Financial Performance - Total revenue for Q1 2025 was $320.9 million, representing a 10.5% increase compared to 2024, with Shack sales of $309.8 million and licensing revenue of $11.1 million[5]. - System-wide sales reached $489.4 million, up 10.4% from 2024, while same-Shack sales increased by 0.2%[5]. - Net income attributable to Shake Shack Inc. was $4.2 million, or earnings of $0.10 per diluted share, compared to $2.0 million in the same period of 2024[5][17]. - Adjusted EBITDA for the quarter was $40.7 million, reflecting a 13.5% increase from 2024[5]. - Restaurant-level profit was $64.2 million, accounting for 20.7% of Shack sales[5]. - Net income for the thirteen weeks ended March 26, 2025, was $4,513,000, compared to $2,214,000 for the same period in 2024, representing a 103% increase[19]. - Total revenue increased to $320,898,000 in Q1 2025 from $290,504,000 in Q1 2024, reflecting a growth of 10.5%[26]. - Shack sales reached $309,838,000, up from $280,552,000, indicating a 10.4% increase year-over-year[26]. - Restaurant-level profit for the period was $64,240,000, compared to $54,746,000 in the prior year, marking an increase of 17.3%[26]. - Adjusted EBITDA for Q1 2025 was $40,745,000, up from $35,885,000 in Q1 2024, which is a 13.5% increase[32]. - Adjusted EBITDA margin improved to 12.7% in Q1 2025 from 12.4% in Q1 2024[32]. - Adjusted pro forma net income for the same period was $6,398,000, up from $5,623,000, reflecting a 13.8% increase year-over-year[39]. - Earnings per share of Class A common stock—diluted increased to $0.10 for the thirteen weeks ended March 26, 2025, compared to $0.05 for the same period in 2024, a 100% increase[39]. - Adjusted pro forma earnings per fully exchanged share—diluted rose to $0.14, up from $0.13, indicating an increase of 7.7%[39]. Operational Highlights - The company opened four new Company-operated Shacks, including two drive-thrus, and seven new licensed Shacks during the quarter[5]. - The company incurred $2,057,000 in impairments and losses on asset disposals during the quarter, compared to $526,000 in the same period last year[26]. - The restaurant-level profit margin increased to 20.7% from 19.5% year-over-year, indicating improved operational efficiency[26]. - The company incurred an impairment charge and Shack closures amounting to $1,653,000 during the fiscal period[39]. - Legal settlements accounted for expenses of $983,000 in the current fiscal period[39]. Cash and Assets - Cash and cash equivalents as of March 26, 2025, were $312.9 million, a slight decrease from $320.7 million at the end of 2024[15]. - Cash provided by operating activities was $31,222,000, slightly up from $30,665,000 in the previous year[19]. - Cash and cash equivalents at the end of the period were $312,921,000, compared to $260,203,000 at the end of Q1 2024, showing a 20.2% increase[19]. - Total assets increased to $1.727 billion from $1.697 billion at the end of 2024[15]. - Total liabilities rose to $1.230 billion, up from $1.203 billion at the end of 2024[15]. Tax and Shares - The effective tax rate for the thirteen weeks ended March 26, 2025, was assumed at 21.3%[41]. - Non-GAAP adjustments for the period had a per share impact of $0.04, compared to $0.08 in the previous year[42]. - Weighted-average shares of Class A common stock outstanding—diluted increased to 41,864,000 from 41,259,000, a growth of 1.5%[39]. - The tax impact of adjustments was a reduction of $993,000 for the thirteen weeks ended March 26, 2025[39].

Investment Rating - The report maintains a "Buy" rating for McDonald's and Domino's, while Starbucks and Shake Shack are rated as "Hold" [4][46]. Core Insights - The US restaurant sector outlook is tempered due to macroeconomic pressures, geopolitical uncertainty, and changing consumer behaviors, leading to a reduction in adjusted net earnings estimates by approximately 4% for 2025-26 [2][3]. - Same-store sales (SSS) are expected to decline by an average of 90 basis points year-over-year for 2025-26, primarily due to affordability issues affecting lower-income consumers, although there is some mitigation from higher-income diners trading down for value [2][3]. - The report emphasizes a preference for defensive, value-driven leaders with operational agility, highlighting McDonald's and Domino's as favorable investments due to their resilient franchise revenue streams and scalable operating models [3][25]. Summary by Company McDonald's - McDonald's is recognized for its resilient revenue stream, primarily from its 95% franchised model, and its broad geographic footprint, which provides diversification [7][25]. - The target price for McDonald's is revised to USD 343.00, reflecting a 10.2% upside potential [4][46]. - The company is expected to benefit from a multi-layered pricing strategy and digital transformation initiatives, which are anticipated to enhance operational efficiency and customer engagement [25][26]. Domino's - Domino's is noted for its strong franchise model and predictable income streams, allowing for continued investment in growth and innovation [7][30]. - The target price for Domino's is set at USD 540.00, indicating a 15.7% upside potential [4][46]. - The company is expected to leverage its marketing and distribution expertise to drive international growth, particularly in markets like China and India [30][31]. Starbucks - Starbucks is undergoing tactical changes aimed at long-term turnaround, with a focus on enhancing brand value and customer experience [7][37]. - The target price for Starbucks is lowered to USD 84.00, reflecting a 3.1% upside potential [4][46]. - Despite challenges, the company is expected to stabilize its same-store sales declines and improve customer engagement through operational initiatives [37][49]. Shake Shack - Shake Shack is recognized for its differentiated brand equity and commitment to high-quality menu items, with a solid development pipeline expected to drive growth [7][42]. - The target price for Shake Shack is revised to USD 89.00, indicating a 6.9% upside potential [4][46]. - The company faces headwinds from competition and macroeconomic concerns, but it is positioned to capitalize on its brand strength and market opportunities [42][50].

Group 1 - Shake Shack Inc (NYSE:SHAK) stock has increased by 2% to $89.89 following an upgrade from Loop Capital to "buy" from "hold," with a price target set at $127, indicating a potential upside of 40% due to attractive valuation and sales growth [1] - The majority of firms are currently bearish on Shake Shack, with 12 out of 20 firms rating it as "hold" or worse, and short interest has risen by 7% over the past month, accounting for 10.7% of the stock's available float [2] - Shake Shack's stock has declined over 30% year-to-date, but it may experience its first daily gain in three sessions, testing a ceiling at the 20-day moving average after previously falling below this trendline [3] Group 2 - The stock's 50-day call/put volume ratio of 1.49 ranks in the 82nd percentile of annual readings, indicating that options traders are significantly more bullish than usual [4]

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or ...

Key Takeaways Shake Shack Inc. (SHAK) has delivered an impressive 146.6% surge over the past five years. However, the stock has hit a rough patch recently, tumbling 30.6% in the past month, significantly underperforming the retail restaurant industry's 4.8% decline and the S&P 500's 7.5% drop. The company is poised for robust earnings growth, with projections indicating a 40.2% jump in fiscal 2025, followed by a 22.9% increase in 2026. Meanwhile, revenue growth has been strong, with forecasts suggesting a 1 ...

Shake Shack (SHAK) has been on a downward spiral lately with significant selling pressure. After declining 24.3% over the past four weeks, the stock looks well positioned for a trend reversal as it is now in oversold territory and there is strong agreement among Wall Street analysts that the company will report better earnings than they predicted earlier.How to Determine if a Stock is OversoldWe use Relative Strength Index (RSI), one of the most commonly used technical indicators, for spotting whether a sto ...

I am an Equity Analyst and Accountant specializing in restaurant stocks, with a solid foundation in Business Administration and Accounting, complemented by an MBA in Forensic Accounting and Controllership. As the founder of Goulart's Restaurant Stocks, I lead a company focused on analyzing restaurant stocks in the U.S. market. Our coverage spans multiple segments, including QSR, fast casual, casual dining, fine dining, and family dining. We employ advanced analytical models and specialized valuation techniq ...

Shake Shack Inc. (SHAK) posted mixed fourth-quarter fiscal 2024 results, wherein earnings beat the Zacks Consensus Estimate while revenues missed the same. However, the top and bottom lines increased on a year-over-year basis.Find the latest earnings estimates and surprises on Zacks Earnings Calendar.The quarter’s performance improved year over year attributable to growing sales volume and enhanced operations. Furthermore, increased company-operated and licensed store openings on a global scale, accompanied ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☑ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 25, 2024 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) __________________________ ...

Shake Shack Inc. (NYSE:SHAK) Q4 2024 Earnings Conference Call February 20, 2025 8:00 AM ET Company Participants Michael Oriolo - Vice President, FP&A & IR Rob Lynch - CEO Katie Fogertey - CFO Conference Call Participants Michael Tamas - Oppenheimer & Company Christine Cho - Goldman Sachs Brian Vaccaro - Raymond James Jeffrey Bernstein - Barclays Sharon Zackfia - William Blair Brian Mullan - Piper Sandler Andrew Charles - TD Cowen Peter Saleh - BTIG Brian Harbour - Morgan Stanley Jake Bartlett - Truist Secur ...