Shake Shack Reports Q3 EPS Beat, While Revenue Miss Expectations
<p><a href='https://financialmodelingprep.com/financial-summary/SHAK'>Shake Shack (NYSE: SHAK)</a> reported its Q2 results, with EPS of $0.00 coming in better than the Street estimate of ($0.02). Revenue was $230.8 million, missing the Street estimate of $238.47 million. </p>
<p>Management shared that sales were tracking in line with its plan throughout April and May, with June coming in below expectations. While some of this shortfall likely has to do with broad consumer behavior changes that the entire industry is facing right now, the analysts said they believe there is a component of this that is idiosyncratic to the company and it is as simple as the Urban recovery either "stalling out" some, or at the very least, not continuing its recovery as fast as was previously expected. </p>
<p>As it was explained in the letter and on the call, these same dynamics carried over into July, which when combined with some development delays, resulted in a Q3 revenue guidance range that was around 9% below pre-print consensus, at the midpoint. </p>
<p>The analysts lowered their price target to $53 from $68, while reiterating their hold rating. </p>

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