Cheesecake Factory (NASDAQ:CAKE) Price Target Raised to $62.00 at Piper Sandler

Key Points

• Piper Sandler raised its price target for Cheesecake Factory from $54.00 to $62.00, maintaining a "neutral" rating, suggesting a slight downside potential from the last closing price.
• The company reported a quarterly earnings per share of $1.16, surpassing expectations of $1.06, along with a revenue increase of 5.7% year-over-year, totaling $955.83 million.
• Recent insider trading saw significant sales, with Director Alexander L. Cappello selling 12,388 shares at an average price of $65.88, representing a notable decrease in ownership of the stock.

Cheesecake Factory (NASDAQ:CAKE - Get Free Report) had its target price boosted by research analysts at Piper Sandler from $54.00 to $62.00 in a research note issued to investors on Monday, MarketBeat Ratings reports. The brokerage currently has a "neutral" rating on the restaurant operator's stock. Piper Sandler's price objective points to a potential upside of 1.04% from the stock's previous close.

A number of other equities analysts also recently weighed in on CAKE. Argus set a $60.00 target price on shares of Cheesecake Factory in a research note on Wednesday, May 14th. Stephens restated an "overweight" rating and issued a $60.00 price objective on shares of Cheesecake Factory in a report on Thursday, May 1st. Citigroup lowered their target price on shares of Cheesecake Factory from $67.00 to $62.00 and set a "buy" rating for the company in a report on Tuesday, April 15th. Barclays increased their price target on Cheesecake Factory from $57.00 to $62.00 and gave the company an "underweight" rating in a research note on Wednesday, July 30th. Finally, Wells Fargo & Company lifted their price objective on Cheesecake Factory from $60.00 to $65.00 and gave the stock an "equal weight" rating in a research note on Wednesday, July 30th. Four analysts have rated the stock with a sell rating, six have given a hold rating and seven have assigned a buy rating to the company. According to MarketBeat, the stock currently has an average rating of "Hold" and an average price target of $61.75.

Cheesecake Factory Stock Down 0.9%

NASDAQ CAKE traded down $0.57 on Monday, reaching $61.36. The stock had a trading volume of 261,981 shares, compared to its average volume of 1,471,901. The company has a market capitalization of $3.06 billion, a price-to-earnings ratio of 18.86, a P/E/G ratio of 1.48 and a beta of 1.17. The business has a 50 day moving average price of $61.64 and a 200 day moving average price of $54.65. Cheesecake Factory has a 1 year low of $35.12 and a 1 year high of $69.70. The company has a current ratio of 0.51, a quick ratio of 0.43 and a debt-to-equity ratio of 1.40.

Cheesecake Factory (NASDAQ:CAKE - Get Free Report) last posted its earnings results on Tuesday, July 29th. The restaurant operator reported $1.16 earnings per share for the quarter, beating the consensus estimate of $1.06 by $0.10. Cheesecake Factory had a return on equity of 45.92% and a net margin of 4.33%. The company had revenue of $955.83 million for the quarter, compared to analyst estimates of $945.82 million. During the same period last year, the company earned $1.09 earnings per share. The business's revenue was up 5.7% compared to the same quarter last year. On average, analysts forecast that Cheesecake Factory will post 3.71 EPS for the current fiscal year.

Insider Buying and Selling at Cheesecake Factory

In related news, EVP Scarlett May sold 20,800 shares of the firm's stock in a transaction dated Thursday, May 29th. The shares were sold at an average price of $56.02, for a total value of $1,165,216.00. Following the completion of the sale, the executive vice president directly owned 22,872 shares in the company, valued at approximately $1,281,289.44. This trade represents a 47.63% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, Director Alexander L. Cappello sold 12,388 shares of the business's stock in a transaction that occurred on Thursday, July 31st. The stock was sold at an average price of $65.88, for a total value of $816,121.44. Following the transaction, the director directly owned 6,806 shares in the company, valued at approximately $448,379.28. This trade represents a 64.54% decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders have sold 145,388 shares of company stock valued at $8,273,113. Corporate insiders own 8.40% of the company's stock.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in the business. Ameritas Advisory Services LLC bought a new position in Cheesecake Factory during the second quarter worth $28,000. Parkside Financial Bank & Trust boosted its holdings in shares of Cheesecake Factory by 39.2% during the 2nd quarter. Parkside Financial Bank & Trust now owns 632 shares of the restaurant operator's stock worth $40,000 after buying an additional 178 shares during the period. USA Financial Formulas bought a new stake in shares of Cheesecake Factory during the 1st quarter worth about $49,000. Golden State Wealth Management LLC grew its stake in Cheesecake Factory by 100.0% in the 1st quarter. Golden State Wealth Management LLC now owns 1,060 shares of the restaurant operator's stock valued at $52,000 after buying an additional 530 shares during the last quarter. Finally, SBI Securities Co. Ltd. raised its holdings in Cheesecake Factory by 38.5% in the 1st quarter. SBI Securities Co. Ltd. now owns 1,244 shares of the restaurant operator's stock valued at $61,000 after acquiring an additional 346 shares during the period. 94.48% of the stock is owned by institutional investors and hedge funds.

Cheesecake Factory Company Profile

The Cheesecake Factory Incorporated operates and licenses restaurants in the United States and Canada. The company operates bakeries that produce cheesecakes and other baked products for its restaurants, international licensees, third-party bakery customers, external foodservice operators, retailers, and distributors.