What is Zacks Research's Forecast for CAKE FY2027 Earnings?

Key Points

• Zacks Research raised its FY2027 EPS forecast for Cheesecake Factory to $5.11 from $4.64, while maintaining a “Hold” rating.
• In its latest quarter, the company earned $1.02 per share, beating the $0.96 consensus, and reported $1.03 billion in revenue, up 13.9% year over year.
• Analyst sentiment remains mixed but leans toward “Hold”: MarketBeat reports a consensus rating of “Hold” and an average price target of $95.47.

The Cheesecake Factory Incorporated (NASDAQ:CAKE - Free Report) - Stock analysts at Zacks Research lifted their FY2027 earnings per share estimates for shares of Cheesecake Factory in a research note issued on Tuesday, November 10th. Zacks Research analyst Team now forecasts that the restaurant operator will post earnings of $5.11 per share for the year, up from their previous estimate of $4.64. Zacks Research has a "Hold" rating on the stock. The consensus estimate for Cheesecake Factory's current full-year earnings is $4.71 per share.

Cheesecake Factory (NASDAQ:CAKE - Get Free Report) last issued its quarterly earnings results on Tuesday, October 27th. The restaurant operator reported $1.02 earnings per share for the quarter, beating the consensus estimate of $0.96 by $0.06. The company had revenue of $1.03 billion during the quarter, compared to analysts' expectations of $1.01 billion. Cheesecake Factory had a return on equity of 44.53% and a net margin of 5.20%. The business's quarterly revenue was up 13.9% on a year-over-year basis. During the same quarter in the prior year, the firm posted $0.66 earnings per share.

Several other research analysts have also weighed in on CAKE. Oppenheimer lifted their price objective on Cheesecake Factory from $101.00 to $122.00 and gave the stock an "outperform" rating in a research report on Tuesday, October 6th. Wall Street Zen raised Cheesecake Factory from a "hold" rating to a "buy" rating in a research report on Saturday, November 7th. Stephens reaffirmed an "equal weight" rating and issued a $100.00 target price on shares of Cheesecake Factory in a research report on Wednesday, October 28th. Freedom Capital raised Cheesecake Factory from a "hold" rating to a "strong-buy" rating in a research note on Wednesday, October 28th. Finally, Morgan Stanley increased their price target on Cheesecake Factory from $80.00 to $87.00 and gave the stock an "equal weight" rating in a report on Thursday, October 15th. One analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating, twelve have issued a Hold rating and two have given a Sell rating to the company's stock. According to MarketBeat, the company has a consensus rating of "Hold" and a consensus target price of $95.47.

Cheesecake Factory Stock Performance

Shares of NASDAQ CAKE opened at $109.67 on Thursday. Cheesecake Factory has a 52-week low of $43.07 and a 52-week high of $118.63. The company's 50 day moving average price is $107.80 and its 200-day moving average price is $81.73. The company has a market capitalization of $5.47 billion, a P/E ratio of 25.99, a price-to-earnings-growth ratio of 1.56 and a beta of 1.14.

Cheesecake Factory Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, November 24th. Stockholders of record on Tuesday, November 10th will be given a dividend of $0.30 per share. The ex-dividend date of this dividend is Tuesday, November 10th. This represents a $1.20 annualized dividend and a dividend yield of 1.1%. Cheesecake Factory's payout ratio is presently 28.44%.

Insider Buying and Selling at Cheesecake Factory

In related news, Director Alexander Cappello sold 425 shares of the company's stock in a transaction dated Thursday, October 29th. The shares were sold at an average price of $113.71, for a total value of $48,326.75. Following the sale, the director owned 3,428 shares in the company, valued at $389,797.88. This represents a 11.03% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, EVP Scarlett May sold 2,939 shares of the firm's stock in a transaction dated Thursday, October 29th. The shares were sold at an average price of $114.12, for a total transaction of $335,398.68. Following the completion of the transaction, the executive vice president directly owned 15,302 shares in the company, valued at approximately $1,746,264.24. The trade was a 16.11% decrease in their position. The SEC filing for this sale provides additional information. Over the last 90 days, insiders have sold 29,154 shares of company stock worth $3,298,256. 8.00% of the stock is currently owned by insiders.

Institutional Trading of Cheesecake Factory

Several institutional investors and hedge funds have recently modified their holdings of the stock. Dimensional Fund Advisors LP grew its holdings in Cheesecake Factory by 2.4% during the first quarter. Dimensional Fund Advisors LP now owns 1,242,143 shares of the restaurant operator's stock worth $68,008,000 after buying an additional 29,037 shares in the last quarter. Fisher Asset Management LLC lifted its stake in Cheesecake Factory by 3.0% during the 3rd quarter. Fisher Asset Management LLC now owns 482,442 shares of the restaurant operator's stock valued at $50,772,000 after acquiring an additional 13,970 shares in the last quarter. Bank of New York Mellon Corp bought a new position in Cheesecake Factory during the 2nd quarter valued at $38,020,000. Bamco Inc. NY purchased a new position in Cheesecake Factory during the 2nd quarter worth $35,793,000. Finally, Public Sector Pension Investment Board boosted its holdings in Cheesecake Factory by 85.4% during the 3rd quarter. Public Sector Pension Investment Board now owns 291,201 shares of the restaurant operator's stock worth $32,920,000 after acquiring an additional 134,137 shares during the last quarter. 94.48% of the stock is owned by hedge funds and other institutional investors.

Latest Cheesecake Factory News

Investors following CAKE have been watching these news items:

• Positive Sentiment: Zacks Research raised multiple earnings forecasts, including its FY2026 EPS estimate to $4.69 from $4.36 and FY2028 estimate to $5.56 from $5.29. The upward revisions suggest improving expectations, although Zacks maintained a “Hold” rating.
• Positive Sentiment: Cheesecake Factory opened a location at West County Mall, adding to its restaurant footprint. Article: Cheesecake Factory opens at West County Mall
• Neutral Sentiment: A Zacks analysis highlights the challenge of sustaining a reported 15.2% comparable-sales increase into 2027, when tougher comparisons and repeat-visit trends could test the momentum. Article: Can Cheesecake Factory Sustain Its 15.2% Comps Surge Into 2027?

About Cheesecake Factory

The Cheesecake Factory Incorporated NASDAQ: CAKE is a restaurant company that operates and licenses restaurants under several brands. Its portfolio includes The Cheesecake Factory, North Italia and restaurants developed by Fox Restaurant Concepts, such as Flower Child and Culinary Dropout. The company's restaurants serve a range of dishes, including appetizers, entrees and desserts. Its bakery division produces cheesecakes and other baked goods for its restaurants and for foodservice and retail customers.

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