The Cheesecake Factory (NASDAQ:CAKE) Rating Increased to Buy at Jefferies Financial Group

The Cheesecake Factory (NASDAQ:CAKE) was upgraded by equities research analysts at Jefferies Financial Group from a “hold” rating to a “buy” rating in a report released on Friday, PriceTargets.com reports. The firm presently has a $60.00 price objective on the restaurant operator’s stock, up from their previous price objective of $55.00. Jefferies Financial Group’s price target suggests a potential upside of 21.21% from the stock’s previous close. Jefferies Financial Group also issued estimates for The Cheesecake Factory’s Q4 2021 earnings at $0.72 EPS, FY2021 earnings at $2.37 EPS, Q2 2022 earnings at $0.95 EPS, Q3 2022 earnings at $0.82 EPS, Q4 2022 earnings at $0.89 EPS, FY2022 earnings at $3.35 EPS and FY2023 earnings at $3.66 EPS.

A number of other research firms also recently issued reports on CAKE. Wedbush dropped their target price on shares of The Cheesecake Factory from $70.00 to $55.00 and set an “outperform” rating on the stock in a research report on Wednesday, August 25th. They noted that the move was a valuation call. Raymond James upgraded shares of The Cheesecake Factory from a “market perform” rating to an “outperform” rating and set a $60.00 target price on the stock in a research report on Monday, July 12th. Zacks Investment Research downgraded shares of The Cheesecake Factory from a “buy” rating to a “hold” rating and set a $59.00 target price on the stock. in a research report on Friday, June 4th. Stephens dropped their target price on shares of The Cheesecake Factory from $60.00 to $55.00 and set an “equal weight” rating on the stock in a research report on Wednesday, June 9th. Finally, JPMorgan Chase & Co. dropped their target price on shares of The Cheesecake Factory from $64.00 to $49.00 and set a “neutral” rating on the stock in a research report on Thursday, August 19th. One investment analyst has rated the stock with a sell rating, seven have assigned a hold rating and seven have assigned a buy rating to the company. According to MarketBeat, the stock has a consensus rating of “Hold” and a consensus target price of $55.86.

NASDAQ:CAKE opened at $49.50 on Friday. The firm’s fifty day moving average is $45.74 and its 200-day moving average is $53.30. The company has a debt-to-equity ratio of 1.63, a quick ratio of 0.48 and a current ratio of 0.55. The Cheesecake Factory has a 52 week low of $26.47 and a 52 week high of $65.81. The firm has a market cap of $2.58 billion, a P/E ratio of -38.98, a P/E/G ratio of 2.08 and a beta of 1.73.

The Cheesecake Factory (NASDAQ:CAKE) last posted its quarterly earnings data on Monday, July 26th. The restaurant operator reported $0.80 EPS for the quarter, beating the Zacks’ consensus estimate of $0.75 by $0.05. The Cheesecake Factory had a negative net margin of 0.93% and a positive return on equity of 8.22%. The company had revenue of $768.96 million for the quarter, compared to analyst estimates of $749.82 million. During the same period in the prior year, the firm posted ($0.87) EPS. The company’s quarterly revenue was up 159.9% on a year-over-year basis. As a group, sell-side analysts anticipate that The Cheesecake Factory will post 2.51 earnings per share for the current year.

Several hedge funds have recently made changes to their positions in the company. Vanguard Group Inc. raised its holdings in shares of The Cheesecake Factory by 15.4% in the second quarter. Vanguard Group Inc. now owns 4,978,928 shares of the restaurant operator’s stock valued at $269,758,000 after purchasing an additional 663,896 shares during the last quarter. Kayne Anderson Rudnick Investment Management LLC raised its holdings in shares of The Cheesecake Factory by 4.8% in the second quarter. Kayne Anderson Rudnick Investment Management LLC now owns 4,357,446 shares of the restaurant operator’s stock valued at $236,087,000 after purchasing an additional 200,605 shares during the last quarter. State Street Corp raised its holdings in shares of The Cheesecake Factory by 6.2% in the second quarter. State Street Corp now owns 1,471,060 shares of the restaurant operator’s stock valued at $79,702,000 after purchasing an additional 86,052 shares during the last quarter. Geode Capital Management LLC raised its holdings in shares of The Cheesecake Factory by 6.1% in the second quarter. Geode Capital Management LLC now owns 762,636 shares of the restaurant operator’s stock valued at $41,319,000 after purchasing an additional 43,847 shares during the last quarter. Finally, Northern Trust Corp grew its position in The Cheesecake Factory by 0.6% during the second quarter. Northern Trust Corp now owns 708,567 shares of the restaurant operator’s stock valued at $38,391,000 after buying an additional 4,224 shares during the period. Institutional investors own 77.66% of the company’s stock.

About The Cheesecake Factory

Cheesecake Factory, Inc engages in the operation of restaurant chains. It operates through The Cheesecake Factory, North Italia, Other FRC and Other segments. The Cheesecake Factory segment offers appetizers, pizza, seafood, steaks, chicken, burgers, small plates, pastas, salads, sandwiches and omelettes, and a selection of gluten-free items.

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Analyst Recommendations for The Cheesecake Factory (NASDAQ:CAKE)

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