SHAK (Shake Shack) Inventory Turnover: 27.95 (As of Mar. 2026)

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SHAK Shake Shack Inc SHAK
76 GF Score
Price $60.52
GF Value $122.02
Valuation Significantly Undervalued
! 2 Warning Signs
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What is Shake Shack Inventory Turnover?

Shake Shack SHAK +5.99% 76 Inventory Turnover is 27.95 as of Mar. 2026. GuruFocus rates SHAK with a GF Score™ of 76/100 and a GF Value™ of $122.02 (Significantly Undervalued). The stock has 2 warning signs investors should review.

Inventory Turnover measures how fast the company turns over its inventory within a year. It is calculated as Cost of Goods Sold divided by Total Inventories. Shake Shack's Cost of Goods Sold for the three months ended in Mar. 2026 was $193 Mil. Shake Shack's Average Total Inventories for the quarter that ended in Mar. 2026 was $7 Mil. Shake Shack's Inventory Turnover for the quarter that ended in Mar. 2026 was 27.95.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Shake Shack's Days Inventory for the three months ended in Mar. 2026 was 3.26.

Inventory-to-Revenue determines the ability of a company to manage their inventory levels. It measures the percentage of Inventories the company currently has on hand to support the current amount of Revenue. Shake Shack's Inventory-to-Revenue for the quarter that ended in Mar. 2026 was 0.02.


Shake Shack  (NYSE:SHAK) Inventory Turnover Explanation

Inventory Turnover measures how fast the company turns over its inventory within a year. A higher Inventory Turnover means the company has light inventory. Therefore the company spends less money on storage, write downs, and obsolete inventory. If the inventory is too light, it may affect sales because the company may not have enough to meet demand.

1. Days Inventory indicates the number of days of goods in sales that a company has in the inventory.

Shake Shack's Days Inventory for the three months ended in Mar. 2026 is calculated as:

Days Inventory =Average Total Inventories (Q: Mar. 2026 )/Cost of Goods Sold (Q: Mar. 2026 )*Days in Period
=6.896/192.74*365 / 4
=3.26

2. Inventory-to-Revenue determines the ability of a company to manage their inventory levels. It measures the percentage of Inventories the company currently has on hand to support the current amount of Revenue.

Shake Shack's Inventory to Revenue for the quarter that ended in Mar. 2026 is calculated as

Inventory-to-Revenue=Average Total Inventories (Q: Mar. 2026 ) / Revenue (Q: Mar. 2026 )
=6.896 / 366.737
=0.02

* 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.


Be Aware

Usually retailers pile up their inventories at holiday seasons to meet the stronger demand. Therefore, the inventory of a particular quarter of a year should not be used to calculate Inventory Turnover. An average inventory is a better indication.


Shake Shack Inventory Turnover Related Terms


Shake Shack Inventory Turnover Historical Data

* Premium members only.

The historical data trend for Shake Shack's Inventory Turnover 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.

Shake Shack Inventory Turnover Chart

Shake Shack Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Inventory Turnover
Get a 7-Day Free Trial Premium Member Only Premium Member Only 128.64 129.19 127.10 118.88 114.79

Shake Shack Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Inventory Turnover 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 30.50 32.57 31.04 30.91 27.95
SHAK
76GF Score
Shake Shack Inc SHAK
Inventory Turnover is just one metric. See GF Score™, valuation, warning signs, and more.
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Shake Shack Inventory Turnover Calculation

Shake Shack's Inventory Turnover for the fiscal year that ended in Dec. 2025 is calculated as

Inventory Turnover (A: Dec. 2025 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (A: Dec. 2025 ) / ((Total Inventories (A: Dec. 2024 ) + Total Inventories (A: Dec. 2025 )) / count )
=757.407 / ((6.014 + 7.182) / 2 )
=757.407 / 6.598
=114.79

Shake Shack's Inventory Turnover for the quarter that ended in Mar. 2026 is calculated as

Inventory Turnover (Q: Mar. 2026 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (Q: Mar. 2026 ) / ((Total Inventories (Q: Dec. 2025 ) + Total Inventories (Q: Mar. 2026 )) / count )
=192.74 / ((7.182 + 6.61) / 2 )
=192.74 / 6.896
=27.95

* 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.

Frequently Asked Questions Learn more about Inventory Turnover →
What does a Inventory Turnover of 27.95 mean?
Shake Shack (SHAK) has a Inventory Turnover of 27.95 as of Mar. 2026. Inventory turnover equals current-period cost of goods sold divided by average two-period total inventories. View historical data on Shake Shack and its competitors.
Is Shake Shack's Inventory Turnover too high?
Shake Shack's current Inventory Turnover is 27.95. Overall, Shake Shack has a GF Score™ of 76/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Shake Shack's Inventory Turnover compare to ARCO and BJRI?
Shake Shack's Inventory Turnover of 27.95 can be compared against companies in the Restaurants industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Inventory Turnover for a Restaurants company?
A good Inventory Turnover depends on the Restaurants industry context. However, Inventory Turnover should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Inventory Turnover mean?
A high Inventory Turnover can signal that a stock is expensive relative to its fundamentals. Inventory turnover equals current-period cost of goods sold divided by average two-period total inventories. View historical data on Shake Shack and its competitors. Shake Shack's current Inventory Turnover is 27.95. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shake Shack stock overvalued right now?
Based on GuruFocus' analysis, Shake Shack (SHAK) is currently considered Significantly Undervalued. The stock's GF Value™ is $122.02, compared to a current price of $60.52 — trading 50.4% below its estimated fair value. The current Inventory Turnover is 27.95. Shake Shack's overall GF Score™ is 76/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Inventory Turnover calculated?
Inventory Turnover is calculated from a company's financial statements. For Shake Shack (SHAK), the current Inventory Turnover is 27.95 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Shake Shack (SHAK) Overvalued in 2026?

Based on GuruFocus' analysis, Shake Shack stock appears to be undervalued. The current stock price of $60.52 is trading 50.4% below its estimated GF Value™ of $122.02. GuruFocus considers Shake Shack to be Significantly Undervalued.

Key valuation signals for SHAK:

  • Inventory Turnover: 27.95
  • GF Value™: $122.02 vs. price of $60.52 (50.4% below fair value)
  • GF Score™: 76/100 with 2 warning signs

No single metric tells the full story. See the SHAK stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Shake Shack Business Description

Address 225 Varick Street, Suite 301, New York, NY, USA, 10014
Shake Shack Inc is a roadside burger stand. It serves 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. Geographically, the company generates the majority of its revenue from the United States.
76GF Score

Get the complete analysis for SHAK

Inventory Turnover is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$60.52
Price
$122.02
GF Value