Cheesecake Factory Inc (NASDAQ:CAKE) Expected to Post Earnings of $0.55 Per Share

Wall Street brokerages expect that Cheesecake Factory Inc (NASDAQ:CAKE) will announce earnings of $0.55 per share for the current fiscal quarter, Zacks reports. Ten analysts have issued estimates for Cheesecake Factory’s earnings. The highest EPS estimate is $0.57 and the lowest is $0.53. Cheesecake Factory posted earnings of $0.62 per share during the same quarter last year, which indicates a negative year-over-year growth rate of 11.3%. The business is expected to announce its next earnings report on Tuesday, October 29th.

On average, analysts expect that Cheesecake Factory will report full year earnings of $2.62 per share for the current financial year, with EPS estimates ranging from $2.54 to $2.66. For the next year, analysts forecast that the business will report earnings of $2.78 per share, with EPS estimates ranging from $2.68 to $2.85. Zacks Investment Research’s earnings per share averages are an average based on a survey of sell-side research firms that cover Cheesecake Factory.

Cheesecake Factory (NASDAQ:CAKE) last posted its earnings results on Wednesday, July 31st. The restaurant operator reported $0.82 EPS for the quarter, topping the consensus estimate of $0.81 by $0.01. The company had revenue of $602.65 million during the quarter, compared to the consensus estimate of $612.16 million. Cheesecake Factory had a net margin of 4.52% and a return on equity of 21.31%. The firm’s revenue for the quarter was up 2.6% on a year-over-year basis. During the same period in the previous year, the firm posted $0.61 earnings per share.

CAKE has been the subject of several recent research reports. Wedbush decreased their target price on shares of Cheesecake Factory from $45.00 to $43.00 and set a “neutral” rating for the company in a research report on Thursday, August 1st. JPMorgan Chase & Co. cut their price target on shares of Cheesecake Factory from $52.00 to $45.00 and set a “neutral” rating on the stock in a report on Friday, June 28th. Wells Fargo & Co cut their price target on shares of Cheesecake Factory from $47.00 to $46.00 and set a “market perform” rating on the stock in a report on Thursday, August 1st. Barclays boosted their price target on shares of Cheesecake Factory from $40.00 to $42.00 and gave the stock an “underweight” rating in a report on Thursday, May 2nd. Finally, UBS Group assumed coverage on shares of Cheesecake Factory in a report on Friday, April 26th. They set a “neutral” rating and a $51.00 price target on the stock. Three equities research analysts have rated the stock with a sell rating, ten have issued a hold rating and two have issued a buy rating to the company. The stock has an average rating of “Hold” and an average target price of $49.25.

Shares of NASDAQ:CAKE traded up $0.25 during midday trading on Friday, hitting $36.49. 715,300 shares of the company’s stock were exchanged, compared to its average volume of 898,557. The company has a debt-to-equity ratio of 1.81, a current ratio of 0.36 and a quick ratio of 0.26. The stock has a 50 day moving average price of $42.58 and a 200-day moving average price of $45.62. The company has a market cap of $1.62 billion, a PE ratio of 15.02, a price-to-earnings-growth ratio of 1.06 and a beta of 0.41. Cheesecake Factory has a 12 month low of $36.15 and a 12 month high of $55.63.

The business also recently announced a quarterly dividend, which will be paid on Tuesday, August 27th. Shareholders of record on Wednesday, August 14th will be paid a $0.36 dividend. This represents a $1.44 dividend on an annualized basis and a yield of 3.95%. This is a boost from Cheesecake Factory’s previous quarterly dividend of $0.33. The ex-dividend date is Tuesday, August 13th. Cheesecake Factory’s payout ratio is presently 59.26%.

In related news, Director Edie A. Ames bought 750 shares of the company’s stock in a transaction on Tuesday, August 6th. The shares were purchased at an average cost of $42.18 per share, for a total transaction of $31,635.00. Following the completion of the purchase, the director now directly owns 3,880 shares in the company, valued at $163,658.40. The acquisition was disclosed in a filing with the SEC, which is available at the SEC website. Also, Director Laurence B. Mindel bought 2,500 shares of the company’s stock in a transaction on Monday, August 12th. The stock was bought at an average price of $39.04 per share, for a total transaction of $97,600.00. The disclosure for this purchase can be found here. 8.50% of the stock is owned by insiders.

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Quadrant Capital Group LLC boosted its stake in Cheesecake Factory by 1,134.1% in the first quarter. Quadrant Capital Group LLC now owns 1,012 shares of the restaurant operator’s stock valued at $49,000 after acquiring an additional 930 shares during the last quarter. Victory Capital Management Inc. lifted its stake in shares of Cheesecake Factory by 50.3% during the 1st quarter. Victory Capital Management Inc. now owns 30,474 shares of the restaurant operator’s stock valued at $1,491,000 after buying an additional 10,200 shares in the last quarter. Gagnon Securities LLC lifted its stake in shares of Cheesecake Factory by 2.6% during the 1st quarter. Gagnon Securities LLC now owns 16,596 shares of the restaurant operator’s stock valued at $812,000 after buying an additional 426 shares in the last quarter. Los Angeles Capital Management & Equity Research Inc. purchased a new stake in shares of Cheesecake Factory during the 1st quarter valued at approximately $251,000. Finally, Kayne Anderson Rudnick Investment Management LLC lifted its stake in shares of Cheesecake Factory by 6.4% during the 1st quarter. Kayne Anderson Rudnick Investment Management LLC now owns 2,701,345 shares of the restaurant operator’s stock valued at $132,150,000 after buying an additional 163,232 shares in the last quarter. Hedge funds and other institutional investors own 98.26% of the company’s stock.

About Cheesecake Factory

The Cheesecake Factory Incorporated engages in the operation of restaurants. The company produces cheesecakes and other baked products for own restaurants and international licensees, as well as external foodservice operators, retailers, and distributors. As of April 16, 2019, it owned and operated 219 full-service casual-dining restaurants in the United States, including Puerto Rico and Canada comprising 202 restaurants under The Cheesecake Factory name; 14 restaurants under the Grand Lux Café name; and 2 restaurants under the RockSugar Southeast Asian Kitchen name, as well as 22 The Cheesecake Factory restaurants under licensing agreements internationally.

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Earnings History and Estimates for Cheesecake Factory (NASDAQ:CAKE)

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