Shake Shack (NYSE:SHAK) and Big Buck Brewery & Steakhouse (OTCMKTS:BBUCQ) are both retail/wholesale companies, but which is the better investment? We will compare the two companies based on the strength of their profitability, valuation, earnings, dividends, institutional ownership, risk and analyst recommendations.
Earnings & Valuation
This table compares Shake Shack and Big Buck Brewery & Steakhouse's top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
---|
Shake Shack | $594.52 million | 7.72 | $19.83 million | $0.72 | 151.82 |
Big Buck Brewery & Steakhouse | N/A | N/A | N/A | N/A | N/A |
Shake Shack has higher revenue and earnings than Big Buck Brewery & Steakhouse.
Profitability
This table compares Shake Shack and Big Buck Brewery & Steakhouse's net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
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Shake Shack | -4.80% | -5.11% | -1.85% |
Big Buck Brewery & Steakhouse | N/A | N/A | N/A |
Analyst Recommendations
This is a summary of recent ratings and recommmendations for Shake Shack and Big Buck Brewery & Steakhouse, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
---|
Shake Shack | 2 | 10 | 5 | 0 | 2.18 |
Big Buck Brewery & Steakhouse | 0 | 0 | 0 | 0 | N/A |
Shake Shack currently has a consensus target price of $94.1579, suggesting a potential downside of 13.86%. Given Shake Shack's higher possible upside, research analysts clearly believe Shake Shack is more favorable than Big Buck Brewery & Steakhouse.
Institutional and Insider Ownership
89.6% of Shake Shack shares are held by institutional investors. 15.0% of Shake Shack shares are held by insiders. Comparatively, 43.0% of Big Buck Brewery & Steakhouse shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.
Volatility & Risk
Shake Shack has a beta of 1.78, meaning that its share price is 78% more volatile than the S&P 500. Comparatively, Big Buck Brewery & Steakhouse has a beta of 22.99, meaning that its share price is 2,199% more volatile than the S&P 500.
Summary
Big Buck Brewery & Steakhouse beats Shake Shack on 5 of the 9 factors compared between the two stocks.