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Shake Shack (STU:9SH) Cyclically Adjusted Revenue per Share : €23.42 (As of Mar. 2024)


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What is Shake Shack Cyclically Adjusted Revenue per Share?

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted Revenue per Share and the Cyclically Adjusted PS Ratio. The Cyclically Adjusted Revenue per Share is the average of the inflation adjusted Revenue per Share of a company over the past 10 years.

Shake Shack's adjusted revenue per share for the three months ended in Mar. 2024 was €6.478. Add all the adjusted revenue per share for the past 10 years together and divide the count will get our Cyclically Adjusted Revenue per Share, which is €23.42 for the trailing ten years ended in Mar. 2024.

During the past 12 months, Shake Shack's average Cyclically Adjusted Revenue Growth Rate was -10.10% per year. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the Cyclically Adjusted Revenue Growth Rate using Cyclically Adjusted Revenue per Share data.

As of today (2024-05-25), Shake Shack's current stock price is €88.64. Shake Shack's Cyclically Adjusted Revenue per Share for the quarter that ended in Mar. 2024 was €23.42. Shake Shack's Cyclically Adjusted PS Ratio of today is 3.78.

During the past 12 years, the highest Cyclically Adjusted PS Ratio of Shake Shack was 4.24. The lowest was 1.87. And the median was 2.53.


Shake Shack Cyclically Adjusted Revenue per Share Historical Data

The historical data trend for Shake Shack's Cyclically Adjusted Revenue per Share can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Shake Shack Cyclically Adjusted Revenue per Share Chart

Shake Shack Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted Revenue per Share
Get a 7-Day Free Trial Premium Member Only Premium Member Only - - - - 24.48

Shake Shack Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Cyclically Adjusted Revenue per Share Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 25.96 26.03 27.16 24.48 23.42

Competitive Comparison of Shake Shack's Cyclically Adjusted Revenue per Share

For the Restaurants subindustry, Shake Shack's Cyclically Adjusted PS Ratio, along with its competitors' market caps and Cyclically Adjusted PS Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Shake Shack's Cyclically Adjusted PS Ratio Distribution in the Restaurants Industry

For the Restaurants industry and Consumer Cyclical sector, Shake Shack's Cyclically Adjusted PS Ratio distribution charts can be found below:

* The bar in red indicates where Shake Shack's Cyclically Adjusted PS Ratio falls into.



Shake Shack Cyclically Adjusted Revenue per Share Calculation

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted Revenue per Share and the Cyclically Adjusted PS Ratio. The Cyclically Adjusted Revenue per Share is the average of the inflation adjusted Revenue per Share of a company over the past 10 years.

What is Cyclically Adjusted Revenue per Share? How do we calculate Cyclically Adjusted Revenue per Share?

Cyclically Adjusted Revenue per Share is the average of the inflation adjusted Revenue per Share of a company over the past 10 years. Let's use an example to explain.

If we want to calculate the Cyclically Adjusted Revenue per Share of Wal-Mart (WMT) for Dec. 31, 2010, we need to have the inflation data and the revenue per share from 2001 through 2010.

We adjusted the 2001 revenue per share data with the total inflation from 2001 through 2010 to the equivalent revenue in 2010. If the total inflation from 2001 to 2010 is 40%, and Wal-Mart's revenue is $1 a share in 2001, then the 2001's equivalent revenue in 2010 is $1.4 a share. If Wal-Mart's revenue is $1 again in 2002, and the total inflation from 2002 through 2010 is 35%, then the equivalent 2002 revenue in 2010 is $1.35. So on and so forth, you get the equivalent revenue per share of past 10 years. Then you add them together and divided the sum by the count to get Cyclically Adjusted Revenue per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.

For example, Shake Shack's adjusted Revenue per Share data for the three months ended in Mar. 2024 was:

Adj_RevenuePerShare= Revenue per Share /CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=6.478/131.7762*131.7762
=6.478

Current CPI (Mar. 2024) = 131.7762.

Shake Shack Quarterly Data

Revenue per Share CPI Adj_RevenuePerShare
201406 16.305 100.560 21.367
201409 19.725 100.428 25.882
201412 2.511 99.070 3.340
201503 2.923 99.621 3.866
201506 3.236 100.684 4.235
201509 3.210 100.392 4.214
201512 2.827 99.792 3.733
201603 2.337 100.470 3.065
201606 2.567 101.688 3.327
201609 2.706 101.861 3.501
201612 2.737 101.863 3.541
201703 2.765 102.862 3.542
201706 3.089 103.349 3.939
201709 2.998 104.136 3.794
201712 3.088 104.011 3.912
201803 2.889 105.290 3.616
201806 3.462 106.317 4.291
201809 3.431 106.507 4.245
201812 3.610 105.998 4.488
201903 3.862 107.251 4.745
201906 4.358 108.070 5.314
201909 4.352 108.329 5.294
201912 3.930 108.420 4.777
202003 3.762 108.902 4.552
202006 2.185 108.767 2.647
202009 2.894 109.815 3.473
202012 3.362 109.897 4.031
202103 3.048 111.754 3.594
202106 3.553 114.631 4.084
202109 4.211 115.734 4.795
202112 4.596 117.630 5.149
202203 4.716 121.301 5.123
202206 5.565 125.017 5.866
202209 5.859 125.227 6.165
202212 5.732 125.222 6.032
202303 6.014 127.348 6.223
202306 5.717 128.729 5.852
202309 5.885 129.860 5.972
202312 5.973 129.419 6.082
202403 6.478 131.776 6.478

Add all the adjusted revenue per share together and divide 10 will get our Cyclically Adjusted Revenue per Share.


Shake Shack  (STU:9SH) Cyclically Adjusted Revenue per Share Explanation

If a company grows much fast than inflation, Cyclically Adjusted Revenue per Share may underestimate the company's revenue. Cyclically Adjusted PS Ratio can seem to be too high even the actual PS Ratio is low.

For the Cyclically Adjusted PS Ratio, the revenue per share of the past 10 years are inflation-adjusted and averaged. The result is used for P/S calculation. Since it looks at the average over the last 10 years, the Cyclically Adjusted PS Ratio is also called CAPS Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio. The Cyclically Adjusted Revenue per Share is the average of the inflation adjusted revenue per share of a company over the past 10 years.

Shake Shack's Cyclically Adjusted PS Ratio of today is calculated as

Cyclically Adjusted PS Ratio=Share Price/Cyclically Adjusted Revenue per Share
=88.64/23.42
=3.78

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

During the past 12 years, the highest Cyclically Adjusted PS Ratio of Shake Shack was 4.24. The lowest was 1.87. And the median was 2.53.


Be Aware

Cyclically Adjusted PS Ratio works better for cyclical companies. It gives you a better idea on the company's real revenue value.


Shake Shack Cyclically Adjusted Revenue per Share Related Terms

Thank you for viewing the detailed overview of Shake Shack's Cyclically Adjusted Revenue per Share provided by GuruFocus.com. Please click on the following links to see related term pages.


Shake Shack (STU:9SH) Business Description

Industry
Traded in Other Exchanges
Address
225 Varick Street, Suite 301, New York, NY, USA, 10014
Shake Shack Inc is a roadside burger stands. It is serving a classic American menu of premium burgers, hot dogs, crispy chicken, frozen custard, crinkle-cut fries, shakes, beer, wine and more. The company's burgers are made with a whole-muscle blend of all-natural, hormone and antibiotic-free Angus beef, ground fresh daily, cooked to order and served on a non-genetically modified organism (GMO) potato bun. Its menu focuses on food and beverages, crafted from a range of classic American foods. The company serves draft Root Beer, seasonal freshly-squeezed lemonade, organic fresh brewed iced tea, cold brew coffee, organic apple juice, and Shack20 bottled water.

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