Shake Shack Ups Guidance

But Wendy’s has 95 times as many stores, and 12 times Shake Shack’s annual sales, according to Nation’s Restaurant News. Goldman Sachs lowered Shake Shack from a “neutral” rating to a “sell” rating and set a $37.00 price target for the company.in a research note on Thursday, July 9th.

The company, which has about 40 U.S. locations, has said it sees potential to grow that footprint to 450 stores over the long term.

Abdullah AlBargan/FlickrShake Shack reported second quarter earnings on Monday that crushed expectations.

Shake Shack has been expanding outside of New York, in cities including Chicago, Baltimore and Boston, as it attempts to increase sales.

Shake Shack (NYSE:SHAK) has been given an average recommendation of “Hold” by the nine brokerages that are covering the company, Analyst Ratings Network.com reports.

Such companies enjoy a so-called “health halo” that diners are willing to pay more for, even though their meals can come with eye-popping calorie counts and significant amounts of saturated fat and sodium.

Analysts expect Shake Shack to post earnings of $0.03 per share and revenue of $42.80 million for the quarter. The same period from the previous year had $0.03 in EPS on $27.74 million in revenue.

The company, which has just 71 restaurants around the world, raised other key forecasts.

3 The NY-based premium-burger chain’s adjusted earnings tripled to 9 cents a share vs. consensus for a flat 3 cents. As for financials, Shake Shack expects full year same-store sales growth in the mid- to high-single digit percent rage (compared to low- to mid-single digits previously expected) and total revenue of $171 million to $174 million (up from $161 million to $165 million).

Shares in the company, which went public on January 30 with an IPO offering price of $21, were trading at $76.30 in extended trading on Monday.