Shake Shack (NYSE:SHAK) Stock Price Down 7.3% – What’s Next?

Shares of Shake Shack, Inc. (NYSE:SHAK) dropped 7.3% on Tuesday . The company traded as low as $59.27 and last traded at $58.9040. Approximately 600,484 shares traded hands during mid-day trading, a decline of 66% from the average daily volume of 1,782,226 shares. The stock had previously closed at $63.51.

Wall Street Analysts Forecast Growth

A number of research firms have issued reports on SHAK. TD Cowen reissued a “hold” rating on shares of Shake Shack in a research note on Wednesday, August 5th. Piper Sandler cut their target price on Shake Shack from $79.00 to $66.00 and set a “neutral” rating on the stock in a research note on Tuesday, July 14th. Wells Fargo & Company decreased their price target on Shake Shack from $80.00 to $65.00 and set an “equal weight” rating for the company in a research note on Wednesday, June 3rd. UBS Group lowered their price target on Shake Shack from $79.00 to $68.00 and set a “neutral” rating on the stock in a report on Monday, August 3rd. Finally, Citigroup reaffirmed a “buy” rating on shares of Shake Shack in a report on Wednesday, June 3rd. Sixteen research analysts have rated the stock with a Buy rating and twelve have assigned a Hold rating to the stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $89.71.

Shake Shack Trading Up 1.2%

The stock has a market capitalization of $2.45 billion, a P/E ratio of 60.99, a PEG ratio of 6.44 and a beta of 1.66. The firm’s 50-day simple moving average is $65.98 and its 200 day simple moving average is $73.27. The company has a quick ratio of 1.64, a current ratio of 1.67 and a debt-to-equity ratio of 0.43.

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

Institutional Investors Weigh In On Shake Shack

A number of institutional investors have recently modified their holdings of SHAK. Oregon Public Employees Retirement Fund raised its stake in Shake Shack by 1.7% during the fourth quarter. Oregon Public Employees Retirement Fund now owns 9,186 shares of the company’s stock worth $746,000 after acquiring an additional 150 shares in the last quarter. Hilton Head Capital Partners LLC increased its holdings in shares of Shake Shack by 65.0% during the first quarter. Hilton Head Capital Partners LLC now owns 513 shares of the company’s stock worth $45,000 after buying an additional 202 shares in the last quarter. Murphy & Mullick Capital Management Corp lifted its stake in shares of Shake Shack by 42.5% in the 1st quarter. Murphy & Mullick Capital Management Corp now owns 738 shares of the company’s stock valued at $65,000 after acquiring an additional 220 shares during the last quarter. ProShare Advisors LLC boosted its holdings in shares of Shake Shack by 3.1% during the 4th quarter. ProShare Advisors LLC now owns 7,578 shares of the company’s stock valued at $615,000 after acquiring an additional 226 shares in the last quarter. Finally, IFP Advisors Inc grew its position in Shake Shack by 43.0% during the 2nd quarter. IFP Advisors Inc now owns 924 shares of the company’s stock worth $52,000 after acquiring an additional 278 shares during the last quarter. Institutional investors and hedge funds own 86.07% of the company’s stock.

About Shake Shack

Shake Shack Inc (NYSE: SHAK) operates a global chain of fast-casual restaurants known for made-to-order burgers, chicken sandwiches, hot dogs, crinkle-cut fries, frozen custard, shakes, and other beverages. Its menu also includes beer and wine at select locations, with an emphasis on premium ingredients and hospitality-focused service.

The company traces its origins to a hot dog cart opened in New York City’s Madison Square Park in 2001 as part of a park revitalization project. The first permanent Shake Shack restaurant opened in the park in 2004.