Jennison Associates LLC Lowers Stock Holdings in Shake Shack, Inc. $SHAK

Key Points

• Jennison Associates LLC cut its Shake Shack stake by 34.3% in the first quarter, selling 201,601 shares and leaving it with 386,724 shares valued at about $34.2 million.
• Several analysts lowered price targets on SHAK, with the consensus rating now at Hold and an average target price of $89.39.
• Shake Shack shares were trading around $56.89, well below the stock’s 52-week high of $142.20, even as insiders including the CEO and a director recently bought shares.

Jennison Associates LLC reduced its holdings in Shake Shack, Inc. (NYSE:SHAK - Free Report) by 34.3% during the 1st quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The firm owned 386,724 shares of the company's stock after selling 201,601 shares during the period. Jennison Associates LLC owned about 0.91% of Shake Shack worth $34,213,000 at the end of the most recent quarter.

A number of other institutional investors and hedge funds have also made changes to their positions in SHAK. Hilton Head Capital Partners LLC purchased a new position in shares of Shake Shack during the 4th quarter valued at approximately $25,000. Geneos Wealth Management Inc. acquired a new stake in Shake Shack in the 1st quarter valued at $26,000. Assetmark Inc. increased its holdings in Shake Shack by 457.6% in the 4th quarter. Assetmark Inc. now owns 368 shares of the company's stock worth $30,000 after acquiring an additional 302 shares in the last quarter. UMB Bank n.a. increased its holdings in Shake Shack by 42.2% in the 4th quarter. UMB Bank n.a. now owns 391 shares of the company's stock worth $32,000 after acquiring an additional 116 shares in the last quarter. Finally, Advisory Services Network LLC acquired a new position in Shake Shack during the third quarter worth $38,000. 86.07% of the stock is currently owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

Several research firms have issued reports on SHAK. Raymond James Financial downgraded shares of Shake Shack from a "strong-buy" rating to an "outperform" rating and decreased their price objective for the company from $125.00 to $85.00 in a report on Wednesday, June 3rd. Wells Fargo & Company cut their target price on shares of 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. Barclays reduced their price target on shares of Shake Shack from $118.00 to $96.00 and set an "overweight" rating for the company in a research report on Friday, May 8th. Robert W. Baird decreased their price target on shares of Shake Shack from $76.00 to $60.00 and set a "neutral" rating on the stock in a research note on Thursday, June 4th. Finally, UBS Group reiterated a "neutral" rating and issued a $79.00 price objective on shares of Shake Shack in a report on Wednesday, June 3rd. Fifteen equities research analysts have rated the stock with a Buy rating, ten have given a Hold rating and two have assigned a Sell rating to the company's stock. Based on data from MarketBeat, Shake Shack currently has an average rating of "Hold" and a consensus target price of $89.39.

Shake Shack Trading Down 1.9%

Shares of SHAK opened at $56.89 on Tuesday. Shake Shack, Inc. has a 52-week low of $51.60 and a 52-week high of $142.20. The stock has a market cap of $2.43 billion, a PE ratio of 58.05, a price-to-earnings-growth ratio of 3.24 and a beta of 1.63. The firm's fifty day moving average is $58.53 and its two-hundred day moving average is $80.67. The company has a quick ratio of 1.66, a current ratio of 1.69 and a debt-to-equity ratio of 0.45.

Insider Transactions at Shake Shack

In other Shake Shack news, Director Josh Silverman acquired 8,290 shares of the business's stock in a transaction on Friday, May 15th. The stock was bought at an average price of $60.38 per share, for a total transaction of $500,550.20. Following the acquisition, the director owned 8,290 shares in the company, valued at approximately $500,550.20. The trade was a ∞ increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is available through the SEC website. Also, CEO Robert Lynch bought 5,000 shares of the firm's stock in a transaction on Friday, May 15th. The stock was acquired at an average cost of $60.39 per share, for a total transaction of $301,950.00. Following the completion of the purchase, the chief executive officer directly owned 77,845 shares in the company, valued at approximately $4,701,059.55. This represents a 6.86% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. In the last quarter, insiders bought 50,616 shares of company stock valued at $3,109,782. Company insiders own 8.32% of the company's stock.

Shake Shack 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.

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