Shake Shack (NYSE:SHAK) Given New $66.00 Price Target at Piper Sandler

Shake Shack (NYSE:SHAK) had its price objective reduced by Piper Sandler from $79.00 to $66.00 in a research note issued to investors on Tuesday morning, Marketbeat Ratings reports. Piper Sandler currently has a neutral rating on the stock.

A number of other equities analysts have also weighed in on the company. Wells Fargo & Company decreased their target price on Shake Shack from $80.00 to $65.00 and set an “equal weight” rating for the company in a research report on Wednesday, June 3rd. Barclays dropped their price target on shares of Shake Shack from $118.00 to $96.00 and set an “overweight” rating on the stock in a report on Friday, May 8th. Stifel Nicolaus upgraded shares of Shake Shack from a “hold” rating to a “buy” rating and reduced their price target for the stock from $105.00 to $85.00 in a research note on Friday, May 8th. Bank of America raised shares of Shake Shack from an “underperform” rating to a “neutral” rating and boosted their price objective for the company from $88.00 to $101.00 in a report on Tuesday, March 31st. Finally, Jefferies Financial Group restated a “hold” rating and set a $66.00 price objective on shares of Shake Shack in a research report on Tuesday, June 2nd. Fifteen equities research analysts have rated the stock with a Buy rating, ten have issued a Hold rating and two have assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock has an average rating of “Hold” and an average target price of $89.39.

Shake Shack Stock Down 3.5%

SHAK stock opened at $59.98 on Tuesday. The stock has a market capitalization of $2.57 billion, a P/E ratio of 61.21, a P/E/G ratio of 3.42 and a beta of 1.63. The company has a debt-to-equity ratio of 0.45, a current ratio of 1.69 and a quick ratio of 1.66. Shake Shack has a 1-year low of $51.60 and a 1-year high of $142.20. The business has a fifty day moving average price of $59.86 and a 200-day moving average price of $81.34.

Insiders Place Their Bets

In other news, Director Jeffrey Flug purchased 1,000 shares of the business’s stock in a transaction on Friday, May 15th. The stock was acquired at an average cost of $61.30 per share, for a total transaction of $61,300.00. Following the purchase, the director directly owned 5,470 shares in the company, valued at $335,311. This trade represents a 22.37% increase in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, Director Josh Silverman purchased 8,290 shares of Shake Shack stock in a transaction dated Friday, May 15th. The shares were acquired at an average cost of $60.38 per share, with a total value of $500,550.20. Following the transaction, the director directly owned 8,290 shares in the company, valued at approximately $500,550.20. The trade was a ∞ increase in their ownership of the stock. The SEC filing for this purchase provides additional information. In the last three months, insiders bought 50,616 shares of company stock valued at $3,109,782. 8.32% of the stock is currently owned by company insiders.

Institutional Trading of Shake Shack

Several large investors have recently added to or reduced their stakes in the business. Geneos Wealth Management Inc. bought a new position in Shake Shack in the first quarter worth approximately $26,000. Hilton Head Capital Partners LLC bought a new stake in shares of Shake Shack during the 4th quarter valued at $25,000. Assetmark Inc. increased its stake in shares of Shake Shack by 457.6% in the 4th quarter. Assetmark Inc. now owns 368 shares of the company’s stock worth $30,000 after purchasing an additional 302 shares in the last quarter. UMB Bank n.a. increased its stake in shares of Shake Shack by 42.2% in the 4th quarter. UMB Bank n.a. now owns 391 shares of the company’s stock worth $32,000 after purchasing an additional 116 shares in the last quarter. Finally, Advisory Services Network LLC bought a new position in Shake Shack in the 3rd quarter worth $38,000. 86.07% of the stock is currently owned by institutional investors.

Trending Headlines about Shake Shack

Here are the key news stories impacting Shake Shack this week:

• Positive Sentiment: Shake Shack is generating attention around its new West Coast-inspired menu, including the West Coast burger, which could help traffic and near-term sales by attracting customers looking for a limited-time offering. Shake Shack Launches West Coast–Inspired Menu
• Positive Sentiment: Investor interest also looks supported by unusual call-option activity, suggesting some traders were positioning for a move higher.
• Neutral Sentiment: Several consumer articles highlighting early reactions to the West Coast burger may help brand visibility, but they are unlikely to materially change the stock’s fundamentals on their own. I tried Shake Shack’s new West Coast burger as a die-hard In-N-Out fan, I was surprised Shake Shack’s West Coast Menu Left Me California Dreamin’
• Neutral Sentiment: A new Cranberry Shake Shack location has set an opening date, which is constructive for expansion but not a major market-moving catalyst by itself. New Cranberry Shake Shack sets opening date
• Negative Sentiment: Piper Sandler lowered its price target on Shake Shack from $79 to $66 and kept a neutral rating, which can pressure sentiment even though the new target still implies upside from current levels. Benzinga / The Fly note on Piper Sandler price target cut
• Negative Sentiment: Recent Seeking Alpha commentary was split, with one piece arguing the stock is attractive on a deeper dip and another saying the premium valuation is not justified if the outlook weakens, adding to uncertainty around SHAK’s valuation. Shake Shack: A Buy On A Deeper Dip Shake Shack: The Premium Is Not Justified, If You Can’t Rely On The Outlook

About Shake Shack

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.