Shake Shack (NYSE:SHAK) Given New $160.00 Price Target at Barclays

Key Points

• Barclays has reduced its price target for Shake Shack (NYSE:SHAK) from $168.00 to $160.00 while maintaining an "overweight" rating on the stock, suggesting a potential upside of 43.52% from the previous close.
• Shake Shack shares experienced a 7.4% decline in stock price on Friday, dropping to $111.48, accompanied by higher than average trading volume.
• Recent earnings reports indicate that Shake Shack's revenue increased by 12.6% year-over-year with an EPS of $0.44, surpassing analysts' expectations of $0.37.

Shake Shack (NYSE:SHAK - Get Free Report) had its price objective reduced by investment analysts at Barclays from $168.00 to $160.00 in a research note issued to investors on Friday,Benzinga reports. The firm currently has an "overweight" rating on the stock. Barclays's price objective would indicate a potential upside of 43.52% from the company's previous close.

SHAK has been the subject of a number of other reports. TD Securities reiterated a "hold" rating and set a $105.00 price target on shares of Shake Shack in a research report on Thursday, June 26th. Truist Financial increased their price objective on Shake Shack from $150.00 to $160.00 and gave the company a "buy" rating in a research report on Wednesday, July 9th. UBS Group reissued a "neutral" rating and issued a $140.00 target price (up previously from $100.00) on shares of Shake Shack in a research report on Friday, July 25th. Morgan Stanley lifted their price target on Shake Shack from $109.00 to $122.00 and gave the company an "equal weight" rating in a research note on Monday, July 14th. Finally, Bank of America lifted their price target on Shake Shack from $134.00 to $148.00 and gave the stock a "neutral" rating in a report on Friday, July 18th. Two equities research analysts have rated the stock with a sell rating, fourteen have assigned a hold rating, six have assigned a buy rating and one has assigned a strong buy rating to the company. Based on data from MarketBeat.com, Shake Shack has an average rating of "Hold" and a consensus target price of $131.10.

Shake Shack Stock Down 7.4%

NYSE SHAK traded down $8.86 during trading hours on Friday, hitting $111.48. The company's stock had a trading volume of 227,835 shares, compared to its average volume of 1,454,157. The company has a current ratio of 1.91, a quick ratio of 1.88 and a debt-to-equity ratio of 0.50. The company's 50-day simple moving average is $132.79 and its two-hundred day simple moving average is $111.94. Shake Shack has a 52 week low of $72.93 and a 52 week high of $144.65. The company has a market capitalization of $4.76 billion, a PE ratio of 400.84, a price-to-earnings-growth ratio of 3.30 and a beta of 1.77.

Shake Shack (NYSE:SHAK - Get Free Report) last released its quarterly earnings results on Thursday, July 31st. The company reported $0.44 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.37 by $0.07. The company had revenue of $356.47 million during the quarter, compared to the consensus estimate of $352.56 million. Shake Shack had a net margin of 0.97% and a return on equity of 8.45%. Shake Shack's revenue was up 12.6% on a year-over-year basis. During the same period in the prior year, the firm earned $0.27 earnings per share. Research analysts anticipate that Shake Shack will post 1.26 EPS for the current fiscal year.

Insider Transactions at Shake Shack

In other Shake Shack news, Director Daniel Harris Meyer sold 20,000 shares of the stock in a transaction that occurred on Thursday, June 26th. The shares were sold at an average price of $140.07, for a total transaction of $2,801,400.00. Following the completion of the sale, the director directly owned 367,984 shares of the company's stock, valued at $51,543,518.88. This trade represents a 5.15% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, CFO Katherine Irene Fogertey sold 3,956 shares of the business's stock in a transaction dated Thursday, June 12th. The stock was sold at an average price of $127.49, for a total value of $504,350.44. Following the sale, the chief financial officer owned 35,750 shares in the company, valued at $4,557,767.50. The trade was a 9.96% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 87,391 shares of company stock valued at $11,869,925 in the last quarter. Company insiders own 9.73% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in SHAK. Summit Financial LLC raised its stake in Shake Shack by 0.7% during the first quarter. Summit Financial LLC now owns 13,180 shares of the company's stock valued at $1,162,000 after buying an additional 97 shares in the last quarter. Quadrant Capital Group LLC raised its stake in Shake Shack by 5.6% during the fourth quarter. Quadrant Capital Group LLC now owns 1,870 shares of the company's stock valued at $243,000 after buying an additional 100 shares in the last quarter. Wealthcare Advisory Partners LLC raised its stake in Shake Shack by 0.8% during the second quarter. Wealthcare Advisory Partners LLC now owns 13,512 shares of the company's stock valued at $1,900,000 after buying an additional 106 shares in the last quarter. Redwood Investments LLC grew its holdings in shares of Shake Shack by 0.5% during the first quarter. Redwood Investments LLC now owns 23,231 shares of the company's stock valued at $2,048,000 after purchasing an additional 110 shares during the last quarter. Finally, Zurcher Kantonalbank Zurich Cantonalbank grew its holdings in shares of Shake Shack by 1.3% during the first quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 10,367 shares of the company's stock valued at $914,000 after purchasing an additional 133 shares during the last quarter. Hedge funds and other institutional investors own 86.07% of the company's stock.

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.

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