William Blair Predicts Stronger Earnings for Shake Shack

Shake Shack Inc. (NYSE:SHAK - Free Report) - Analysts at William Blair boosted their FY2024 earnings per share (EPS) estimates for Shake Shack in a note issued to investors on Monday, January 13th. William Blair analyst S. Zackfia now expects that the company will post earnings per share of $0.89 for the year, up from their prior forecast of $0.78. The consensus estimate for Shake Shack's current full-year earnings is $0.82 per share. William Blair also issued estimates for Shake Shack's Q1 2025 earnings at $0.14 EPS, Q2 2025 earnings at $0.31 EPS, Q3 2025 earnings at $0.23 EPS, FY2025 earnings at $1.12 EPS and FY2026 earnings at $1.28 EPS.

Other analysts have also issued research reports about the company. Oppenheimer increased their price target on Shake Shack from $145.00 to $155.00 and gave the company an "outperform" rating in a report on Tuesday, January 7th. Gordon Haskett raised shares of Shake Shack from a "hold" rating to a "buy" rating and set a $154.00 price target for the company in a research note on Wednesday, January 8th. Truist Financial reduced their price objective on shares of Shake Shack from $149.00 to $143.00 and set a "buy" rating on the stock in a research report on Tuesday. Wedbush restated a "neutral" rating and set a $130.00 target price on shares of Shake Shack in a research report on Wednesday. Finally, TD Cowen reiterated a "buy" rating and issued a $125.00 price target on shares of Shake Shack in a report on Wednesday, September 18th. Two investment analysts have rated the stock with a sell rating, eight have assigned a hold rating, eight have given a buy rating and one has issued a strong buy rating to the stock. According to MarketBeat.com, Shake Shack presently has an average rating of "Hold" and a consensus price target of $124.78.

Shake Shack Trading Down 1.8 %

SHAK stock traded down $2.10 during midday trading on Wednesday, reaching $116.63. 1,587,468 shares of the company traded hands, compared to its average volume of 1,418,912. The firm has a market capitalization of $4.95 billion, a price-to-earnings ratio of 686.06, a P/E/G ratio of 2.83 and a beta of 1.86. The company has a debt-to-equity ratio of 0.51, a quick ratio of 1.98 and a current ratio of 2.01. The business has a 50 day moving average of $129.92 and a 200-day moving average of $110.92. Shake Shack has a 52-week low of $64.16 and a 52-week high of $139.89.

Shake Shack (NYSE:SHAK - Get Free Report) last announced its earnings results on Wednesday, October 30th. The company reported $0.25 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.20 by $0.05. The firm had revenue of $316.92 million for the quarter, compared to analysts' expectations of $316.03 million. Shake Shack had a net margin of 0.68% and a return on equity of 6.28%. The business's revenue was up 14.7% compared to the same quarter last year. During the same period in the prior year, the company earned $0.17 EPS.

Insider Transactions at Shake Shack

In other news, Director Daniel Harris Meyer sold 30,000 shares of the business's stock in a transaction on Friday, November 1st. The stock was sold at an average price of $121.79, for a total value of $3,653,700.00. Following the completion of the transaction, the director now directly owns 407,646 shares of the company's stock, valued at approximately $49,647,206.34. The trade was a 6.85 % decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CFO Katherine Irene Fogertey sold 642 shares of the firm's stock in a transaction dated Wednesday, December 11th. The shares were sold at an average price of $137.51, for a total value of $88,281.42. Following the sale, the chief financial officer now directly owns 30,717 shares in the company, valued at approximately $4,223,894.67. The trade was a 2.05 % decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders sold 53,333 shares of company stock valued at $6,566,330. Company insiders own 9.73% of the company's stock.

Institutional Inflows and Outflows

Several large investors have recently modified their holdings of SHAK. Quest Partners LLC acquired a new position in Shake Shack during the 2nd quarter valued at about $38,000. Mowery & Schoenfeld Wealth Management LLC purchased a new stake in shares of Shake Shack during the third quarter worth about $41,000. Kimelman & Baird LLC acquired a new position in shares of Shake Shack during the second quarter valued at about $45,000. Covestor Ltd raised its position in shares of Shake Shack by 41.6% in the 3rd quarter. Covestor Ltd now owns 698 shares of the company's stock valued at $72,000 after purchasing an additional 205 shares during the last quarter. Finally, GAMMA Investing LLC boosted its stake in Shake Shack by 56.3% in the 4th quarter. GAMMA Investing LLC now owns 736 shares of the company's stock worth $96,000 after purchasing an additional 265 shares in the last quarter. Institutional investors own 86.07% 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, 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.