Cheesecake Factory (NASDAQ:CAKE) Rating Lowered to Strong Sell at BidaskClub

Cheesecake Factory (NASDAQ:CAKE) was downgraded by research analysts at BidaskClub from a “sell” rating to a “strong sell” rating in a research note issued to investors on Saturday, BidAskClub reports.

A number of other equities analysts have also recently issued reports on the company. JPMorgan Chase & Co. cut their price target on 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 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 increased their price target on Cheesecake Factory from $40.00 to $42.00 and gave the stock an “underweight” rating in a report on Thursday, May 2nd. TheStreet cut Cheesecake Factory from a “b” rating to a “c+” rating in a report on Wednesday, May 29th. Finally, ValuEngine cut Cheesecake Factory from a “hold” rating to a “sell” rating in a report on Tuesday, July 2nd. Three equities research analysts have rated the stock with a sell rating, ten have assigned a hold rating and two have given a buy rating to the company’s stock. The stock has an average rating of “Hold” and a consensus target price of $49.25.

NASDAQ:CAKE opened at $36.49 on Friday. The company has a market capitalization of $1.62 billion, a PE ratio of 15.02, a P/E/G ratio of 1.06 and a beta of 0.41. The company has a 50 day simple moving average of $42.58 and a two-hundred day simple moving average of $45.62. The company has a debt-to-equity ratio of 1.81, a quick ratio of 0.26 and a current ratio of 0.36. Cheesecake Factory has a fifty-two week low of $36.15 and a fifty-two week high of $55.63.



Cheesecake Factory (NASDAQ:CAKE) last released its earnings results on Wednesday, July 31st. The restaurant operator reported $0.82 earnings per share for the quarter, beating analysts’ consensus estimates of $0.81 by $0.01. The business 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 company’s revenue for the quarter was up 2.6% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $0.61 EPS. Research analysts predict that Cheesecake Factory will post 2.62 EPS for the current year.

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

Several institutional investors and hedge funds have recently modified their holdings of the stock. Retirement Systems of Alabama lifted its holdings in shares of Cheesecake Factory by 0.4% in the 1st quarter. Retirement Systems of Alabama now owns 54,295 shares of the restaurant operator’s stock worth $2,656,000 after purchasing an additional 212 shares in the last quarter. Oregon Public Employees Retirement Fund raised its position in Cheesecake Factory by 1.4% in the 2nd quarter. Oregon Public Employees Retirement Fund now owns 17,101 shares of the restaurant operator’s stock valued at $748,000 after buying an additional 238 shares during the last quarter. Arizona State Retirement System raised its position in Cheesecake Factory by 0.8% in the 2nd quarter. Arizona State Retirement System now owns 30,187 shares of the restaurant operator’s stock valued at $1,320,000 after buying an additional 238 shares during the last quarter. Advisory Services Network LLC raised its position in Cheesecake Factory by 38.2% in the 2nd quarter. Advisory Services Network LLC now owns 894 shares of the restaurant operator’s stock valued at $39,000 after buying an additional 247 shares during the last quarter. Finally, 6 Meridian raised its position in Cheesecake Factory by 2.5% in the 2nd quarter. 6 Meridian now owns 10,622 shares of the restaurant operator’s stock valued at $464,000 after buying an additional 255 shares during the last quarter. 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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Analyst Recommendations for Cheesecake Factory (NASDAQ:CAKE)

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