Shake Shack is back. The American fast casual food chain's stock has been rallying since its May 4 first quarter earnings beat. But at nearly $60 a share, CNBC's Jim Cramer said the stock isn't worth the money.
"Unlike Shake Shack's reasonably priced burgers, the stock is incredibly expensive again and I just can't get behind anything where the risk-reward is so clearly not in your favor," Cramer said on "Mad Money" Monday.
"You might want to ring the register here or at least take part of your position off the table," he said.
Across the board, the restaurant industry benefited from President Donald Trump's tax reform. Shake Shack's stock jumped from around $30 a share to about $40 a share at the end of 2017. But it was after this year's first earnings report that the stock really took off — jumping 18 percent in a single day.
Cramer warned investors that the surge might not be sustainable.
"The problem with Shake Shack, from the very beginning, ever since it came public in 2015, is that this stock has been incredibly expensive, right from the get-go," Cramer said.