TD Cowen analyst Andrew Charles downgraded Shake Shack (SHAK) to Hold from Buy with an unchanged price target of $105. The shares now trade in excess of the three-year average and the “challenged” restaurant spending backdrop will limit further multiple expansion, particularly in the “crowded burger category where the concept lacks category leadership,” the analyst tells investors in a research note. Further, TD believes Shake Shack’s margin story has materialized, limiting the magnitude of future positive adjusted EBITDA revisions.
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Read More on SHAK:
- Shake Shack price target raised to $140 from $134 at Truist
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- Shake Shack price target lowered to $140 from $145 at Raymond James
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