shake shack worth over $1,000,000,000

Discussion in 'Stocks' started by S2007S, Jan 30, 2015.

  1. clacy

    clacy

    If you do the exact opposite of S2007S, I think you would have a significant edge in the market place.
     
    #41     Apr 22, 2015
    Clubber Lang, Nine_Ender and samuel11 like this.
  2. Autodidact

    Autodidact

    I prefer Burger Fi
     
    #42     Apr 25, 2015
  3. S2007S

    S2007S

    This is just a saturated market...never before have I ever seen so many Burger places opening up......
     
    #43     Apr 26, 2015
  4. m22au

    m22au

    #44     May 3, 2015
  5. m22au

    m22au

    #45     May 7, 2015
  6. m22au

    m22au

  7. m22au

    m22au

    #47     May 29, 2015
  8. m22au

    m22au

    Yes, but it may take many months or years.

    .
     
    #48     Aug 14, 2015
  9. S2007S

    S2007S

    This guy is right, I said back at their IPO that this stock was extremely over valued, its still extremely over valued, you also have to understand how saturated this market has become in just the last 5 years.....Im sure though people will bid the stock up to new highs probably going into 2016 because no cares about fundamentals and extreme valuations.

    You could lose a 'tremendous amount' in this stock



    Shake Shack has been a Street favorite since its IPO, its shares gaining more than 46 percent over the last six months. But according to one trader, the stock's meteoric rise spells trouble for investors.

    "People are going to lose a tremendous amount of money here," David Seaburg of Cowen and Co. said Monday on CNBC's "Trading Nation." "It's a burger-and-fries company, and it's trading like a tech stock from the 1990s."

    He recommends selling Shake Shack because of its sky-high valuation and the company's inability to achieve its growth goals.

    Seaburg said Shake Shack's valuation is "astronomical," with an almost 800 percent premium compared to its peers. According to FactSet, Shake Shack shares are trading at about 206 times forward earnings, compared to McDonald's at 20 times earnings, and Wendy's at 29 times earnings.


    "Every metric value you look at, this stock is completely overvalued, so if you own it, sell it," he said. "This is not a stock you want to trade, this is not for the faint of heart."

    Seaburg said the company's shares are not worth the premium price, because Shake Shack structured its growth plan around same-store sales in New York, and the results could change for the fast-food restaurant as it attempts to expand into different markets.

    "Any way you slice it, they're going to struggle here," he said. "They just can't grow into it, it doesn't make sense whatsoever."

    Shake Shack shares were down more than 25 percent last week, falling for four straight days after the burger joint reported quarterly earnings, despite beating on earnings and revenue, and raising year guidance for 2015. The stock gained about 4 percent on Monday.



    While there are no bullish analysts out of eight that cover the stock according to FactSet, not all believe that Shake Shack's valuation is too high.

    In a report from Thursday, Stifel's Paul Westra reiterated his belief that Shake Shack is a leader in modern-day, fast-food dining and hospitality, and that the stock is "fairly valued" given Stifel's perceived growth potential.



    http://www.cnbc.com/2015/08/17/you-could-lose-a-tremendous-amount-in-this-stock.html
     
    #49     Aug 17, 2015
  10. S2007S

    S2007S


    As I said just another burger place in a saturated market....

    Now at $33 a share....52 week low $30

    Anyone still believing this hyped up saturated burger market economy.....
     
    #50     Jan 29, 2016