Shake Shack (SHAK) Stock Slumping in After-Hours on Quarterly Loss
NEW YORK (TheStreet) -- Shares of Shake Shack (SHAK) - Get Report are slumping, down 4.65% to $43.65 in after-hours trading Wednesday, following the release of the burger joint's first-ever quarterly financial results since its initial public offering in January.
For the fourth quarter, the company posted a loss of 5 cents per share, worse than the loss of 3 cents analysts had expected. But, revenue of $35 million for the period topped Wall Street estimates of $33 million.
Shake Shack said it saw a 7.2% rise in same store sales year-over-year, better than the 4% rise analysts expected.
Looking ahead, the company is targeting at least 10 new domestic Shake Shack locations annually in the near-term. And in the long-term, it sees potential for at least 450 company-operated restaurants.
Shares of the casual dining chain has more than doubled since its IPO.
New York City-based Shake Shack is a roadside burger stand serving an American menu of burgers, hot dogs, crinkle-cut fries, shakes, frozen custard, beer and wine. The company operates about 63 casual dining restaurants around the world.