Nomura Holdings Inc. Takes Position in The Cheesecake Factory Incorporated $CAKE

Key Points

• Nomura Holdings Inc. acquired a new stake in The Cheesecake Factory, purchasing approximately 48,673 shares valued at about $2.37 million.
• Cheesecake Factory recently reported earnings of $1.16 EPS, exceeding analyst estimates, with a year-over-year revenue increase of 5.7% to $955.83 million.
• The company also paid a quarterly dividend of $0.27 per share, resulting in an annualized yield of 1.8% with a payout ratio of 33.23%.

Nomura Holdings Inc. bought a new stake in The Cheesecake Factory Incorporated (NASDAQ:CAKE - Free Report) during the 1st quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund bought 48,673 shares of the restaurant operator's stock, valued at approximately $2,368,000. Nomura Holdings Inc. owned 0.10% of Cheesecake Factory at the end of the most recent reporting period.

Other hedge funds have also recently made changes to their positions in the company. Wellington Management Group LLP grew its stake in Cheesecake Factory by 156.7% in the 1st quarter. Wellington Management Group LLP now owns 3,045,705 shares of the restaurant operator's stock valued at $148,204,000 after buying an additional 1,859,194 shares in the last quarter. Westwood Holdings Group Inc. purchased a new position in shares of Cheesecake Factory in the first quarter valued at $75,795,000. Invesco Ltd. grew its position in shares of Cheesecake Factory by 83.5% in the first quarter. Invesco Ltd. now owns 2,591,205 shares of the restaurant operator's stock valued at $126,088,000 after purchasing an additional 1,178,722 shares in the last quarter. Driehaus Capital Management LLC purchased a new position in shares of Cheesecake Factory in the first quarter valued at $47,720,000. Finally, Victory Capital Management Inc. grew its position in shares of Cheesecake Factory by 64.1% in the first quarter. Victory Capital Management Inc. now owns 1,766,131 shares of the restaurant operator's stock valued at $85,940,000 after purchasing an additional 689,784 shares in the last quarter. 94.48% of the stock is currently owned by institutional investors.

Insider Activity

In other Cheesecake Factory news, Director Alexander L. Cappello sold 12,388 shares of the 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 completion of the sale, the director owned 6,806 shares in the company, valued at approximately $448,379.28. This trade represents a 64.54% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, EVP Scarlett May sold 18,800 shares of the stock in a transaction that occurred on Monday, June 9th. The stock was sold at an average price of $58.82, for a total value of $1,105,816.00. Following the completion of the sale, the executive vice president owned 22,872 shares of the company's stock, valued at approximately $1,345,331.04. This trade represents a 45.11% decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders have sold 74,523 shares of company stock worth $4,654,643. 8.40% of the stock is currently owned by insiders.

Cheesecake Factory Price Performance

Shares of Cheesecake Factory stock traded down $0.45 during trading on Friday, hitting $60.63. 907,061 shares of the stock traded hands, compared to its average volume of 1,047,348. The company has a quick ratio of 0.42, a current ratio of 0.51 and a debt-to-equity ratio of 1.40. The stock has a market cap of $3.02 billion, a price-to-earnings ratio of 18.66, a PEG ratio of 1.44 and a beta of 1.10. The firm's fifty day moving average is $63.15 and its 200-day moving average is $55.88. The Cheesecake Factory Incorporated has a 52 week low of $35.40 and a 52 week high of $69.70.

Cheesecake Factory (NASDAQ:CAKE - Get Free Report) last announced its quarterly earnings data on Tuesday, July 29th. The restaurant operator reported $1.16 EPS for the quarter, beating the consensus estimate of $1.06 by $0.10. The firm had revenue of $955.83 million for the quarter, compared to analyst estimates of $945.82 million. Cheesecake Factory had a return on equity of 45.92% and a net margin of 4.33%.The company's revenue was up 5.7% on a year-over-year basis. During the same period in the prior year, the company earned $1.09 EPS. Research analysts expect that The Cheesecake Factory Incorporated will post 3.71 EPS for the current fiscal year.

Cheesecake Factory Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, August 26th. Stockholders of record on Tuesday, August 12th were given a dividend of $0.27 per share. The ex-dividend date was Tuesday, August 12th. This represents a $1.08 annualized dividend and a dividend yield of 1.8%. Cheesecake Factory's dividend payout ratio is 33.23%.

Wall Street Analysts Forecast Growth

CAKE has been the subject of several recent research reports. Robert W. Baird set a $64.00 price target on Cheesecake Factory and gave the company a "neutral" rating in a research report on Wednesday, July 30th. The Goldman Sachs Group reiterated a "neutral" rating and issued a $67.00 price target (up from $66.00) on shares of Cheesecake Factory in a research report on Thursday, July 10th. JPMorgan Chase & Co. boosted their target price on Cheesecake Factory from $50.00 to $58.00 and gave the stock an "underweight" rating in a research report on Wednesday, June 25th. Raymond James Financial boosted their target price on Cheesecake Factory from $70.00 to $73.00 and gave the stock an "outperform" rating in a research report on Friday, August 15th. Finally, Oppenheimer boosted their target price on Cheesecake Factory from $65.00 to $75.00 and gave the stock an "outperform" rating in a research report on Friday, July 11th. Seven investment analysts have rated the stock with a Buy rating, five have issued a Hold rating and four have assigned a Sell rating to the company. According to MarketBeat, the company currently has an average rating of "Hold" and an average price target of $61.94.

About Cheesecake Factory

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.