The Steak n Shake Company’s (SNS) share price is pressuring a short-term level of resistance just shy of the $12 mark after reporting strong second-quarter results on April 24.

Company Description

The Steak n Shake Company engages in the ownership, operation and franchising of full-service and casual dining restaurants in the U.S. At the end of 2008, it owned 415 company owned restaurants and 75 franchised restaurants in the U.S. Steak n Shake was founded in 1934 and has a market cap of $347 million.

Second-Quarter Results

For the quarter, Steak n Shake reported revenue of $189 million, down less than 1% from last year. Income came in at $2.3 million, up from a loss of $2.8 million last year. This produced earnings of 11 cents per share, blowing past the consensus of a loss of 10 cents.

Steak n Shake noted that its costs were down 5% from last year, and that its same-store sales at locations open at least one year were up 2.4%. Guest traffic as a whole was up 8%.

Estimates Swing Higher

After the solid quarter, analysts went ahead and raised their earnings projections. The current-year estimate jumped 6 cents to a loss of 12 cents while the next-year estimate jumped from 7 to 25 cents.

The Chart

Shares of SNS received a nice boost from the solid quarterly results after steadily increasing for most of the last 6 months. Some resistance has developed just below $12, which continues to be challenged. Take a look below.

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