Shake Shack price target raised to $108 from $99 at Loop Capital

Loop Capital raised the firm’s price target on Shake Shack to $108 from $99 but keeps a Hold rating on the shares after its Q1 earnings beat. The company’s 1.6% comparable sales growth included 2.1% lower traffic due entirely to unfavorable weather but 3.7% positive pricing and mix, the analyst tells investors in a research note. Loop adds however that while Shake Shack remains one of the most attractive store-level return and unit growth stories within the publicly traded restaurant sector, the company’s margins will likely remained constrained by inflation and higher spending at least in the near-term.