Shake Shack Shares Jump on Starboard Stake -- WSJ
Dow Jones2026/08/05 17:24By Heather Haddon
Shake Shack shares shot up nearly 10% after the head of Starboard Value said the activist investment firm has built a stake in the burger brand.
Starboard CEO Jeff Smith said in a Wednesday interview on Bloomberg TV that the firm has a position in the stock worth several hundred million dollars.
Representatives for Shake Shack didn't immediately comment. The New York-based company on Wednesday reported higher second-quarter sales, and its adjusted profits outpaced analysts' expectations, though costs grew.
Shake Shack CEO Rob Lynch has said the chain needs to run more efficiently, and is working to contain rising costs through making labor and the company's supply chain more efficient.
The company's stock has slid about 36% over the past 12 months, a deeper decrease than the S&P subindex tracking restaurant stocks, in what has been a tough stretch for many big chains.
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(END) Dow Jones Newswires
August 05, 2026 13:24 ET (17:24 GMT)
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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