Shake Shack stock dips on preliminary Q4 results

Yahoo Finance Live anchors discuss the decline in stock for Shake Shack following preliminary fourth-quarter results.

Video Transcript

[AUDIO LOGO]

JULIE HYMAN: All right, Shake Shack, [CHUCKLES] those shares. We're watching them today after the company provided preliminary results for its fourth-quarter and fiscal year ending December 28. Announcing revenue of $238 and 1/2 million system wide sales of $364 million for the fourth quarter. The shares are down about 1%. The company is still planning on opening, what is it, 15 to 20 Shacks this year, I believe. So still expanding.

BRIAN SOZZI: Even a date night out for a Shake Shack is expensive, Julie. You're looking--

JULIE HYMAN: You're not wrong.

BRIAN SOZZI: --$40, $50 bucks.

JULIE HYMAN: Yeah.

BRIAN SOZZI: You order two hot dogs, two hamburgers, some cheese fries. I mean, maybe a diet soda. I mean, wow, that's pretty expensive.

BRAD SMITH: Yeah.

BRIAN SOZZI: Pretty expensive.

BRAD SMITH: They opened 30 new-- or 36 new domestic company-operated Shacks in fiscal year 2022. And then 33 new licensed Shacks during the year as well. 13 of those in the fourth quarter.

And so it also comes with system wide sales that were actually-- same-Shack sales that were up by about 5%. But yeah, you know, I used to go to Shake Shack a lot.

JULIE HYMAN: I was just thinking like don't you feel like the novelty is sort of off, right?

BRIAN SOZZI: No.

JULIE HYMAN: Like, when a Shake Shack opened--

BRIAN SOZZI: No.

JULIE HYMAN: --it was like, wow, this is cool.

BRAD SMITH: Yeah, like finally.

JULIE HYMAN: And then it--

BRAD SMITH: I get more excited for a Chick-fil-A opening now.

JULIE HYMAN: Oh, wow.

BRAD SMITH: Yeah.

JULIE HYMAN: That's-- I did not expect that pivot.

BRAD SMITH: Yeah.

BRIAN SOZZI: Awful.

JULIE HYMAN: Now, Sozz is not--

BRIAN SOZZI: No, no way. Shake Shack is--

BRAD SMITH: No?

BRIAN SOZZI: --awesome. All right.