Wedbush Comments on Shake Shack’s Q4 Earnings (NYSE:SHAK)

Shake Shack Inc. (NYSE:SHAK) – Equities research analysts at Wedbush increased their Q4 2024 earnings per share (EPS) estimates for Shake Shack in a research report issued to clients and investors on Wednesday, January 15th. Wedbush analyst N. Setyan now forecasts that the company will earn $0.24 per share for the quarter, up from their prior forecast of $0.15. Wedbush currently has a “Neutral” rating and a $130.00 target price on the stock. The consensus estimate for Shake Shack’s current full-year earnings is $0.82 per share. Wedbush also issued estimates for Shake Shack’s Q1 2025 earnings at $0.25 EPS and Q3 2025 earnings at $0.35 EPS.

Shake Shack (NYSE:SHAK) last issued its earnings results on Wednesday, October 30th. The company reported $0.25 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.20 by $0.05. Shake Shack had a return on equity of 6.28% and a net margin of 0.68%. The business had revenue of $316.92 million during the quarter, compared to the consensus estimate of $316.03 million. During the same period last year, the company earned $0.17 EPS. The company’s revenue for the quarter was up 14.7% on a year-over-year basis.

Several other research firms have also commented on SHAK. 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 research report on Tuesday, January 7th. JPMorgan Chase & Co. reaffirmed an “underweight” rating and issued a $102.00 price target (down previously from $105.00) on shares of Shake Shack in a research note on Tuesday, September 24th. Truist Financial lowered their price target on Shake Shack from $149.00 to $143.00 and set a “buy” rating for the company in a report on Tuesday. Oppenheimer upped their target price on shares of Shake Shack from $145.00 to $155.00 and gave the company an “outperform” rating in a research report on Tuesday, January 7th. Finally, Stifel Nicolaus lifted their price target on shares of Shake Shack from $115.00 to $128.00 and gave the company a “hold” rating in a research report on Friday, January 10th. Two analysts have rated the stock with a sell rating, eight have given a hold rating, eight have assigned a buy rating and one has given a strong buy rating to the company’s stock. According to data from MarketBeat.com, Shake Shack currently has a consensus rating of “Hold” and a consensus price target of $124.78.

Shake Shack Stock Performance

NYSE:SHAK opened at $117.09 on Friday. The company’s 50-day moving average is $129.29 and its two-hundred day moving average is $111.00. Shake Shack has a 1-year low of $64.16 and a 1-year high of $139.89. The company has a debt-to-equity ratio of 0.51, a current ratio of 2.01 and a quick ratio of 1.98. The firm has a market capitalization of $4.97 billion, a price-to-earnings ratio of 688.74, a PEG ratio of 1.91 and a beta of 1.86.

Insider Buying and Selling

In other news, Director Daniel Harris Meyer sold 22,691 shares of the company’s stock in a transaction dated Wednesday, October 30th. The stock was sold at an average price of $124.47, for a total transaction of $2,824,348.77. Following the completion of the transaction, the director now directly owns 437,646 shares of the company’s stock, valued at approximately $54,473,797.62. This represents a 4.93 % decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CFO Katherine Irene Fogertey sold 642 shares of the firm’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 sale, the chief financial officer now directly owns 30,717 shares in the company, valued at $4,223,894.67. This trade represents a 2.05 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 53,333 shares of company stock worth $6,566,330 over the last 90 days. 9.73% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of the stock. Xponance Inc. boosted its stake in Shake Shack by 4.5% in the second quarter. Xponance Inc. now owns 2,395 shares of the company’s stock valued at $216,000 after acquiring an additional 103 shares in the last quarter. Thrivent Financial for Lutherans lifted its holdings in shares of Shake Shack by 0.4% in the 3rd quarter. Thrivent Financial for Lutherans now owns 31,398 shares of the company’s stock valued at $3,241,000 after purchasing an additional 139 shares during the last quarter. Brighton Jones LLC boosted its position in shares of Shake Shack by 1.1% in the 2nd quarter. Brighton Jones LLC now owns 17,909 shares of the company’s stock valued at $1,612,000 after purchasing an additional 187 shares during the period. Glenmede Trust Co. NA grew its stake in Shake Shack by 1.5% during the 3rd quarter. Glenmede Trust Co. NA now owns 13,293 shares of the company’s stock worth $1,372,000 after buying an additional 199 shares during the last quarter. Finally, Covestor Ltd increased its position in Shake Shack by 41.6% during the third quarter. Covestor Ltd now owns 698 shares of the company’s stock worth $72,000 after buying an additional 205 shares during the period. 86.07% of the stock is owned by hedge funds and other institutional investors.

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.