Shake Shack (NYSE:SHAK) Price Target Raised to $85.00

Shake Shack (NYSE:SHAK) had its target price lifted by DA Davidson from $70.00 to $85.00 in a report issued on Thursday,Benzinga reports. The brokerage currently has a buy rating on the stock.

A number of other equities research analysts also recently issued reports on the company. Wall Street Zen downgraded Shake Shack from a “hold” rating to a “strong sell” rating in a research report on Saturday, May 16th. Wells Fargo & Company reduced their price objective on Shake Shack from $80.00 to $65.00 and set an “equal weight” rating on the stock in a research note on Wednesday, June 3rd. Morgan Stanley set a $74.00 target price on Shake Shack in a report on Thursday. Guggenheim dropped their target price on shares of Shake Shack from $120.00 to $100.00 and set a “buy” rating for the company in a research report on Monday, May 11th. Finally, Stifel Nicolaus upgraded shares of Shake Shack from a “hold” rating to a “buy” rating and cut their price target for the company from $105.00 to $85.00 in a report on Friday, May 8th. Fifteen research analysts have rated the stock with a Buy rating and twelve have assigned a Hold rating to the company. According to MarketBeat, Shake Shack currently has an average rating of “Moderate Buy” and an average target price of $89.74.

Shake Shack Stock Up 1.2%

Shares of SHAK opened at $71.09 on Thursday. Shake Shack has a fifty-two week low of $51.60 and a fifty-two week high of $111.76. The company’s fifty day moving average is $58.64 and its two-hundred day moving average is $77.98. The firm has a market cap of $3.04 billion, a PE ratio of 75.63, a price-to-earnings-growth ratio of 5.51 and a beta of 1.63. The company has a quick ratio of 1.66, a current ratio of 1.67 and a debt-to-equity ratio of 0.43.

Shake Shack (NYSE:SHAK) last released its quarterly earnings data on Wednesday, August 5th. The company reported $0.43 EPS for the quarter, topping analysts’ consensus estimates of $0.31 by $0.12. The business had revenue of $417.62 million during the quarter, compared to the consensus estimate of $417.18 million. Shake Shack had a return on equity of 9.29% and a net margin of 2.56%.The business’s revenue for the quarter was up 17.2% on a year-over-year basis. During the same period in the prior year, the firm posted $0.44 EPS. Analysts forecast that Shake Shack will post 1.12 earnings per share for the current year.

Insider Transactions at Shake Shack

In other news, Director Jeffrey Flug acquired 1,000 shares of the business’s stock in a transaction on Friday, May 15th. The shares were purchased at an average price of $61.30 per share, for a total transaction of $61,300.00. Following the acquisition, the director directly owned 5,470 shares of the company’s stock, valued at $335,311. This represents a 22.37% increase in their position. The purchase was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Daniel Harris Meyer purchased 32,258 shares of Shake Shack stock in a transaction that occurred on Friday, May 15th. The stock was acquired at an average cost of $61.88 per share, with a total value of $1,996,125.04. Following the acquisition, the director directly owned 378,670 shares of the company’s stock, valued at $23,432,099.60. The trade was a 9.31% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Insiders have acquired a total of 50,616 shares of company stock worth $3,109,782 over the last three months. Insiders own 8.32% of the company’s stock.

Institutional Trading of Shake Shack

Several institutional investors and hedge funds have recently bought and sold shares of the company. Swedbank AB acquired a new stake in shares of Shake Shack during the fourth quarter worth $84,092,000. Adage Capital Partners GP L.L.C. bought a new stake in Shake Shack in the 4th quarter valued at about $40,829,000. Wellington Management Group LLP lifted its position in Shake Shack by 21.0% in the 3rd quarter. Wellington Management Group LLP now owns 2,590,911 shares of the company’s stock valued at $242,535,000 after purchasing an additional 450,406 shares during the last quarter. Marshall Wace LLP lifted its position in Shake Shack by 285.2% in the 3rd quarter. Marshall Wace LLP now owns 586,999 shares of the company’s stock valued at $54,949,000 after purchasing an additional 434,625 shares during the last quarter. Finally, Renaissance Technologies LLC acquired a new position in shares of Shake Shack during the fourth quarter worth approximately $20,455,000. Institutional investors and hedge funds own 86.07% of the company’s stock.

More Shake Shack News

Here are the key news stories impacting Shake Shack this week:

• Positive Sentiment: Starboard stake provides a major catalyst: Activist investor Starboard Value has taken a new position in Shake Shack. The news fueled investor interest because Starboard may push for better margins, improved execution, or changes to the company’s growth strategy. Activist investor Starboard takes new position in Shake Shack
• Positive Sentiment: Quarterly earnings exceeded expectations: Shake Shack reported adjusted earnings of $0.43 per share, above the $0.31 consensus estimate. Revenue rose 17.2% year over year to approximately $417.6 million, narrowly exceeding forecasts. The company also opened 27 new restaurants during the quarter. Shake Shack beats Q2 expectations, opens 27 new restaurants
• Positive Sentiment: Analyst sentiment improved: DA Davidson raised its price target from $70 to $85 and upgraded the stock to Buy, while BNP Paribas Exane increased its target from $77 to $81 and assigned an Outperform rating. These revisions suggest analysts see additional upside following the earnings report and activist investment. Analyst price-target updates
• Neutral Sentiment: Growth plans remain intact: Management is targeting 60 to 65 company-operated restaurant openings in 2026 but is shifting to annual rather than quarterly guidance, reducing the frequency of near-term updates for investors. Shake Shack targets 60 to 65 company-operated Shacks in 2026
• Negative Sentiment: Margins remain under pressure: Beef inflation and other higher costs weighed on profitability despite the revenue and earnings beats. With the stock trading at a high earnings multiple, investors may remain sensitive to any deterioration in margins or slower growth.
• Neutral Sentiment: Zacks upgraded Shake Shack from Strong Sell to Hold, signaling reduced bearishness but not a bullish recommendation. Zacks.com

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.