Why a burger chain with only 68 restaurants is worth almost as much as Wendy's

26/05/2015
The newcomer burger chain Shake Shack is worth almost as much as Wendy's.
"Wendy's has 95 times as many units. It is 12 times Shake Shack's size in terms of revenue. Yet, in terms of market cap, they are relative equals," writes Jonathan Maze at Nation's Restaurant News.

Shake Shack's market capitalization is $3.4 billion, compared with the $4.18 billion of Wendy's.
A single Shake Shack location is worth nearly $50 million. That compares with about $10 million for a Chipotle location and $3 million for a McDonald's restaurant.
So why is Shake Shack's valuation so high?
Because investors believe it has huge growth potential.
"To be sure, investors are betting that Shake Shack will grow to become the size of a big chain someday — though the company itself says it plans to grow only to about 450 locations in the US, which will make it something of a destination fast-casual concept, rather than an everyday lunch place," Maze writes.
Shake Shack's high-quality, ethically sourced food and excellent customer service have drawn many comparisons between it and Chipotle, which has seen business explode in recent years.
While McDonald's and Wendy's are trying to emulate Shake Shack's strategy, they are a long way from being able to offer a similar experience.

Fonte:http://uk.businessinsider.com/why-shake-shack-is-worth-so-much-2015-5?nr_email_referer=1&utm_source=Sailthru&utm_medium=email&utm_term=Business%20Insider%20Select&utm_campaign=BI%20Select%20%28Tuesday%20Thursday%29%202015-05-26&utm_content=BISelect?r=US

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