Shake Shack (NYSE:SHAK) Shares Gap Down - What's Next?

Shake Shack Inc. (NYSE:SHAK - Get Free Report)'s share price gapped down prior to trading on Monday . The stock had previously closed at $129.79, but opened at $126.52. Shake Shack shares last traded at $124.45, with a volume of 369,513 shares trading hands.

Wall Street Analyst Weigh In

Several brokerages have issued reports on SHAK. JPMorgan Chase & Co. cut their price target on Shake Shack from $105.00 to $100.00 and set an "underweight" rating on the stock in a report on Monday, May 5th. Wells Fargo & Company increased their target price on Shake Shack from $95.00 to $115.00 and gave the stock an "equal weight" rating in a report on Friday, May 30th. Loop Capital raised shares of Shake Shack from a "hold" rating to a "buy" rating and set a $127.00 price target for the company in a research report on Tuesday, April 1st. TD Cowen downgraded shares of Shake Shack from a "buy" rating to a "hold" rating and set a $105.00 price objective on the stock. in a report on Monday, May 19th. Finally, TD Securities reiterated a "hold" rating and set a $105.00 price objective on shares of Shake Shack in a report on Monday, May 19th. One investment analyst has rated the stock with a sell rating, thirteen have assigned a hold rating, seven have given a buy rating and one has issued a strong buy rating to the company's stock. According to data from MarketBeat, the company currently has an average rating of "Hold" and a consensus target price of $115.40.

Shake Shack Stock Performance

The firm has a market cap of $5.42 billion, a PE ratio of 552.35 and a beta of 1.61. The company has a quick ratio of 1.98, a current ratio of 1.97 and a debt-to-equity ratio of 0.50. The company has a 50-day simple moving average of $99.70 and a two-hundred day simple moving average of $110.80.

Shake Shack (NYSE:SHAK - Get Free Report) last released its earnings results on Thursday, May 1st. The company reported $0.14 EPS for the quarter, missing analysts' consensus estimates of $0.16 by ($0.02). The business had revenue of $320.90 million for the quarter, compared to the consensus estimate of $330.24 million. Shake Shack had a return on equity of 8.40% and a net margin of 0.81%. The company's revenue for the quarter was up 10.5% on a year-over-year basis. During the same quarter in the previous year, the firm earned $0.13 earnings per share. As a group, equities research analysts forecast that Shake Shack Inc. will post 1.26 earnings per share for the current year.

Insider Buying and Selling

In other Shake Shack news, Director Daniel Harris Meyer sold 10,000 shares of the business's stock in a transaction on Friday, May 30th. The stock was sold at an average price of $130.10, for a total value of $1,301,000.00. Following the sale, the director now directly owns 396,636 shares in the company, valued at $51,602,343.60. The trade was a 2.46% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Over the last 90 days, insiders sold 20,180 shares of company stock worth $2,622,709. Insiders own 9.73% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in SHAK. Strs Ohio bought a new stake in Shake Shack in the 1st quarter valued at about $5,713,000. Geneos Wealth Management Inc. purchased a new position in shares of Shake Shack in the first quarter worth about $26,000. Intech Investment Management LLC raised its position in shares of Shake Shack by 53.4% in the first quarter. Intech Investment Management LLC now owns 148,768 shares of the company's stock valued at $13,117,000 after purchasing an additional 51,760 shares during the period. Glenview Trust co purchased a new stake in shares of Shake Shack during the 1st quarter valued at approximately $602,000. Finally, Bayforest Capital Ltd lifted its stake in shares of Shake Shack by 107.9% during the 1st quarter. Bayforest Capital Ltd now owns 3,767 shares of the company's stock valued at $332,000 after buying an additional 1,955 shares in the last quarter. Institutional investors own 86.07% of the company's stock.

Shake Shack Company Profile

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.