Exploring Shake Shack's Earnings Expectations

Shake Shack (NYSE:SHAK) is gearing up to announce its quarterly earnings on Thursday, 2025-10-30. Here's a quick overview of what investors should know before the release.

Analysts are estimating that Shake Shack will report an earnings per share (EPS) of $0.31.

Shake Shack bulls will hope to hear the company announce they've not only beaten that estimate, but also to provide positive guidance, or forecasted growth, for the next quarter.

New investors should note that it is sometimes not an earnings beat or miss that most affects the price of a stock, but the guidance (or forecast).

Earnings Track Record

Last quarter the company beat EPS by $0.07, which was followed by a 7.06% drop in the share price the next day.

Here's a look at Shake Shack's past performance and the resulting price change:

Tracking Shake Shack's Stock Performance

Shares of Shake Shack were trading at $91.18 as of October 28. Over the last 52-week period, shares are down 26.19%. Given that these returns are generally negative, long-term shareholders are likely bearish going into this earnings release.

Analyst Opinions on Shake Shack

For investors, staying informed about market sentiments and expectations in the industry is paramount. This analysis provides an exploration of the latest insights on Shake Shack.

The consensus rating for Shake Shack is Neutral, derived from 12 analyst ratings. An average one-year price target of $120.33 implies a potential 31.97% upside.

Understanding Analyst Ratings Among Peers

The following analysis focuses on the analyst ratings and average 1-year price targets of and Shake Shack, three prominent industry players, providing insights into their relative performance expectations and market positioning.

Overview of Peer Analysis

The peer analysis summary outlines pivotal metrics for and Shake Shack, demonstrating their respective standings within the industry and offering valuable insights into their market positions and comparative performance.

Key Takeaway:

Shake Shack ranks in the middle for consensus rating among its peers. It is at the top for revenue growth, indicating strong performance in this area. However, it is at the bottom for gross profit, suggesting lower profitability compared to peers. In terms of return on equity, Shake Shack is also at the bottom, indicating lower returns generated on shareholders' equity.

Unveiling the Story Behind Shake Shack

Shake Shack Inc is a roadside burger stand. It serves 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.

Key Indicators: Shake Shack's Financial Health

Market Capitalization Analysis: Reflecting a smaller scale, the company's market capitalization is positioned below industry averages. This could be attributed to factors such as growth expectations or operational capacity.

Positive Revenue Trend: Examining Shake Shack's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 12.63% as of 30 June, 2025, showcasing a substantial increase in top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Consumer Discretionary sector.

Net Margin: Shake Shack's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 4.81% net margin, the company effectively manages costs and achieves strong profitability.

Return on Equity (ROE): Shake Shack's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of 3.55%, the company may face hurdles in achieving optimal financial returns.

Return on Assets (ROA): Shake Shack's ROA is below industry standards, pointing towards difficulties in efficiently utilizing assets. With an ROA of 0.98%, the company may encounter challenges in delivering satisfactory returns from its assets.

Debt Management: Shake Shack's debt-to-equity ratio is below the industry average. With a ratio of 1.7, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

To track all earnings releases for Shake Shack visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.