Business

Shake Shack Shares Jump on Starboard Stake

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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.

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