Hedgeye CEO Keith McCullough is adding Shake Shack (SHAK) to the short side of Investing Ideas. Below is a brief note.
Looking to re-short a great short that's up this morning on no volume? Enter Howard Penney's Shake Shack (SHAK) short idea.
Here's what Consumables analyst Howard Penney wrote about the SHAK (a lot higher) in FEB:
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Takeaway: SHAK is on the Hedgeye Best Idea list a SHORT To be LONG SHAK today means you like aggressive unit growth. If you are short SHAK, you are short because of the aggressive unit growth and appreciate the complexity that comes with this strategy. In the end, complexity is the silent killer of growth, and those issues are apparent at SHAK. Outside of aggressive unit growth, there are zero reasons to be LONG SHAK. SHAK is aggressively (poorly) run, low margin, low return, high multiple company. |
Reiterated on green,
KM
