The Cheesecake Factory Incorporated (NASDAQ:CAKE) Given Consensus Rating of "Hold" by Brokerages

Key Points

• The Cheesecake Factory has received a consensus recommendation of "Hold" from 16 analysts, with 4 sell ratings, 5 hold ratings, and 7 buy ratings.
• Analysts have set an average target price of $61.94 for the stock, with recent reports indicating target price boosts from firms like Raymond James and Wells Fargo.
• The company declared a quarterly dividend of $0.27, with a dividend yield of 1.7% and a payout ratio of 33.23%.

The Cheesecake Factory Incorporated (NASDAQ:CAKE - Get Free Report) has earned a consensus rating of "Hold" from the sixteen research firms that are covering the firm, MarketBeat reports. Four analysts have rated the stock with a sell rating, five have assigned a hold rating and seven have given a buy rating to the company. The average 1 year price objective among brokerages that have covered the stock in the last year is $61.9375.

Several equities analysts have weighed in on the company. Stephens reaffirmed an "overweight" rating and set a $60.00 target price on shares of Cheesecake Factory in a research note on Thursday, May 1st. UBS Group lifted their target price on Cheesecake Factory from $45.00 to $50.00 and gave the company a "sell" rating in a research note on Friday, July 18th. Barclays lifted their target price on Cheesecake Factory from $57.00 to $62.00 and gave the company an "underweight" rating in a research note on Wednesday, July 30th. Oppenheimer lifted their target price on Cheesecake Factory from $65.00 to $75.00 and gave the company an "outperform" rating in a research note on Friday, July 11th. Finally, Morgan Stanley lifted their target price on Cheesecake Factory from $45.00 to $47.00 and gave the company an "underweight" rating in a research note on Thursday, July 31st.

Cheesecake Factory Trading Down 0.0%

NASDAQ CAKE traded down $0.03 on Friday, hitting $61.91. 1,030,441 shares of the company were exchanged, compared to its average volume of 1,548,797. The company's 50 day moving average price is $63.00 and its 200-day moving average price is $55.47. The company has a debt-to-equity ratio of 1.40, a current ratio of 0.51 and a quick ratio of 0.42. The firm has a market capitalization of $3.08 billion, a P/E ratio of 19.05, a price-to-earnings-growth ratio of 1.48 and a beta of 1.17. Cheesecake Factory has a twelve month low of $35.40 and a twelve month high of $69.70.

Cheesecake Factory (NASDAQ:CAKE - Get Free Report) last posted its quarterly earnings data on Tuesday, July 29th. The restaurant operator reported $1.16 earnings per share (EPS) for the quarter, topping 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 firm had revenue of $955.83 million for the quarter, compared to the consensus estimate of $945.82 million. During the same quarter in the previous year, the company earned $1.09 EPS. The business's revenue for the quarter was up 5.7% compared to the same quarter last year. Analysts predict that Cheesecake Factory will post 3.71 earnings per share for the current fiscal year.

Cheesecake Factory Announces Dividend

The company 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 of this dividend was Tuesday, August 12th. This represents a $1.08 annualized dividend and a dividend yield of 1.7%. Cheesecake Factory's payout ratio is presently 33.23%.

Insider Activity at Cheesecake Factory

In related news, EVP Scarlett May sold 18,800 shares of the business's 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. The trade was a 45.11% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, President David M. Gordon sold 43,335 shares of the business's stock in a transaction that occurred on 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 completion of the sale, the president directly owned 24,532 shares of the company's stock, valued at approximately $1,546,987.92. The trade was a 63.85% decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders sold 95,323 shares of company stock valued at $5,819,859. 8.40% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Cheesecake Factory

Several large investors have recently made changes to their positions in CAKE. Mariner LLC bought a new stake in shares of Cheesecake Factory in the 4th quarter valued at approximately $213,000. GeoWealth Management LLC grew its stake in shares of Cheesecake Factory by 67,057.1% in the 4th quarter. GeoWealth Management LLC now owns 4,701 shares of the restaurant operator's stock valued at $223,000 after buying an additional 4,694 shares in the last quarter. First Trust Advisors LP grew its stake in shares of Cheesecake Factory by 323.8% in the 4th quarter. First Trust Advisors LP now owns 90,982 shares of the restaurant operator's stock valued at $4,316,000 after buying an additional 69,515 shares in the last quarter. MetLife Investment Management LLC grew its stake in shares of Cheesecake Factory by 7.4% in the 4th quarter. MetLife Investment Management LLC now owns 29,436 shares of the restaurant operator's stock valued at $1,396,000 after buying an additional 2,030 shares in the last quarter. Finally, Tower Research Capital LLC TRC boosted its position in Cheesecake Factory by 36.9% during the fourth quarter. Tower Research Capital LLC TRC now owns 6,041 shares of the restaurant operator's stock worth $287,000 after purchasing an additional 1,628 shares during the period. Institutional investors own 94.48% of the company's stock.

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.