Cheesecake Factory (NASDAQ:CAKE) Issues Quarterly Earnings Results

Cheesecake Factory (NASDAQ:CAKE) released its quarterly earnings data on Wednesday. The restaurant operator reported $1.00 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.98 by $0.02, FiscalAI reports. Cheesecake Factory had a return on equity of 46.35% and a net margin of 4.33%.The firm had revenue of $961.56 million during the quarter, compared to analysts’ expectations of $949.03 million.

Cheesecake Factory Price Performance

Cheesecake Factory stock traded up $1.51 during midday trading on Wednesday, reaching $64.07. 2,941,350 shares of the company were exchanged, compared to its average volume of 1,398,638. The firm’s 50-day simple moving average is $56.20 and its 200-day simple moving average is $54.99. Cheesecake Factory has a 1 year low of $42.69 and a 1 year high of $69.70. The company has a market capitalization of $3.19 billion, a price-to-earnings ratio of 19.42, a P/E/G ratio of 1.49 and a beta of 1.02. The company has a debt-to-equity ratio of 1.32, a quick ratio of 0.47 and a current ratio of 0.55.

Wall Street Analyst Weigh In

A number of analysts recently commented on the stock. Mizuho boosted their price objective on shares of Cheesecake Factory from $65.00 to $70.00 and gave the stock an “outperform” rating in a report on Thursday, February 12th. Robert W. Baird set a $57.00 price target on Cheesecake Factory in a research note on Wednesday, October 29th. Bank of America lowered their price target on Cheesecake Factory from $61.00 to $56.00 and set a “neutral” rating on the stock in a report on Wednesday, October 29th. Morgan Stanley lifted their price objective on Cheesecake Factory from $49.00 to $50.00 and gave the stock an “underweight” rating in a report on Tuesday, January 20th. Finally, Wells Fargo & Company decreased their target price on Cheesecake Factory from $60.00 to $55.00 and set an “equal weight” rating on the stock in a research report on Wednesday, October 29th. Eight equities research analysts have rated the stock with a Buy rating, seven have given a Hold rating and four have assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, Cheesecake Factory presently has a consensus rating of “Hold” and a consensus price target of $60.12.

Hedge Funds Weigh In On Cheesecake Factory

Several institutional investors and hedge funds have recently modified their holdings of CAKE. Global Retirement Partners LLC boosted its position in Cheesecake Factory by 661.7% during the fourth quarter. Global Retirement Partners LLC now owns 716 shares of the restaurant operator’s stock worth $36,000 after acquiring an additional 622 shares during the last quarter. Arax Advisory Partners purchased a new position in shares of Cheesecake Factory during the 4th quarter worth $50,000. Quarry LP boosted its holdings in shares of Cheesecake Factory by 3,343.8% during the third quarter. Quarry LP now owns 1,102 shares of the restaurant operator’s stock worth $60,000 after purchasing an additional 1,070 shares during the last quarter. Northwestern Mutual Wealth Management Co. grew its position in shares of Cheesecake Factory by 32.0% in the second quarter. Northwestern Mutual Wealth Management Co. now owns 1,333 shares of the restaurant operator’s stock valued at $83,000 after purchasing an additional 323 shares during the period. Finally, Brown Brothers Harriman & Co. grew its position in shares of Cheesecake Factory by 211.5% in the third quarter. Brown Brothers Harriman & Co. now owns 2,000 shares of the restaurant operator’s stock valued at $109,000 after purchasing an additional 1,358 shares during the period. Hedge funds and other institutional investors own 94.48% of the company’s stock.

About Cheesecake Factory

The Cheesecake Factory Incorporated (NASDAQ:CAKE) is an American restaurant company and distributor renowned for its full-service casual-dining concept and specialty cheesecakes. Headquartered in Calabasas Hills, California, the company operates more than 200 restaurants under The Cheesecake Factory® brand across the United States, Puerto Rico and select international markets. In addition to sit-down dining, Cheesecake Factory franchised locations offer catering and take-out services, while a separate manufacturing arm supplies branded cheesecakes and desserts to supermarkets, hotels and other foodservice operators.

The origins of the brand trace back to a small cheesecake bakery founded in Detroit in the 1940s.