Research Analysts Set Expectations for CAKE Q2 Earnings

The Cheesecake Factory Incorporated (NASDAQ:CAKE - Free Report) - Analysts at William Blair raised their Q2 2025 EPS estimates for shares of Cheesecake Factory in a research note issued to investors on Tuesday, July 22nd. William Blair analyst S. Zackfia now anticipates that the restaurant operator will earn $1.07 per share for the quarter, up from their prior forecast of $1.05. The consensus estimate for Cheesecake Factory's current full-year earnings is $3.71 per share. William Blair also issued estimates for Cheesecake Factory's Q3 2025 earnings at $0.57 EPS and FY2026 earnings at $3.97 EPS.

Cheesecake Factory (NASDAQ:CAKE - Get Free Report) last posted its quarterly earnings data on Wednesday, April 30th. The restaurant operator reported $0.93 earnings per share for the quarter, beating analysts' consensus estimates of $0.81 by $0.12. The company had revenue of $927.20 million during the quarter, compared to analysts' expectations of $927.17 million. Cheesecake Factory had a net margin of 4.33% and a return on equity of 46.06%. The firm's revenue for the quarter was up 4.0% on a year-over-year basis. During the same period in the prior year, the company posted $0.73 EPS.

Other equities analysts have also recently issued research reports about the stock. Wells Fargo & Company increased their price target on shares of Cheesecake Factory from $50.00 to $60.00 and gave the stock an "equal weight" rating in a research report on Thursday, July 17th. The Goldman Sachs Group reaffirmed a "neutral" rating and set a $67.00 price target (up previously from $66.00) on shares of Cheesecake Factory in a research report on Thursday, July 10th. Oppenheimer increased their price target on shares of Cheesecake Factory from $65.00 to $75.00 and gave the stock an "outperform" rating in a research report on Friday, July 11th. Bank of America raised their target price on shares of Cheesecake Factory from $61.00 to $67.00 and gave the stock a "neutral" rating in a report on Friday, July 18th. Finally, Morgan Stanley set a $45.00 target price on shares of Cheesecake Factory and gave the stock an "underweight" rating in a report on Monday, July 14th. Four analysts have rated the stock with a sell rating, six have given a hold rating and seven have given a buy rating to the company's stock. Based on data from MarketBeat, the stock presently has an average rating of "Hold" and an average price target of $59.38.

Cheesecake Factory Stock Up 0.5%

Shares of CAKE stock traded up $0.30 during trading hours on Friday, hitting $65.78. 1,189,272 shares of the company were exchanged, compared to its average volume of 1,336,888. The company has a debt-to-equity ratio of 1.85, a quick ratio of 0.43 and a current ratio of 0.53. Cheesecake Factory has a one year low of $33.50 and a one year high of $69.70. The business's 50-day simple moving average is $59.94 and its two-hundred day simple moving average is $53.77. The stock has a market capitalization of $3.26 billion, a price-to-earnings ratio of 20.62, a P/E/G ratio of 1.71 and a beta of 1.16.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in CAKE. Allspring Global Investments Holdings LLC boosted its holdings in Cheesecake Factory by 32.1% during the second quarter. Allspring Global Investments Holdings LLC now owns 144,353 shares of the restaurant operator's stock worth $9,195,000 after buying an additional 35,058 shares in the last quarter. Vanguard Personalized Indexing Management LLC bought a new stake in Cheesecake Factory during the second quarter worth approximately $246,000. IFP Advisors Inc boosted its holdings in Cheesecake Factory by 392,466.7% during the second quarter. IFP Advisors Inc now owns 11,777 shares of the restaurant operator's stock worth $743,000 after buying an additional 11,774 shares in the last quarter. Callan Family Office LLC bought a new stake in Cheesecake Factory during the second quarter worth approximately $637,000. Finally, Blair William & Co. IL boosted its holdings in Cheesecake Factory by 105.7% during the second quarter. Blair William & Co. IL now owns 10,639 shares of the restaurant operator's stock worth $667,000 after buying an additional 5,466 shares in the last quarter. Institutional investors and hedge funds own 94.48% of the company's stock.

Insider Buying and Selling at Cheesecake Factory

In other Cheesecake Factory news, CFO Matthew Eliot Clark sold 42,900 shares of the firm's stock in a transaction that occurred on Tuesday, May 27th. The shares were sold at an average price of $56.00, for a total value of $2,402,400.00. Following the sale, the chief financial officer owned 40,878 shares in the company, valued at approximately $2,289,168. This trade represents a 51.21% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, EVP Scarlett May sold 18,800 shares of the firm's stock in a transaction that occurred on Monday, June 9th. The shares were sold at an average price of $58.82, for a total transaction of $1,105,816.00. Following the completion of the sale, the executive vice president owned 22,872 shares in the company, valued at $1,345,331.04. The trade was a 45.11% decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 133,000 shares of company stock worth $7,456,992. 8.40% of the stock is owned by company insiders.

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.