Shake Shack (NYSE:SHAK) Shares Up 7.8% - Here's Why

Shake Shack Inc. (NYSE:SHAK - Get Free Report)'s stock price rose 7.8% on Tuesday . The stock traded as high as $115.50 and last traded at $116.82. Approximately 569,715 shares traded hands during trading, a decline of 53% from the average daily volume of 1,204,432 shares. The stock had previously closed at $108.40.

Analyst Ratings Changes

SHAK has been the subject of several recent analyst reports. Oppenheimer increased their target price on Shake Shack from $145.00 to $155.00 and gave the company an "outperform" rating in a research note on Tuesday, January 7th. Truist Financial upped their price objective on Shake Shack from $143.00 to $154.00 and gave the company a "buy" rating in a research note on Friday. Wedbush upped their price objective on Shake Shack from $115.00 to $125.00 and gave the company a "neutral" rating in a research note on Friday. Barclays raised shares of Shake Shack from an "equal weight" rating to an "overweight" rating and lifted their price target for the company from $125.00 to $159.00 in a report on Tuesday, January 7th. Finally, UBS Group lifted their price target on shares of Shake Shack from $130.00 to $140.00 and gave the company a "neutral" rating in a report on Tuesday, January 7th. Two analysts have rated the stock with a sell rating, eight have issued a hold rating and nine have given a buy rating to the stock. According to MarketBeat, Shake Shack presently has a consensus rating of "Hold" and an average target price of $125.50.

Shake Shack Stock Down 11.9 %

The stock has a market cap of $4.63 billion, a P/E ratio of 640.94 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 firm's 50-day moving average is $121.79 and its two-hundred day moving average is $116.27.

Shake Shack (NYSE:SHAK - Get Free Report) last issued its earnings results on Thursday, February 20th. The company reported $0.26 earnings per share (EPS) for the quarter, beating the consensus estimate 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 net margin of 0.68% and a return on equity of 6.28%. On average, equities research analysts anticipate that Shake Shack Inc. will post 0.9 earnings per share for the current year.

Insider Activity

In related news, CFO Katherine Irene Fogertey sold 642 shares of the company's stock in a transaction dated Wednesday, December 11th. The stock was sold at an average price of $137.51, for a total value of $88,281.42. Following the completion of the sale, the chief financial officer now owns 30,717 shares in the company, valued at approximately $4,223,894.67. This represents a 2.05 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. Insiders own 9.73% of the company's stock.

Institutional Investors Weigh In On Shake Shack

A number of institutional investors and hedge funds have recently added to or reduced their stakes in SHAK. Nemes Rush Group LLC bought a new stake in Shake Shack in the fourth quarter valued at about $29,000. Harvest Fund Management Co. Ltd bought a new position in shares of Shake Shack during the fourth quarter worth $32,000. Mowery & Schoenfeld Wealth Management LLC bought a new position in shares of Shake Shack during the third quarter worth $41,000. Transcendent Capital Group LLC bought a new position in shares of Shake Shack during the fourth quarter worth $52,000. Finally, R Squared Ltd bought a new position in shares of Shake Shack during the fourth quarter worth $56,000. 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.