated the stock with a sell rating, six have assigned a hold rating, four have given a buy rating and one has given a strong buy rating to the company. The stock currently has an average rating of “Hold” and an average price target of $54.50.
Shake Shack (NYSE:SHAK) last released its quarterly earnings data on Thursday, November 1st. The company reported $0.21 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.13 by $0.08. Shake Shack had a return on equity of 10.64% and a net margin of 0.40%. The company had revenue of $119.65 million for the quarter, compared to analyst estimates of $116.81 million. During the same period in the previous year, the company posted $0.17 EPS. The firm’s revenue for the quarter was up 26.5% compared to the same quarter last year. On average, research analysts anticipate that Shake Shack will post 0.69 earnings per share for the current year.
In other news, major shareholder Equity Group L.P. Select sold 6,222 shares of the company’s stock in a transaction dated Monday, October 1st. The stock was sold at an average price of $62.14, for a total value of $386,635.08. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Jonathan D. Sokoloff sold 500,000 shares of the company’s stock in a transaction dated Wednesday, September 12th. The stock was sold at an average price of $57.15, for a total value of $28,575,000.00. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 1,284,560 shares of company stock valued at $74,700,300. 30.18% of the stock is owned by company insiders.
Institutional investors and hedge funds have recently bought and sold shares of the company. Rehmann Capital Advisory Group purchased a new position in shares of Shake Shack in the 2nd quarter worth about $124,000. Advisors Asset Management Inc. boosted its holdings in shares of Shake Shack by 50.7% in the 2nd quarter. Advisors Asset Management Inc. now owns 3,202 shares of the company’s stock worth $212,000 after purchasing an additional 1,077 shares in the last quarter. HM Payson & Co. purchased a new position in shares of Shake Shack in the 2nd quarter worth about $249,000. Pinebridge Investments L.P. purchased a new position in shares of Shake Shack in the 2nd quarter worth about $250,000. Finally, Amalgamated Bank purchased a new position in shares of Shake Shack in the 2nd quarter worth about $261,000. Hedge funds and other institutional investors own 87.50% of the company’s stock.
About Shake Shack
Shake Shack Inc owns, operates, and licenses Shake Shack restaurants (Shacks) in the United States and internationally. Its Shacks offers hamburgers, hot dogs, chicken, crinkle cut fries, shakes, frozen custard, beer, wine, and other products. As of October 9, 2018, it operated 180 locations in 26 U.S.
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