Shake Shack (NYSE:SHAK) Lowered to Strong Sell Rating by Zacks Research

Zacks Research lowered shares of Shake Shack (NYSE:SHAK) from a hold rating to a strong sell rating in a report published on Thursday,Zacks.com reports. Zacks Research also issued estimates for Shake Shack’s Q4 2025 earnings at $0.38 EPS, FY2025 earnings at $1.32 EPS, Q1 2026 earnings at $0.17 EPS, Q2 2026 earnings at $0.50 EPS, Q3 2026 earnings at $0.41 EPS, Q4 2026 earnings at $0.42 EPS, FY2026 earnings at $1.50 EPS, Q1 2027 earnings at $0.29 EPS, Q2 2027 earnings at $0.53 EPS, Q3 2027 earnings at $0.44 EPS, Q4 2027 earnings at $0.54 EPS and FY2027 earnings at $1.80 EPS.

Other research analysts have also recently issued research reports about the stock. Piper Sandler lowered their target price on shares of Shake Shack from $126.00 to $102.00 and set a “neutral” rating on the stock in a research note on Friday, October 31st. Robert W. Baird decreased their price target on Shake Shack from $127.00 to $104.00 and set a “neutral” rating on the stock in a report on Friday, October 31st. Loop Capital raised Shake Shack from a “hold” rating to a “buy” rating and upped their price objective for the stock from $98.00 to $127.00 in a research note on Friday, November 14th. Morgan Stanley set a $115.00 target price on Shake Shack in a research report on Tuesday, October 21st. Finally, Truist Financial lowered their price target on Shake Shack from $162.00 to $156.00 and set a “buy” rating on the stock in a report on Monday, September 29th. One equities research analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating, fifteen have assigned a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat, the company has an average rating of “Hold” and a consensus target price of $116.52.

Shake Shack Stock Down 1.6%

SHAK stock opened at $99.18 on Thursday. The business’s 50-day moving average price is $86.57 and its 200-day moving average price is $100.86. The stock has a market cap of $4.23 billion, a P/E ratio of 97.23, a PEG ratio of 2.31 and a beta of 1.68. The company has a quick ratio of 1.81, a current ratio of 1.84 and a debt-to-equity ratio of 0.46. Shake Shack has a twelve month low of $72.93 and a twelve month high of $144.65.

Shake Shack (NYSE:SHAK) last released its earnings results on Thursday, October 30th. The company reported $0.36 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.31 by $0.05. Shake Shack had a net margin of 3.10% and a return on equity of 10.43%. The company had revenue of $367.41 million during the quarter, compared to analyst estimates of $363.69 million. During the same period in the prior year, the firm posted $0.25 EPS. The firm’s quarterly revenue was up 15.9% compared to the same quarter last year. On average, equities research analysts forecast that Shake Shack will post 1.26 EPS for the current year.

Insiders Place Their Bets

In other Shake Shack news, insider Stephanie Ann Sentell sold 1,100 shares of Shake Shack stock in a transaction that occurred on Tuesday, November 25th. The stock was sold at an average price of $85.14, for a total value of $93,654.00. Following the sale, the insider owned 9,907 shares of the company’s stock, valued at $843,481.98. The trade was a 9.99% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. 8.50% of the stock is owned by corporate insiders.

Institutional Trading of Shake Shack

Institutional investors have recently bought and sold shares of the stock. Ameritas Advisory Services LLC bought a new position in Shake Shack during the second quarter valued at $31,000. Parallel Advisors LLC grew its holdings in Shake Shack by 679.4% during the 2nd quarter. Parallel Advisors LLC now owns 265 shares of the company’s stock valued at $37,000 after purchasing an additional 231 shares during the last quarter. Geneos Wealth Management Inc. purchased a new stake in Shake Shack in the 1st quarter worth about $26,000. Global Retirement Partners LLC raised its position in Shake Shack by 83.7% in the 3rd quarter. Global Retirement Partners LLC now owns 327 shares of the company’s stock worth $31,000 after purchasing an additional 149 shares during the period. Finally, Advisory Services Network LLC bought a new stake in Shake Shack in the third quarter worth about $38,000. 86.07% of the stock is currently owned by institutional investors.

Key Headlines Impacting Shake Shack

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

• Positive Sentiment: Shake Shack confirmed a first Louisville location at Oxmoor Center as part of an expansion across Kentucky, highlighting ongoing unit growth in the region. Shake Shack coming to east Louisville as brand grows in Kentucky
• Positive Sentiment: Shake Shack announced additional unit openings, including a new Kentwood location slated for 2027 and a new restaurant in Union, NJ — continued unit rollouts can support long‑term revenue and brand penetration. Shake Shack announces new Kentwood location opening in 2027
• Positive Sentiment: A bullish thesis circulated (summarized by InsiderMonkey) arguing that Shake Shack’s growth runway, unit economics and brand premium justify upside versus current multiples — this type of investor commentary can support positive sentiment among growth‑oriented holders. Shake Shack Inc. (SHAK): A Bull Case Theory
• Neutral Sentiment: Market commentary noting the stock moved higher earlier in the session provides context on intraday drivers and recap of recent results and drivers, but contains no new company guidance. Use it for color on short‑term flows. Shake Shack (SHAK) Stock Is Up, What You Need To Know
• Negative Sentiment: Zacks Research cut multiple quarterly and annual EPS estimates (several Qs plus FY2026–FY2027), reducing FY2027 expectations notably — analyst downgrades to near‑term earnings increase downside risk to the stock until results or guidance prove otherwise. MarketBeat SHAK overview (Zacks estimate notes)

About Shake Shack

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.