Redhawk Wealth Advisors Inc. Purchases 21,673 Shares of The Cheesecake Factory Incorporated $CAKE

Key Points

• Redhawk Wealth Advisors Inc. significantly increased its stake in The Cheesecake Factory, raising its position by 295.7% to own 29,003 shares valued at approximately $1.8 million.
• The Cheesecake Factory reported earnings of $1.16 per share, surpassing analysts' expectations, and achieved a revenue of $955.83 million, marking a 5.7% year-over-year increase.
• The company declared a quarterly dividend of $0.27 per share, reflecting an annual yield of 2.0% with a payout ratio of 33.23%.

Redhawk Wealth Advisors Inc. grew its stake in shares of The Cheesecake Factory Incorporated (NASDAQ:CAKE - Free Report) by 295.7% in the 2nd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 29,003 shares of the restaurant operator's stock after purchasing an additional 21,673 shares during the quarter. Redhawk Wealth Advisors Inc. owned approximately 0.06% of Cheesecake Factory worth $1,817,000 as of its most recent SEC filing.

A number of other institutional investors have also recently added to or reduced their stakes in the company. Wellington Management Group LLP lifted its position in Cheesecake Factory by 156.7% in the first quarter. Wellington Management Group LLP now owns 3,045,705 shares of the restaurant operator's stock worth $148,204,000 after purchasing an additional 1,859,194 shares during the period. Invesco Ltd. raised its stake in Cheesecake Factory by 83.5% during the 1st 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 during the period. Victory Capital Management Inc. raised its stake in Cheesecake Factory by 64.1% during the 1st 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 during the period. American Century Companies Inc. raised its stake in Cheesecake Factory by 17.7% during the 1st quarter. American Century Companies Inc. now owns 1,604,626 shares of the restaurant operator's stock valued at $78,081,000 after purchasing an additional 241,575 shares during the period. Finally, Westwood Holdings Group Inc. acquired a new stake in Cheesecake Factory during the 1st quarter valued at $75,795,000. 94.48% of the stock is currently owned by institutional investors and hedge funds.

Analyst Ratings Changes

Several brokerages have issued reports on CAKE. Barclays boosted their target price on shares of Cheesecake Factory from $57.00 to $62.00 and gave the company an "underweight" rating in a research note on Wednesday, July 30th. UBS Group increased their target price on shares of Cheesecake Factory from $45.00 to $50.00 and gave the stock a "sell" rating in a research report on Friday, July 18th. Robert W. Baird set a $64.00 price target on shares of Cheesecake Factory and gave the company a "neutral" rating in a report on Wednesday, July 30th. Morgan Stanley increased their price target on shares of Cheesecake Factory from $45.00 to $47.00 and gave the stock an "underweight" rating in a research report on Thursday, July 31st. Finally, Wells Fargo & Company raised their price target on shares of Cheesecake Factory from $60.00 to $65.00 and gave the company an "equal weight" rating in a report on Wednesday, July 30th. 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's stock. According to MarketBeat, the company has a consensus rating of "Hold" and an average target price of $61.94.

Insider Transactions at Cheesecake Factory

In related news, President David M. Gordon sold 43,335 shares of the company's stock in a transaction dated Thursday, August 14th. The shares were sold at an average price of $63.06, for a total value of $2,732,705.10. Following the transaction, the president owned 24,532 shares in the company, valued at approximately $1,546,987.92. This represents a 63.85% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, 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 transaction of $816,121.44. Following the transaction, the director owned 6,806 shares in the company, valued at approximately $448,379.28. The trade was a 64.54% decrease in their position. The disclosure for this sale can be found here. 8.10% of the stock is currently owned by corporate insiders.

Cheesecake Factory Stock Down 1.3%

CAKE stock traded down $0.69 during midday trading on Monday, hitting $53.89. The company's stock had a trading volume of 1,278,736 shares, compared to its average volume of 1,236,090. The stock has a market capitalization of $2.68 billion, a P/E ratio of 16.58, a PEG ratio of 1.30 and a beta of 1.10. The company's fifty day moving average price is $61.45 and its 200 day moving average price is $56.23. The Cheesecake Factory Incorporated has a twelve month low of $38.40 and a twelve month high of $69.70. The company has a debt-to-equity ratio of 1.40, a current ratio of 0.51 and a quick ratio of 0.42.

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

Cheesecake Factory Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Tuesday, August 26th. Investors of record on Tuesday, August 12th were paid a $0.27 dividend. The ex-dividend date was Tuesday, August 12th. This represents a $1.08 dividend on an annualized basis and a yield of 2.0%. Cheesecake Factory's dividend payout ratio is 33.23%.

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.