Is Shake Shack's IPO a good thing?

[jmowreader]

6. Pretty much true

I found this:

http://www.businessweek.com/articles/2014-12-29/8-revealing-facts-from-shake-shacks-ipo-filing

This worries me: "Given the significant awareness of our brand and the excitement we have been able to generate for our market launches, our Shacks have generally opened with higher volumes and operating profits relative to their second year, which have often shown a decline in sales and operating profit. In year three, our Shacks generally mature and continue to grow from the second year base and then retain these higher volumes over time. It is important to note that, while our goal is to grow same Shack sales over time, this is not our greatest growth opportunity. We expect our Shacks to deliver low same Shack sales growth for the foreseeable future as the number of new Shack openings relative to our comparable Shack base remains our primary driver of growth."

If I were a cynical man, I might read that as "people come in a few times when we first open just to see what all the hype is about, then go back to Five Guys or Fatburger after they decide our food isn't worth our lines." Kinda like the line in Spinal Tap when Marty asks Ian why their first tour put them in arenas and their current one has them playing high school gymnasiums: "Our appeal has become more selective."