Shake Shack (NYSE:SHAK) Stock Passes Below 50 Day Moving Average – What’s Next?

Shares of Shake Shack, Inc. (NYSE:SHAK) crossed below its 50-day moving average during trading on Friday . The stock has a 50-day moving average of $70.46 and traded as low as $54.40. Shake Shack shares last traded at $56.7590, with a volume of 2,555,902 shares traded.

Wall Street Analyst Weigh In

SHAK has been the topic of a number of research reports. Stifel Nicolaus upgraded shares of Shake Shack from a “hold” rating to a “buy” rating and cut their target price for the company from $105.00 to $85.00 in a research report on Friday, May 8th. Wolfe Research started coverage on shares of Shake Shack in a research note on Monday, March 9th. They set an “outperform” rating and a $118.00 price objective on the stock. Jefferies Financial Group reiterated a “hold” rating and issued a $66.00 target price on shares of Shake Shack in a report on Tuesday, June 2nd. Wells Fargo & Company decreased their price target on shares of Shake Shack from $80.00 to $65.00 and set an “equal weight” rating for the company in a report on Wednesday, June 3rd. Finally, DA Davidson lowered their price objective on shares of Shake Shack from $85.00 to $70.00 and set a “buy” rating for the company in a research report on Tuesday, June 2nd. Fifteen equities research analysts have rated the stock with a Buy rating, eleven have given a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average target price of $91.00.

Shake Shack Trading Up 2.8%

The stock has a market cap of $2.43 billion, a price-to-earnings ratio of 57.92, a PEG ratio of 2.45 and a beta of 1.63. The company has a quick ratio of 1.66, a current ratio of 1.69 and a debt-to-equity ratio of 0.45. The business’s 50 day simple moving average is $70.46 and its 200 day simple moving average is $83.48.

Insider Activity

In related news, Director Josh Silverman purchased 8,290 shares of the firm’s stock in a transaction that occurred on Friday, May 15th. The shares were acquired at an average price of $60.38 per share, for a total transaction of $500,550.20. Following the purchase, the director owned 8,290 shares in the company, valued at approximately $500,550.20. This represents a ∞ increase in their ownership of the stock. The purchase was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Sumaiya Balbale acquired 4,068 shares of the business’s stock in a transaction on Friday, May 15th. The shares were bought at an average price of $61.42 per share, with a total value of $249,856.56. Following the completion of the transaction, the director directly owned 13,407 shares of the company’s stock, valued at approximately $823,457.94. The trade was a 43.56% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. Over the last 90 days, insiders purchased 50,616 shares of company stock valued at $3,109,782. 8.32% of the stock is owned by company insiders.

Institutional Trading of Shake Shack

Several hedge funds and other institutional investors have recently bought and sold shares of the business. Geneos Wealth Management Inc. acquired a new stake in shares of Shake Shack during the 1st quarter worth $26,000. Hilton Head Capital Partners LLC bought a new stake in Shake Shack during the fourth quarter worth about $25,000. Assetmark Inc. grew its stake in Shake Shack by 457.6% during the fourth quarter. Assetmark Inc. now owns 368 shares of the company’s stock worth $30,000 after buying an additional 302 shares in the last quarter. UMB Bank n.a. increased its holdings in Shake Shack by 42.2% in the 4th quarter. UMB Bank n.a. now owns 391 shares of the company’s stock valued at $32,000 after buying an additional 116 shares during the period. Finally, Advisory Services Network LLC acquired a new position in shares of Shake Shack in the 3rd quarter valued at approximately $38,000. Institutional investors and hedge funds own 86.07% of the company’s stock.

Shake Shack Company Profile

Shake Shack, Inc (NYSE: SHAK) is a publicly traded hospitality company known for its modern take on the classic American roadside burger stand. The company operates a chain of quick-casual restaurants offering premium hamburgers, hot dogs, crinkle-cut fries, frozen custard, milkshakes and a curated selection of beer and wine. Shake Shack emphasizes high-quality ingredients, including 100% all-natural Angus beef with no hormones or antibiotics, and works with local suppliers where possible to maintain its commitment to fresh, responsibly sourced food.

Shake Shack traces its origins to a hot dog cart opened in New York City’s Madison Square Park in 2001 by Danny Meyer’s Union Square Hospitality Group.