Shake Shack Inc. (NYSE:SHAK) is one of the stocks on Jim Cramer’s radar recently. A caller asked about the stock, and here’s what Mad Money’s host had to say: “Okay, this is such a great question. Now, you have to understand that Rob Lynch is doing a remarkable job, and he’s a great CEO. Here’s the problem: this stock is trading with the price of beef and cattle, went up and up and up. I think the president’s going to try to bring cattle down. I think that means you buy Shake Shack. I think it doesn’t mat ...

Core Insights - Mane Global Capital Management LP fully exited its position in Shake Shack during the third quarter, selling 570,507 shares for a net change of $80.21 million [1][2][9] Company Overview - Shake Shack Inc. operates as a leading fast-casual restaurant with a multi-channel growth strategy, combining company-owned and licensed locations to expand globally [6] - The company has over 12,800 employees and operates restaurants in the U.S. and internationally [6] - Shake Shack's revenue primarily comes from hamburgers, chicken sandwiches, hot dogs, fries, shakes, frozen custard, and beverages [8] Financial Metrics - As of November 25, 2025, Shake Shack's share price was $86.99, down 33% over the past year [3][4] - The company's market capitalization is $3.5 billion, with a trailing twelve months (TTM) revenue of $1.37 billion and a net income of $42.60 million [4] Performance Analysis - Shake Shack's share price has been volatile, fluctuating between $75 and $140 in the past year, with a nearly 40% decline since its 52-week high in August [9][10] - The company has grown its same-store sales for 19 consecutive quarters and increased its store count by 14% to 630 locations in the last quarter [10][11] - Management believes it can quadruple the number of company-owned stores over the long term [11] Investment Perspective - Shake Shack is trading at 18 times cash from operations, which could rise to 22 to 25 times free cash flow if it ceased expansion plans [11][12] - The company has achieved annual sales growth of 17% over the last five years and 15% this year, indicating potential as a growth stock at current prices [12]

Core Insights - Shake Shack Inc. has recently shown resilience in the restaurant sector, reporting better-than-expected same shack sales and a revenue beat, leading to a stock rally of nearly 2% [1] - The stock experienced a significant decline from over $140 to just under $90 before the recent positive earnings report [1] - Despite not providing perfect guidance for the current quarter, the results were sufficient to boost investor confidence [1] Company Overview - Shake Shack operates a chain of restaurants that serve a variety of food items including burgers, chicken, hot dogs, fries, shakes, frozen custard, and beverages [2]

Core Insights - Conagra Brands has experienced a 9.2% decline in share price over the past month, underperforming the S&P 500 [1][2] Financial Performance - For Q1 fiscal 2026, Conagra reported adjusted earnings per share (EPS) of 39 cents, exceeding the Zacks Consensus Estimate of 33 cents, but reflecting a 26.4% year-over-year decline [3][4] - The company generated net sales of $2,632.6 million, a 5.8% decrease year-over-year, yet surpassing the Zacks Consensus Estimate of $2,609 million [5] - Organic net sales decreased by 0.6%, with a 0.6% positive impact from price/mix offset by a 1.2% decline in volume [6] Segment Performance - Grocery & Snacks segment net sales were $1,079.6 million, down 8.7% year-over-year, impacted by a 7.7% adverse effect from M&A [9] - Refrigerated & Frozen segment net sales decreased by 0.9% to $1,076.2 million, with a 1.1% headwind from M&A [10] - International segment net sales fell 18% to $212.3 million, driven by a 13.2% unfavorable impact from M&A [11] - Foodservice reported sales of $264.5 million, down 0.8% year-over-year, including a 1.0% headwind from M&A [12] Financial Health - Conagra ended the quarter with cash and cash equivalents of $698.1 million and long-term debt of $7,222.6 million [14] - The company generated $120.6 million in net cash flows from operating activities, with capital expenditures of $146.8 million, resulting in a free cash flow of negative $26.2 million [14] Future Outlook - For fiscal 2026, Conagra expects organic net sales growth to range from negative 1% to positive 1%, with adjusted earnings forecasted between $1.70 and $1.85 per share, down from $2.30 in fiscal 2025 [16] - Recent estimates for the company have been trending downward, indicating a potential in-line return in the coming months [19] Industry Context - Conagra Brands is part of the Zacks Food - Miscellaneous industry, where competitor Lamb Weston reported a slight revenue increase of 0.3% year-over-year [20]

Core Insights - Carillon Tower Advisers reported a continued upward trend in equity markets, driven by AI acceleration, reduced inflationary impacts, and potential interest rate cuts from the U.S. Federal Reserve [1] - The Russell 2000® Growth Index increased by 12.19% in Q3 2025, slightly underperforming the Russell 2000 Value Index, which rose by 12.60% [1] Company Overview: Shake Shack Inc. (NYSE: SHAK) - Shake Shack Inc. operates a fast-casual restaurant chain offering a variety of food and beverage options, including burgers and milkshakes [3] - The stock experienced a one-month return of -2.60% and a 52-week decline of 19.75%, closing at $91.18 per share with a market capitalization of $3.892 billion on October 28, 2025 [2] Financial Performance - Shake Shack reported total revenue of $356.5 million in Q2 2025, exceeding its guidance range [4] - Despite strong results, the stock price declined due to quarterly results not meeting elevated investor expectations and slower traffic trends in the fast-casual dining sector [3][4] Investment Sentiment - Shake Shack is not among the 30 most popular stocks among hedge funds, with 34 hedge fund portfolios holding the stock at the end of Q2 2025, down from 39 in the previous quarter [4] - While the company has potential as an investment, certain AI stocks are viewed as offering greater upside potential with less downside risk [4]

Core Insights - Shake Shack Inc. is facing challenges due to the current economic conditions affecting consumer spending, with concerns that its pricing may be too high for some customers [1] - The company reported strong earnings with the highest restaurant level margins in six years, but same-store sales growth of 1.8% fell short of analysts' expectations of 2.2% [2] Company Performance - Shake Shack's recent earnings report showed a clean top and bottom line beat, indicating strong operational performance [2] - The company achieved its highest restaurant level margins in six years, highlighting effective cost management and operational efficiency [2] Market Sentiment - Jim Cramer expressed surprise at the negative sentiment surrounding Shake Shack despite its strong earnings, indicating a potential disconnect between market perception and actual performance [2] - The overall consumer sentiment is poor, which may impact the stock's performance as consumers are feeling the pinch from rising beef prices [1]

Core Insights - Conagra Brands, Inc. reported first-quarter fiscal 2026 results with both revenue and earnings exceeding Zacks Consensus Estimates, although both metrics showed a year-over-year decline [1][12] Financial Performance - Adjusted earnings per share (EPS) were 39 cents, surpassing the Zacks Consensus Estimate of 33 cents, but reflecting a 26.4% decline year over year [2] - Net sales totaled $2,632.6 million, down 5.8% year over year, yet exceeding the Zacks Consensus Estimate of $2,609 million [3] - Organic net sales decreased by 0.6%, with a 0.6% positive impact from price/mix offset by a 1.2% decline in volume [4] Profitability Metrics - Adjusted gross profit fell 11.3% to $644 million, with adjusted gross margin contracting 153 basis points to 24.4% [5] - Adjusted EBITDA was $441 million, down 16.4% year over year [6] Segment Performance - Grocery & Snacks segment reported net sales of $1,079.6 million, down 8.7% year over year, driven by a 7.7% adverse impact from M&A [7] - Refrigerated & Frozen segment saw net sales decrease by 0.9% year over year to $1,076.2 million, reflecting a 1.1% headwind from M&A [8] - International segment's net sales declined 18% year over year to $212.3 million, missing estimates due to a 13.2% unfavorable impact from M&A [9] - Foodservice segment reported sales of $264.5 million, down 0.8% year over year, with a 1.0% headwind from M&A [10] Financial Health - The company ended the quarter with cash and cash equivalents of $698.1 million and long-term debt of $7,222.6 million [13] - For fiscal 2026, Conagra projects EPS between $1.70 and $1.85 and organic growth between -1% and 1% [12][15] Dividend Declaration - Conagra declared a quarterly dividend of 35 cents per share, payable on November 26, 2025 [14]

Core Insights - Conagra Brands reported a net sales decrease of 5.8% to $2.6 billion for the first quarter of fiscal year 2026, with organic net sales down 0.6% driven by a 1.2% decrease in volume despite a 0.6% positive impact from price/mix [2][10][39] - The company reaffirmed its fiscal 2026 guidance, expecting organic net sales growth between -1% to 1%, adjusted operating margin of approximately 11.0% to 11.5%, and adjusted EPS between $1.70 and $1.85 [10][27][18] Financial Performance - Gross profit decreased 13.4% to $641 million, with adjusted gross profit down 11.3% to $644 million, primarily due to lower net sales and inflationary pressures on cost of goods sold [3][10] - Selling, general, and administrative expenses (SG&A) increased 0.1% to $336 million, with adjusted SG&A rising 1.5% to $333 million, driven by higher incentive compensation [4][10] - Net income attributable to Conagra Brands fell 64.8% to $165 million, or $0.34 per diluted share, compared to $467 million, or $0.97 per diluted share in the prior year [6][10][39] Segment Performance - Grocery & Snacks segment net sales decreased 8.7% to $1.1 billion, with organic net sales impacted by a 1.6% volume decrease [7][10] - Refrigerated & Frozen segment net sales decreased 0.9% to $1.1 billion, with a volume increase of 0.5% offset by a 0.3% price/mix decrease [8][10] - International segment net sales decreased 18.0% to $212 million, driven by a 5.2% volume decrease despite a 1.7% price/mix increase [9][10] Cash Flow and Debt - The company generated $121 million in net cash flows from operating activities, down from $269 million in the prior year, primarily due to lower operating profit and increased inventory levels [17][10] - Conagra ended the quarter with net debt of $7.6 billion, a 12.3% reduction from the prior year, resulting in a net leverage ratio of 3.55x [18][10] Outlook and Guidance - The company anticipates continued elevated cost of goods sold inflation, projecting core inflation slightly above 4% and total cost of goods sold inflation in the low 7% range for fiscal 2026 [19][10] - Guidance includes an expected interest expense of approximately $390 million and an adjusted effective tax rate of around 24% for the fiscal year [18][10]

Marketing Strategies - Costco employs loss leader pricing on items like hot dogs and chickens to build customer trust and drive overall sales [1] - The company utilizes strategic store layouts with minimal signage to encourage unplanned purchases and increase browsing time [1] - Costco uses large shopping carts to create a perception of smaller purchase volume, prompting customers to buy more [1] - Free samples are offered to stimulate cravings and increase sales of sampled products [1] - Bulk selling encourages customers to purchase quantities exceeding their immediate needs [1]

Core Insights - Nathan's Famous, Inc. (NATH) has seen a 0.4% stock gain over the past three months, outperforming the industry decline of 2.8% but underperforming the S&P 500's gains of 9.6% [1][2] - The company reported strong top-line growth in its first-quarter fiscal 2026 results, although bottom-line performance was disappointing [2][3] - Management highlighted strengths in the Branded Product Program and franchise operations, while noting challenges from weather-related issues at company-owned restaurants [3][8] Financial Performance - The Branded Product Program showed notable sales growth due to higher average selling prices and volumes, despite rising beef costs [9][10] - Franchise restaurant sales increased year-over-year, with eight new franchised locations opened, contributing to asset-light revenue streams [11] - Nathan's Famous maintains stable profitability with consistent EBITDA performance, allowing for investment in growth despite cost pressures [12] Challenges - The company faces concentration risk due to its reliance on Smithfield Foods for supply and licensing revenues [13] - Inflationary pressures and volatility in commodity costs, along with rising labor expenses, present ongoing margin risks [13] Valuation - Nathan's Famous has a trailing 12-month EV/Sales ratio of 2.9X, lower than the industry average of 4.6X but higher than its five-year median of 2.7X [14][16] - Comparatively, peers Ark Restaurants and Flanigan's Enterprises have trailing EV/Sales ratios of 0.1X and 0.3X, respectively [16] Investment Outlook - The company exhibits strong core business strength and financial stability, making it an attractive option for both existing and new investors [17][18] - The current valuation suggests potential for growth if performance aligns more closely with the overall market [18]