After reviewing social media postings related to the opening of a new Shake Shack (SHAK) restaurant in Washington, DC, Goldman Sachs says that the data confirms its negative thesis about the company. Specifically, the firm contends that the company is being hurt by "declining novelty and excitement," while it is facing increased risk of cannibalization.

DC FINDINGS: Yelp (YELP) reviews of the high-end burger company's newest restaurant in Washington, its fourth in the city, "are 50% lower than the previous two opens and only 10% of what the flagship earned," reported Goldman analyst Karen Holthouse. Moreover, the company's "skew towards tourists" is a particular risk, as nearly 50% of the reviews were by consumers who do not live in the Washington area, the analyst wrote. Additionally, Internet search data and Twitter (TWTR) mentions indicate that the latest opening is generating less "buzz" than previous openings and that Shake Shak is getting only a very small boost from the opening, Holthouse reported.

TARGET, RATING: Holthouse lowered her price target on the shares to $30 from $34 and kept a Sell rating on the stock.

PRICE ACTION: Shake Shack share dipped in early trading, falling to as low as $32.30, but have recovered to be flat at $33.13 in late morning trade.