Shake Shack Inc (NYSE:SHAK) stock is down 3.1% to trade at $104 at last check, after Piper Sandler downgraded the fast food chain to "neutral" from "overweight," and cut its price objective to $114 from $121. Shares are pulling back from their highest level since May, but still sport a 40.2% year-to-date lead, with familiar support at the $102 region ready to contain any additional losses.What's more, the equity's recent peak comes amid historically low implied volatility (IV), which has been a bullish comb ...

Shake Shack may finally be positioning itself for stronger share price returns.On Aug. 1, popular burger chain Shake Shack (SHAK -1.94%) reported financial results for its fiscal second quarter, showing revenue growth of 16%. That was almost as good as the 18% revenue growth Chipotle Mexican Grill (CMG -2.78%) reported in its second quarter.This is normal. The two chains have grown at a similar pace over the last five years with Shake Shack slightly outpacing Chipotle. But if you invested $1,000 in Chipotle ...

Investment Overview - Shake Shack Inc. (NYSE: SHAK) is rated as a buy due to a solid growth outlook, with expectations of mid-teen percentage growth over the next two years, supported by strong same-store sales and new store openings [1] - Projected adjusted EBITDA is approximately $250 million by FY26, driven by an expanding adjusted EBITDA margin [1][8] Business Description - Shake Shack operates a fast food business selling burgers, fries, and milkshakes, utilizing both self-operated and licensed store models [2] - As of 2Q24, the company has 317 self-operated units and 247 franchised units, with total revenue reported at $316 million, reflecting a 16.4% year-over-year growth [2] - Restaurant level margins (RLM) improved to 22%, with a consolidated EBIT margin of 4.2%, marking significant margin expansions compared to previous quarters [2] Growth Performance - In 2Q24, Shake Shack achieved same-store sales growth (SSSG) of 4%, with a notable sequential improvement in traffic growth from -2.1% in 1Q24 to 0.8% [3] - Management indicated that SSSG strength continued into 3Q24 at 4.1%, driven by positive traffic growth across all regions [3] - The company plans to increase marketing spend to enhance brand awareness, currently spending about 1% of revenue compared to peers' 3-6% [3] Margin Expansion - The outlook for RLM is positive, with expectations of decreasing labor costs due to easing wage inflation and a new labor deployment model [4] - Food and paper cost inflation is projected to decline from 1.5% in 1Q24 to 0.5% in 2Q24, contributing to margin expansion [4] - Fixed cost leverage from mid-teen revenue growth is expected to further enhance profit margins [4] Financial Projections - Revenue is anticipated to grow at a mid-teen percentage for the next two years, supported by same-store sales and new store openings [8] - Adjusted EBITDA is expected to reach approximately $250 million in FY26, with an adjusted EBITDA margin projected at 15% [8] - The stock is expected to trade at 23x forward EBITDA, reflecting a stable valuation compared to peers [8] Conclusion - The overall growth outlook for Shake Shack remains solid, with 2Q24 performance demonstrating resilience in a challenging macro environment [10] - The combination of mid-teen revenue growth, new store openings, and expanding profit margins positions the company favorably for future performance [10]

Serve Robotics (NASDAQ:SERV) stock is on the rise Wednesday after the autonomous delivery robots company announced a new collaboration with Shake Shack (NYSE:SHAK).With this agreement Serve Robotics’ autonomous delivery robots will be used to deliver food from Shake Shack to customers. Also included in this partnership is Uber (NYSE:UBER), which will handle the orders through its Uber Eats platform.It’s worth highlighting that this delivery partnership is only available for residents ordering from Shake Sha ...

U.S. markets were relatively calm Monday as Wall Street entered the home stretch of second-quarter earnings season after a volatile week of trading fueled by recession fears. Trading activity often picks up during the month or so every quarter in which America's largest companies report results. But this past month, especially the last two weeks, has been characterized by abnormal swings in the stock market. Volatility spiked last week to its highest since the onset of Covid-19 after a soft jobs report and ...

Key TakeawaysShake Shack's earnings earlier this week showed its sales surged from a year ago.A number of its burger-selling rivals like McDonald's, however, have struggled with customers pulling back on spending and introduced value meals to drive sales in recent months.Shares of Shake Shack have climbed along with its sales, up 30% from the start of the year through Friday's close, while shares of McDonald's, Wendy's, and Burger King parent Restaurant Brands International slumped.Analysts and Shake Shack ...

Shake Shack Inc. (SHAK) posted decent second-quarter fiscal 2024 results, with earnings meeting the Zacks Consensus Estimate and revenues beating the same. The top and the bottom line increased on a year-over-year basis. During the quarter, the company benefited from product innovations, strategic menu pricing, technology implementations and promotions.Looking ahead, SHAK is committed to achieving efficiency across regions and formats by utilizing drive-throughs and third-party delivery. The company plans t ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES ☑ EXCHANGE ACT OF 1934 For the quarterly period ended June 28, 2023 OR TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES ☐ EXCHANGE ACT OF 1934 For the transition period from _______ to ______ Commission file number: 001-36823 SHAKE SHACK INC. (Exact name of registrant as specified in its charter) Delaware 47-1941186 (State or other ...

The broader stock market is causing investors a little pain to start the month of August, as the S&P 500 is declining by as much as 0.75%. The NASDAQ is lowering by over 1%, despite the Federal Reserve (the Fed) announcing that an interest rate cut is on the table for September 2024 and the CME’s FedWatch tool pricing in an over 90% probability of this happening; markets are selling off.Shake Shack TodaySHAKShake Shack$102.41 +14.79 (+16.88%) 52-Week Range$52.79▼$111.29P/E Ratio186.20Price Target$99.26Add t ...

Key TakeawaysShake Shack beat quarterly profit and sales estimates on higher prices.The burger-and-milkshake chain reported same-store sales up 4%, higher than expected.Shake Shack predicted it would have positive free cash flow for the year, the first time since 2017. Shake Shack (SHAK) shares skyrocketed after the company posted better-than-anticipated results and gave an upbeat forecast as it benefited from higher prices.  The burger-and-milkshake chain reported second-quarter adjusted earnings per share ...