Shake Shack initiated with an Equal Weight at Wells Fargo

Wells Fargo analyst Anthony Trainor initiated coverage of Shake Shack (SHAK) with an Equal Weight rating and $95 price target Despite the recent pullback, the shares offer a a balanced risk/reward as Shake Shack’s comps are decelerating, discounting is elevated, and the category backdrop is “still tough,” the analyst tells investors in a research note. The firm believes expectations are high, creating risk to Street estimates. Further, Shake Shack’s long-term unit debate “remains unsettled,” contends Wells.