Shake Shack's (SHAK) updated 2025 earnings before interest, taxes, depreciation, and amortization guidance appears to be "conservative" as it does not account for the benefits from new advertising investments, Oppenheimer said in a Friday note.
Oppenheimer said that Shake Shack's stock drop on Thursday was an "over-reaction" and added it would recommend buying the pullback on the stock. On Thursday, Shake Shack reported Q2 earnings and revenue that beat analyst estimates.
Oppenheimer raised its estimates through 2026 on Shake Shack and said its estimates are above Wall Street expectations.
The firm reiterated its outperform rating with a $160 price target.
Price: 112.63, Change: -7.72, Percent Change: -6.41
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