Providing a diverse range of perspectives from bullish to bearish, 22 analysts have published ratings on Shake Shack SHAK in the last three months.
In the table below, you'll find a summary of their recent ratings, revealing the shifting sentiments over the past 30 days and comparing them to the previous months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 8 | 4 | 9 | 1 | 0 |
| Last 30D | 0 | 0 | 2 | 0 | 0 |
| 1M Ago | 4 | 0 | 1 | 0 | 0 |
| 2M Ago | 2 | 3 | 0 | 1 | 0 |
| 3M Ago | 2 | 1 | 6 | 0 | 0 |
Insights from analysts' 12-month price targets are revealed, presenting an average target of $109.59, a high estimate of $125.00, and a low estimate of $80.00. Surpassing the previous average price target of $89.00, the current average has increased by 23.13%.
Breaking Down Analyst Ratings: A Detailed Examination
A comprehensive examination of how financial experts perceive Shake Shack is derived from recent analyst actions. The following is a detailed summary of key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Nick Setyan | Wedbush | Raises | Neutral | $110.00 | $100.00 |
| David Tarantino | Baird | Raises | Neutral | $105.00 | $102.00 |
| Andrew Charles | TD Cowen | Maintains | Buy | $125.00 | - |
| Brian Harbour | Morgan Stanley | Raises | Equal-Weight | $105.00 | $88.00 |
| Andrew Charles | TD Cowen | Maintains | Buy | $125.00 | - |
| Andrew Charles | TD Cowen | Maintains | Buy | $125.00 | - |
| Andrew Charles | TD Cowen | Maintains | Buy | $125.00 | - |
| Jake Bartlett | Truist Securities | Raises | Buy | $115.00 | $112.00 |
| Brian Bittner | Oppenheimer | Raises | Outperform | $120.00 | $108.00 |
| Andrew Charles | TD Cowen | Maintains | Outperform | $125.00 | - |
| Peter Saleh | BTIG | Raises | Buy | $120.00 | $110.00 |
| Andrew Charles | TD Cowen | Raises | Outperform | $125.00 | $91.00 |
| John Ivankoe | JP Morgan | Raises | Underweight | $100.00 | $65.00 |
| Dennis Geiger | UBS | Raises | Neutral | $110.00 | $88.00 |
| Brian Vaccaro | Raymond James | Raises | Strong Buy | $115.00 | $90.00 |
| Michael Tamas | Oppenheimer | Raises | Outperform | $108.00 | $80.00 |
| Jake Bartlett | Truist Securities | Raises | Buy | $112.00 | $90.00 |
| Nick Setyan | Wedbush | Raises | Neutral | $100.00 | $80.00 |
| Andrew Charles | TD Cowen | Raises | Market Perform | $91.00 | $73.00 |
| Nick Setyan | Wedbush | Maintains | Neutral | $80.00 | - |
| David Tarantino | Baird | Raises | Neutral | $82.00 | $67.00 |
| Dennis Geiger | UBS | Raises | Neutral | $88.00 | $80.00 |
Key Insights:
- Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Shake Shack. This information provides a snapshot of how analysts perceive the current state of the company.
- Rating: Providing a comprehensive analysis, analysts offer qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of Shake Shack compared to the broader market.
- Price Targets: Analysts navigate through adjustments in price targets, providing estimates for Shake Shack's future value. Comparing current and prior targets offers insights into analysts' evolving expectations.
Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Shake Shack's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.
Stay up to date on Shake Shack analyst ratings.
Unveiling the Story Behind Shake Shack
Shake Shack Inc is a roadside burger stand. It is serving a classic American menu of premium burgers, hot dogs, crispy chicken, frozen custard, crinkle-cut fries, shakes, beer, wine and more. The company's burgers are made with a whole-muscle blend of all-natural, hormone and antibiotic-free Angus beef, ground fresh daily, cooked to order and served on a non-genetically modified organism (GMO) potato bun. Its menu focuses on food and beverages, crafted from a range of classic American foods. The company serves draft Root Beer, seasonal freshly-squeezed lemonade, organic fresh brewed iced tea, cold brew coffee, organic apple juice, and Shack20 bottled water.
Shake Shack: Financial Performance Dissected
Market Capitalization Perspectives: The company's market capitalization falls below industry averages, signaling a relatively smaller size compared to peers. This positioning may be influenced by factors such as perceived growth potential or operational scale.
Revenue Growth: Shake Shack displayed positive results in 3 months. As of 31 December, 2023, the company achieved a solid revenue growth rate of approximately 20.0%. This indicates a notable increase in the company's top-line earnings. When compared to others in the Consumer Discretionary sector, the company excelled with a growth rate higher than the average among peers.
Net Margin: Shake Shack's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 2.52%, the company showcases strong profitability and effective cost management.
Return on Equity (ROE): Shake Shack's ROE falls below industry averages, indicating challenges in efficiently using equity capital. With an ROE of 1.68%, the company may face hurdles in generating optimal returns for shareholders.
Return on Assets (ROA): Shake Shack's ROA is below industry averages, indicating potential challenges in efficiently utilizing assets. With an ROA of 0.46%, the company may face hurdles in achieving optimal financial returns.
Debt Management: Shake Shack's debt-to-equity ratio is below the industry average. With a ratio of 1.74, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.
The Core of Analyst Ratings: What Every Investor Should Know
Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.
Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.
If you want to keep track of which analysts are outperforming others, you can view updated analyst ratings along withanalyst success scores in Benzinga Pro.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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