The Cheesecake Factory Incorporated $CAKE Stock Sold by Jefferies Financial Group Inc.

Key Points

• Jefferies Financial Group cut its Cheesecake Factory stake by 64.9% in the third quarter, selling 254,128 shares; it retained 137,156 shares valued at about $14.4 million.
• Cheesecake Factory reported quarterly EPS of $1.02, topping the $0.96 consensus, and revenue of $1.03 billion, up 13.9% year over year. The company also announced a quarterly dividend of $0.30 per share.
• Company insiders sold about 29,154 shares worth $3.3 million over 90 days. Analysts’ consensus rating was “Hold,” with an average price target of $95.47.

Jefferies Financial Group Inc. lessened its holdings in shares of The Cheesecake Factory Incorporated (NASDAQ:CAKE - Free Report) by 64.9% in the third quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The fund owned 137,156 shares of the restaurant operator's stock after selling 254,128 shares during the quarter. Jefferies Financial Group Inc. owned about 0.28% of Cheesecake Factory worth $14,434,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors also recently modified their holdings of the business. Illinois Municipal Retirement Fund grew its holdings in shares of Cheesecake Factory by 9.7% during the third quarter. Illinois Municipal Retirement Fund now owns 24,821 shares of the restaurant operator's stock worth $2,612,000 after purchasing an additional 2,201 shares in the last quarter. StoneX Group Inc. bought a new position in shares of Cheesecake Factory in the third quarter worth approximately $245,000. Trek Financial LLC purchased a new stake in Cheesecake Factory in the third quarter valued at approximately $1,464,000. Profund Advisors LLC purchased a new stake in Cheesecake Factory in the third quarter valued at approximately $224,000. Finally, State of Wyoming raised its stake in Cheesecake Factory by 60.3% in the third quarter. State of Wyoming now owns 1,920 shares of the restaurant operator's stock valued at $202,000 after purchasing an additional 722 shares in the last quarter. Hedge funds and other institutional investors own 94.48% of the company's stock.

Cheesecake Factory Trading Up 0.8%

CAKE opened at $109.67 on Thursday. The stock has a 50-day moving average price of $107.80 and a 200-day moving average price of $81.73. The Cheesecake Factory Incorporated has a 12-month low of $43.07 and a 12-month high of $118.63. The stock has a market capitalization of $5.47 billion, a P/E ratio of 25.99, a PEG ratio of 1.56 and a beta of 1.14.

Cheesecake Factory (NASDAQ:CAKE - Get Free Report) last announced its quarterly earnings data on Tuesday, October 27th. The restaurant operator reported $1.02 EPS for the quarter, beating the consensus estimate of $0.96 by $0.06. The firm had revenue of $1.03 billion for the quarter, compared to analyst estimates of $1.01 billion. Cheesecake Factory had a return on equity of 44.53% and a net margin of 5.20%. The company's revenue was up 13.9% on a year-over-year basis. During the same period in the prior year, the company earned $0.66 EPS. On average, equities research analysts predict that The Cheesecake Factory Incorporated will post 4.71 EPS for the current year.

Cheesecake Factory Announces Dividend

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

Insider Buying and Selling at Cheesecake Factory

In other Cheesecake Factory news, CFO Matthew Clark sold 23,832 shares of the stock in a transaction that occurred on Thursday, October 29th. The shares were sold at an average price of $113.31, for a total transaction of $2,700,403.92. Following the transaction, the chief financial officer directly owned 45,109 shares in the company, valued at $5,111,300.79. This trade represents a 34.57% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, EVP Scarlett May sold 2,939 shares of Cheesecake Factory stock in a transaction that occurred on Thursday, October 29th. The stock was sold at an average price of $114.12, for a total transaction of $335,398.68. Following the transaction, the executive vice president directly owned 15,302 shares in the company, valued at $1,746,264.24. This trade represents a 16.11% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 29,154 shares of company stock valued at $3,298,256 over the last ninety days. Insiders own 8.00% of the company's stock.

Cheesecake Factory News Summary

Investors following CAKE have been watching these news items:

• Neutral Sentiment: A new Cheesecake Factory location opened at West County Mall, adding a local expansion update, though the report did not detail its expected financial impact. New location report
• Neutral Sentiment: The Cheesecake Factory Bakery president announced his retirement after 30 years. The announcement provides no details on a successor or expected business impact. Bakery president retirement announcement
• Negative Sentiment: A Zacks analysis asks whether the company can sustain its reported 15.2% comparable-sales growth into 2027. Strong traffic and rewards momentum are positives, but tougher comparisons and the ability to generate repeat visits could make growth harder to maintain. Zacks comparable-sales analysis

Wall Street Analysts Forecast Growth

Several brokerages have issued reports on CAKE. Oppenheimer lifted their target price on shares of Cheesecake Factory from $101.00 to $122.00 and gave the company an "outperform" rating in a research report on Tuesday, October 6th. Wells Fargo & Company set a $116.00 price target on shares of Cheesecake Factory in a report on Wednesday, October 28th. UBS Group increased their price target on shares of Cheesecake Factory from $60.00 to $80.00 and gave the stock a "sell" rating in a report on Friday, October 23rd. Zacks Research cut shares of Cheesecake Factory from a "strong-buy" rating to a "hold" rating in a research report on Wednesday, October 28th. Finally, JPMorgan Chase & Co. lifted their price objective on shares of Cheesecake Factory from $92.00 to $105.00 and gave the stock a "neutral" rating in a report on Wednesday, August 26th. One equities research analyst has rated the stock with a Strong Buy rating, five have given a Buy rating, twelve have issued a Hold rating and two have issued a Sell rating to the company. According to MarketBeat.com, the company presently has a consensus rating of "Hold" and a consensus price target of $95.47.

Cheesecake Factory Company Profile

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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