David Gordon Sells 31,950 Shares of Cheesecake Factory (NASDAQ:CAKE) Stock

The Cheesecake Factory Incorporated (NASDAQ:CAKE) President David Gordon sold 31,950 shares of Cheesecake Factory stock in a transaction on Monday, August 10th. The stock was sold at an average price of $110.03, for a total value of $3,515,458.50. Following the sale, the president directly owned 26,875 shares of the company’s stock, valued at approximately $2,957,056.25. This trade represents a 54.31% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link.

Cheesecake Factory Trading Down 4.6%

NASDAQ:CAKE opened at $111.88 on Friday. The Cheesecake Factory Incorporated has a 1-year low of $43.07 and a 1-year high of $118.46. The business’s 50-day moving average price is $85.67 and its two-hundred day moving average price is $69.36. The company has a current ratio of 0.59, a quick ratio of 0.52 and a debt-to-equity ratio of 1.08. The firm has a market capitalization of $5.57 billion, a price-to-earnings ratio of 30.32, a PEG ratio of 2.10 and a beta of 1.00.

Cheesecake Factory (NASDAQ:CAKE) last posted its earnings results on Tuesday, July 28th. The restaurant operator reported $1.44 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.18 by $0.26. The company had revenue of $1.03 billion during the quarter, compared to analyst estimates of $999.54 million. Cheesecake Factory had a return on equity of 43.97% and a net margin of 4.61%.The company’s revenue for the quarter was up 7.7% compared to the same quarter last year. During the same period in the previous year, the company earned $1.16 EPS. On average, equities analysts expect that The Cheesecake Factory Incorporated will post 4.47 earnings per share for the current year.

Cheesecake Factory Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, August 25th. Shareholders of record on Tuesday, August 11th will be paid a $0.30 dividend. This represents a $1.20 annualized dividend and a yield of 1.1%. The ex-dividend date of this dividend is Tuesday, August 11th. Cheesecake Factory’s dividend payout ratio is presently 32.52%.

Key Headlines Impacting Cheesecake Factory

Here are the key news stories impacting Cheesecake Factory this week:

• Positive Sentiment: Higher earnings expectations: Zacks Research raised its EPS forecasts across several periods, including FY2026 to $4.36 from $3.87, FY2027 to $4.64 from $4.24 and FY2028 to $5.29 from $4.82. Zacks maintained a “Strong Buy” rating, suggesting analysts see continued operating momentum. Zacks Research earnings estimates
• Positive Sentiment: Strong second-quarter performance remains supportive: CAKE recently reported $1.03 billion in revenue and $1.44 in EPS, exceeding estimates of $999.54 million and $1.18, respectively. Revenue increased 7.7% year over year, while comparable sales, traffic and restaurant-level margins also improved. The company declared a $0.30 quarterly dividend and continued share repurchases. Strong Cheesecake Factory second-quarter results
• Neutral Sentiment: CAKE was named to PEOPLE’s 2026 Companies That Care list for the sixth consecutive year. The recognition may benefit employee retention and brand reputation, but it is unlikely to have a material near-term earnings impact. Companies That Care recognition
• Negative Sentiment: Insider selling is a prominent concern: President David Gordon sold 31,950 shares for about $3.5 million, reducing his direct holdings by 54.31%. Director Edie Ames also sold 3,000 shares for approximately $320,850. Reports indicate CAKE insiders have made numerous sales and no open-market purchases in the past six months, potentially signaling profit-taking after the stock’s sharp advance. Cheesecake Factory insider transactions
• Negative Sentiment: Valuation and analyst caution may limit upside: The stock trades at roughly 30 times earnings, while the reported consensus rating is “Hold” with an average price target of $81. That target is substantially below recent trading levels, increasing the risk of profit-taking despite improving fundamentals.

Analyst Ratings Changes

CAKE has been the topic of a number of recent analyst reports. Morgan Stanley raised shares of Cheesecake Factory from an “underweight” rating to an “equal weight” rating and lifted their price target for the stock from $50.00 to $80.00 in a research report on Wednesday, July 29th. Zacks Research upgraded shares of Cheesecake Factory from a “hold” rating to a “strong-buy” rating in a research report on Thursday, July 30th. Northcoast Research downgraded Cheesecake Factory from a “buy” rating to a “neutral” rating in a research note on Monday, June 15th. Deutsche Bank Aktiengesellschaft reiterated a “hold” rating and set a $68.00 target price on shares of Cheesecake Factory in a report on Thursday, April 30th. Finally, Mizuho boosted their target price on Cheesecake Factory from $85.00 to $93.00 and gave the company a “neutral” rating in a research note on Wednesday, July 29th. One equities research analyst has rated the stock with a Strong Buy rating, five have given a Buy rating, ten have given a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of “Hold” and a consensus price target of $81.00.

Hedge Funds Weigh In On Cheesecake Factory

A number of institutional investors and hedge funds have recently added to or reduced their stakes in CAKE. Salomon & Ludwin LLC increased its holdings in Cheesecake Factory by 226.5% during the 4th quarter. Salomon & Ludwin LLC now owns 604 shares of the restaurant operator’s stock worth $33,000 after purchasing an additional 419 shares in the last quarter. Allworth Financial LP bought a new stake in shares of Cheesecake Factory in the second quarter valued at about $36,000. Global Retirement Partners LLC boosted its position in shares of 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 buying an additional 622 shares during the period. NFSG Corp boosted its position in shares of Cheesecake Factory by 115.8% during the first quarter. NFSG Corp now owns 682 shares of the restaurant operator’s stock worth $37,000 after buying an additional 366 shares during the period. Finally, Root Financial Partners LLC grew its holdings in shares of Cheesecake Factory by 973.2% during the fourth quarter. Root Financial Partners LLC now owns 880 shares of the restaurant operator’s stock worth $44,000 after buying an additional 798 shares in the last quarter. 94.48% of the stock is owned by institutional investors and hedge funds.

Cheesecake Factory Company Profile

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.