Shake Shack (NYSE:SHAK) Hits New 1-Year Low – Time to Sell?

Shake Shack, Inc. (NYSE:SHAK) reached a new 52-week low during trading on Thursday . The company traded as low as $63.37 and last traded at $63.3230, with a volume of 581554 shares changing hands. The stock had previously closed at $63.91.

Wall Street Analyst Weigh In

A number of equities research analysts recently weighed in on SHAK shares. Robert W. Baird set a $76.00 price target on shares of Shake Shack in a research report on Thursday, May 7th. Guggenheim cut their target price on Shake Shack from $120.00 to $100.00 and set a “buy” rating on the stock in a research report on Monday, May 11th. Piper Sandler set a $79.00 target price on Shake Shack in a report on Thursday, May 7th. BNP Paribas Exane decreased their target price on Shake Shack from $124.00 to $100.00 and set an “outperform” rating for the company in a research report on Friday, May 8th. Finally, Wells Fargo & Company dropped their price target on Shake Shack from $100.00 to $80.00 and set an “equal weight” rating on the stock in a research note on Friday, May 8th. One equities research analyst has rated the stock with a Strong Buy rating, fourteen have issued a Buy rating, twelve have assigned a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $107.08.

Shake Shack Price Performance

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 50-day moving average of $90.37 and a 200-day moving average of $89.85. The stock has a market cap of $2.58 billion, a price-to-earnings ratio of 61.66, a PEG ratio of 2.56 and a beta of 1.78.

Shake Shack (NYSE:SHAK) last issued its quarterly earnings results on Thursday, May 7th. The company reported $0.00 earnings per share for the quarter, missing the consensus estimate 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 analyst estimates of $372.43 million. During the same period in the prior year, the business earned $0.14 earnings per share. Shake Shack’s revenue for the quarter was up 14.3% compared to the same quarter last year. As a group, equities research analysts predict that Shake Shack, Inc. will post 1.24 earnings per share for the current year.

Insiders Place Their Bets

In other Shake Shack news, insider Stephanie Ann Sentell sold 258 shares of the business’s stock in a transaction that occurred on Wednesday, April 15th. The stock was sold at an average price of $102.21, for a total transaction of $26,370.18. Following the transaction, the insider owned 15,084 shares in the company, valued at approximately $1,541,735.64. The trade was a 1.68% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 8.32% of the company’s stock.

Institutional Trading of Shake Shack

Hedge funds have recently modified their holdings of the business. Hilton Head Capital Partners LLC acquired a new position in Shake Shack during the fourth quarter worth $25,000. Geneos Wealth Management Inc. acquired a new stake in Shake Shack in the first quarter valued at $26,000. Assetmark Inc. boosted its position in shares of Shake Shack by 457.6% during the 4th 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. Global Retirement Partners LLC boosted its position in shares of Shake Shack by 83.7% during the 3rd quarter. Global Retirement Partners LLC now owns 327 shares of the company’s stock worth $31,000 after purchasing an additional 149 shares in the last quarter. Finally, UMB Bank n.a. grew its stake in shares of Shake Shack by 42.2% during the 4th quarter. UMB Bank n.a. now owns 391 shares of the company’s stock worth $32,000 after purchasing an additional 116 shares during the period. 86.07% of the stock is owned by institutional investors and hedge funds.

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.