Bedrijfsoverzicht
Shake Shack Inc. is a prominent player in the consumer cyclical sector, specifically within the restaurants industry, where it owns, operates, and licenses Shake Shack restaurants across the United States and internationally. The company's portfolio includes a diverse range of food and beverage offerings such as burgers, chicken, hot dogs, crinkle cut fries, shakes, frozen custard, beer, wine, and other products, catering to a broad consumer base. As of the latest available data, the company boasts a market capitalization of $4.21 billion and generates annual revenue totaling $1.45 billion. This financial scale, supported by an workforce of 13,873 employees, indicates that Shake Shack has established a significant presence in the quick-service dining landscape. The valuation metrics suggest the market assigns a premium to the brand, reflecting confidence in its ability to maintain pricing power and expand its footprint despite the cyclical nature of the restaurant sector.
Financiële gezondheid
The company reported a trailing twelve-month revenue of $1.45 billion, with a corresponding net income of $45.73 million and EBITDA of $174.36 million. The substantial gap between the total revenue and the net income reveals a cost structure where operating expenses, including labor, rent, and food costs, consume a significant portion of top-line sales, leaving a net profit margin of only 3.2%. The free cash flow stands at $29.68 million, which provides the company with a degree of financial flexibility to fund capital expenditures or manage working capital needs, though the figure is relatively modest compared to the EBITDA. Profitability is further segmented by margins, with a gross margin of 40.2%, an operating margin of 5.1%, and the aforementioned profit margin of 3.2%, indicating that while the core product mix is profitable, operational overheads heavily impact the bottom line. On the balance sheet, the company holds $360.12 million in cash against total debt of $902.13 million, resulting in a debt-to-equity ratio of 162.91, which characterizes a leveraged balance sheet reliant on equity financing to offset obligations. Liquidity is supported by a current ratio of 1.76, suggesting the firm possesses sufficient current assets to cover short-term liabilities without immediate distress. Return metrics show a return on equity of 9.5% and a return on assets of 2.4%, highlighting that management generates returns primarily for shareholders rather than across the entire asset base, likely due to the high debt load.
Waarderingsbeoordeling
Valuation multiples for Shake Shack include a trailing P/E ratio of 90.47 and a forward P/E of 56.71. The notable difference between the high trailing P/E and the lower forward P/E implies that the market expects earnings growth to accelerate significantly in the coming periods to justify the current stock price. The price-to-book ratio is recorded at 7.56, indicating that the market values the company at a substantial premium over its tangible book value, reflecting intangible assets like brand equity and location value. Alternative valuation metrics such as the price-to-sales ratio of 2.91 and an EV/EBITDA of 26.04 suggest that investors are pricing the stock based on future sales expansion potential rather than current earnings power alone. Regarding trading ranges, the 52-week high is $144.65 and the 52-week low is $76.51. Without a specific current share price provided in the source data to calculate a precise percentage deviation, the stock's position relative to this historical range remains a key observation for investors analyzing recent volatility. The beta of 1.75 indicates that the stock exhibits higher price volatility than the broader market, moving approximately 75% more than the market index in either direction during periods of fluctuation.
Growth & Income
Shake Shack Inc. demonstrated robust expansion with a revenue growth rate of 21.9% year-over-year and an earnings growth rate of 28.7% year-over-year. The fact that earnings are growing faster than revenue implies successful leverage of existing operations, potential margin expansion, or efficiencies that allow the bottom line to outpace top-line sales increases. As a non-dividend payer, the company maintains a dividend yield of N/A and a payout ratio of 0.0%, meaning it reinvests all generated earnings back into the business for store expansions, technology upgrades, or share repurchases rather than distributing cash to shareholders. This strategy prioritizes long-term growth and market share acquisition over immediate income generation for investors. The overall growth and income profile is characterized by high capital appreciation potential driven by double-digit revenue and earnings expansion, though the absence of dividend income requires investors to rely solely on capital gains for total return.