Overview

• Jim Cramer said recent research shows consumers are in terrible shape and suggested Shake Shack and Papa John’s may feel too expensive for some customers.
• He pointed to beef inflation as pressuring diners in a softer economy, even as he has been a longtime fan of the stock.
• Shake Shack’s latest quarter delivered a clean top‑ and bottom‑line beat and its strongest restaurant‑level margins in six years.
• Same‑store sales rose 1.8% versus roughly 2.2% expected, a shortfall Cramer framed as the kind of miss that can trigger pullbacks when expectations run hot.
• Following the report, the stock fell about 15% on Thursday and another 7% on Friday before a rebound, and Cramer later said he was impressed after having the company on and thought it might be a good buy.