IB Net Payout Yields Model

Shake Shak: Expecting Too Much


  • Shake Shack finally cools off after an incredible surge in the stock price.
  • The fabulous burger-joint has a valuation multiple only matched by fast-growing tech stocks that produce revenues gains of over 100%.
  • Investors must not get caught up in the excitement of the Shake Shack concept and focus on the absurd valuation compared to other top fast-casual restaurant concepts.
After a massive month-long run, Shake Shack (NYSE:SHAK) finally took a step back. The fabulous burger joint has an enviable customer base and strong growth prospects, but the recent rally appears more fluff than reality. The stock started April below $50 and surged above $95 last week.

Read the full article on Seeking Alpha.


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