Shake Shack Valuation
Is SHAK * undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
0/6Valuation Score 0/6
Below Fair Value
Significantly Below Fair Value
Price-To-Sales vs Peers
Price-To-Sales vs Industry
Price-To-Sales vs Fair Ratio
Analyst Forecast
Share Price vs Fair Value
What is the Fair Price of SHAK * when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: SHAK * (MX$2189) is trading above our estimate of fair value (MX$2088.41)
Significantly Below Fair Value: SHAK * is trading above our estimate of fair value.
Key Valuation Metric
Which metric is best to use when looking at relative valuation for SHAK *?
Other financial metrics that can be useful for relative valuation.
| What is SHAK *'s n/a Ratio? | |
|---|---|
| n/a | 0x |
| n/a | n/a |
| Market Cap | US$4.69b |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 4.2x |
| Enterprise Value/EBITDA | 41.1x |
| PEG Ratio | 5.8x |
Price to Sales Ratio vs Peers
How does SHAK *'s PS Ratio compare to its peers?
| Company | Forward PS | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 1.2x | ||
ALSEA * Alsea. de | 0.5x | 9.4% | Mex$40.6b |
CMR B CMR. de | 0.2x | n/a | Mex$876.2m |
RLH A RLH Properties. de | 2.5x | n/a | Mex$18.4b |
POSADAS A Grupo Posadas. de | 1.5x | n/a | Mex$13.5b |
SHAK * Shake Shack | 3.8x | 12.3% | Mex$4.7b |
Price-To-Sales vs Peers: SHAK * is expensive based on its Price-To-Sales Ratio (3.8x) compared to the peer average (1.2x).
Price to Earnings Ratio vs Industry
How does SHAK *'s PE Ratio compare vs other companies in the South American Hospitality Industry?
Price-To-Sales vs Industry: SHAK * is expensive based on its Price-To-Sales Ratio (3.8x) compared to the South American Hospitality industry average (0.9x).
Price to Sales Ratio vs Fair Ratio
What is SHAK *'s PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
| Fair Ratio | |
|---|---|
| Current PS Ratio | 3.8x |
| Fair PS Ratio | n/a |
Price-To-Sales vs Fair Ratio: Insufficient data to calculate SHAK *'s Price-To-Sales Fair Ratio for valuation analysis.
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
| Date | Share Price | Average 1Y Price Target | Dispersion | High | Low | 1Y Actual price | Analysts |
|---|---|---|---|---|---|---|---|
| Current | Mex$2,189.00 | Mex$2,304.22 +5.3% | 8.3% | Mex$2,596.56 | Mex$1,897.48 | n/a | 22 |
| Oct ’25 | n/a | Mex$2,177.68 0% | 9.2% | Mex$2,513.38 | Mex$1,836.70 | n/a | 22 |
| Sep ’25 | n/a | Mex$2,108.56 0% | 9.1% | Mex$2,430.66 | Mex$1,776.25 | n/a | 22 |
| Aug ’25 | Mex$1,651.90 | Mex$2,079.44 +25.9% | 10.1% | Mex$2,440.37 | Mex$1,689.49 | n/a | 22 |
| Jul ’25 | n/a | Mex$2,087.52 0% | 7.0% | Mex$2,295.66 | Mex$1,744.70 | n/a | 21 |
| Jun ’25 | Mex$1,590.00 | Mex$1,910.70 +20.2% | 7.3% | Mex$2,101.51 | Mex$1,597.15 | n/a | 20 |
| May ’25 | Mex$1,780.00 | Mex$1,811.99 +1.8% | 8.9% | Mex$2,127.23 | Mex$1,531.60 | n/a | 21 |
| Apr ’25 | Mex$1,588.10 | Mex$1,747.37 +10.0% | 10.2% | Mex$2,095.16 | Mex$1,474.99 | n/a | 20 |
| Mar ’25 | Mex$1,779.00 | Mex$1,689.15 -5.1% | 11.3% | Mex$1,962.14 | Mex$1,109.04 | n/a | 20 |
| Feb ’25 | n/a | Mex$1,280.68 0% | 11.9% | Mex$1,558.69 | Mex$1,039.13 | n/a | 19 |
| Jan ’25 | n/a | Mex$1,183.30 0% | 12.5% | Mex$1,447.75 | Mex$953.81 | n/a | 19 |
| Dec ’24 | n/a | Mex$1,142.13 0% | 13.4% | Mex$1,456.22 | Mex$959.39 | n/a | 18 |
| Nov ’24 | n/a | Mex$1,296.65 0% | 15.0% | Mex$1,726.00 | Mex$1,017.43 | n/a | 19 |
| Oct ’24 | n/a | Mex$1,327.45 0% | 9.2% | Mex$1,621.66 | Mex$1,160.77 | n/a | 17 |
| Sep ’24 | n/a | Mex$1,323.62 0% | 9.3% | Mex$1,626.44 | Mex$1,164.19 | n/a | 16 |
| Aug ’24 | n/a | Mex$1,210.44 0% | 11.9% | Mex$1,501.33 | Mex$1,000.88 | Mex$1,651.90 | 16 |
| Jul ’24 | n/a | Mex$1,191.42 0% | 12.3% | Mex$1,454.52 | Mex$1,009.61 | n/a | 16 |
| Jun ’24 | n/a | Mex$1,191.29 0% | 9.7% | Mex$1,439.38 | Mex$1,035.65 | Mex$1,590.00 | 15 |
| May ’24 | n/a | Mex$1,040.76 0% | 11.4% | Mex$1,258.80 | Mex$863.18 | Mex$1,780.00 | 16 |
| Apr ’24 | n/a | Mex$1,048.90 0% | 11.3% | Mex$1,261.57 | Mex$847.05 | Mex$1,588.10 | 15 |
| Mar ’24 | n/a | Mex$1,062.51 0% | 11.3% | Mex$1,292.83 | Mex$868.04 | Mex$1,779.00 | 17 |
| Feb ’24 | n/a | Mex$1,009.12 0% | 10.0% | Mex$1,182.46 | Mex$882.15 | n/a | 17 |
| Jan ’24 | n/a | Mex$1,055.36 0% | 12.0% | Mex$1,355.49 | Mex$884.02 | n/a | 18 |
| Dec ’23 | n/a | Mex$1,049.75 0% | 11.5% | Mex$1,334.84 | Mex$870.55 | n/a | 19 |
| Nov ’23 | Mex$1,056.00 | Mex$1,100.01 +4.2% | 13.3% | Mex$1,376.06 | Mex$877.49 | n/a | 19 |
| Oct ’23 | n/a | Mex$1,120.78 0% | 12.9% | Mex$1,382.26 | Mex$881.44 | n/a | 19 |
Analyst Forecast: Target price is less than 20% higher than the current share price.