Mane Global just nuked its entire $80M Shake Shack position in Q3, offloading 570,507 shares. This was their 8th-largest holding at 3.4% of AUM – so yeah, kind of a big deal.
Here’s the thing: SHAK’s down 33% YTD and sliding hard since August, so Mane might’ve just taken profits before things got worse. Or maybe they’re reading the room differently.
But here’s where it gets spicy – the company’s fundamentals aren’t terrible. Same-store sales up 19 straight quarters, store count grew 14% to 630 locations last quarter, and management thinks they can 4x company-owned restaurants long-term. Growing 15-17% annually, trading at 18x operating cash flow (around 22-25x FCF excluding expansion spend).
So is SHAK in trouble, or just overcooked? Mane literally re-opened a position in 2023 after exiting before. Worth watching if they buy back in after this dip.
Top holdings now: MSFT ($144M), Broadcom ($134M), AppLovin ($127M).
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
Major Fund Dumps Entire Shake Shack Stake – What's the Signal?
Mane Global just nuked its entire $80M Shake Shack position in Q3, offloading 570,507 shares. This was their 8th-largest holding at 3.4% of AUM – so yeah, kind of a big deal.
Here’s the thing: SHAK’s down 33% YTD and sliding hard since August, so Mane might’ve just taken profits before things got worse. Or maybe they’re reading the room differently.
But here’s where it gets spicy – the company’s fundamentals aren’t terrible. Same-store sales up 19 straight quarters, store count grew 14% to 630 locations last quarter, and management thinks they can 4x company-owned restaurants long-term. Growing 15-17% annually, trading at 18x operating cash flow (around 22-25x FCF excluding expansion spend).
So is SHAK in trouble, or just overcooked? Mane literally re-opened a position in 2023 after exiting before. Worth watching if they buy back in after this dip.
Top holdings now: MSFT ($144M), Broadcom ($134M), AppLovin ($127M).