The Cheesecake Factory Incorporated
- Open
- 79.54
- Day high
- 80.91
- Day low
- 79.34
- Prev close
- 79.54
- Volume
- 378K
- Mkt cap
- $4.0B
- P/E (TTM)
- 22.8
- EPS (TTM)
- $3.54
- P/B
- 8.7
- P/S
- 1.1
- Yield
- 1.41%
- Per share
- $1.14
- ▼Insiders net selling -$6.5M over the last 3 months (0 open-market buys, 2 sales)
- 🏛Institutions mixed (13F)
The Cheesecake Factory Incorporated (CAKE) is a Consumer Cyclical company listed on NASDAQ. The stock is up 25% over the past year. Over the trailing 3 months, insiders filed 0 open-market buys and 2 sales (SEC Form 4).
The Cheesecake Factory Incorporated (CAKE) financials & analyst ratings
Fundamentals (TTM)
Analyst consensus · 6 analysts
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
CAKE earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| Apr 29, 2026 | $1.03 | $1.05 | +1.9% | $979M | +1.5% |
| Feb 18, 2026 | $0.98 | $1.00 | +2.0% | $962M | +1.3% |
| Jul 29, 2025 | $1.06 | $1.16 | +9.4% | $956M | +4.8% |
| Apr 30, 2025 | $0.81 | $0.93 | +14.8% | $927M | +0.2% |
| Feb 19, 2025 | $0.91 | $1.04 | +14.3% | $921M | -1.6% |
| Jul 31, 2024 | $1.00 | $1.09 | +9.0% | $904M | -0.5% |
| Feb 21, 2024 | $0.74 | $0.80 | +8.1% | $877M | -0.1% |
| Nov 1, 2023 | $0.43 | $0.39 | -9.3% | $830M | -1.5% |
| Aug 2, 2023 | $0.82 | $0.88 | +7.3% | $866M | -1.5% |
| Feb 22, 2023 | $0.56 | $0.56 | +0.0% | $893M | -1.0% |
| Nov 1, 2022 | $0.28 | $-0.03 | -110.7% | $784M | -1.9% |
| Jul 27, 2022 | $0.77 | $0.52 | -32.5% | $833M | -0.6% |
CAKE insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| Jun 4, 2026 | CAPPELLO ALEXANDER Ldirector | Sell | 2,490 | $64.90 |
| Jun 1, 2026 | CAPPELLO ALEXANDER Ldirector | Grant | 2,490 | — |
| Jun 1, 2026 | Collins Khanhdirector | Grant | 1,250 | — |
| Jun 1, 2026 | Meyer Janice L.director | Grant | 2,490 | — |
| May 4, 2026 | OVERTON DAVIDdirector, officer: CHAIRMAN AND C.E.O. | Sell | 104,000 | $61.02 |
| May 4, 2026 | OVERTON DAVIDdirector, officer: CHAIRMAN AND C.E.O. | Option | 104,000 | $46.03 |
| Apr 3, 2026 | May Scarlettofficer: EVP, GENERAL COUNSEL | Tax | 525 | $55.30 |
| Apr 3, 2026 | Clark Matthew Eliotofficer: EXEC VP, CFO | Tax | 1,059 | $55.30 |
| Apr 3, 2026 | OVERTON DAVIDdirector, officer: CHAIRMAN AND C.E.O. | Tax | 4,655 | $55.30 |
| Apr 3, 2026 | Gordon David Mofficer: PRESIDENT | Tax | 1,167 | $55.30 |
| Mar 11, 2026 | May Scarlettofficer: EVP, GENERAL COUNSEL | Sell | 5,206 | $62.95 |
| Feb 26, 2026 | Clark Matthew Eliotofficer: EXEC VP, CFO | Sell | 7,000 | $65.70 |
| Feb 26, 2026 | Alex Spero Gofficer: EVP Operations - CFRI | Sell | 4,790 | $66.00 |
| Feb 26, 2026 | Hanscom Ashley Wofficer: PRINCIPAL ACCOUNTING OFFICER | Sell | 2,951 | $65.64 |
| Feb 26, 2026 | Alex Spero Gofficer: EVP Operations - CFRI | Tax | 1,787 | $58.67 |
Source: CAKE SEC Form 4 filings, latest Jun 4, 2026. For informational purposes only — not investment advice.
See the full CAKE insider & 13F page →The Cheesecake Factory Incorporated company profile
Overview
The Cheesecake Factory Incorporated (NASDAQ:CAKE) is a full-service restaurant company founded in 1972 and headquartered in Calabasas, California. The company went public in 1992 and has grown from a single bakery operation into one of America's most recognizable casual dining chains. Today, The Cheesecake Factory operates over 300 restaurants across the United States and Canada, including its flagship brand alongside several growth concepts acquired through strategic acquisitions. The company is known for its extensive menu offerings, signature cheesecakes, and upscale casual dining experience that bridges the gap between fast-casual and fine dining establishments.
Business
The Cheesecake Factory operates in the casual dining restaurant industry, which sits between fast-casual chains and fine dining establishments in terms of service level, pricing, and atmosphere. The company's business is structured around multiple restaurant brands that cater to different market segments and dining preferences. The company operates through several distinct business segments. The Cheesecake Factory restaurants represent the core brand, generating approximately 70% of total revenues with 208 locations. These full-service restaurants are famous for their extensive menus featuring over 200 items spanning American classics, international cuisines, and of course, more than 30 varieties of cheesecake. The restaurants typically feature upscale casual atmospheres with average unit volumes exceeding $12 million annually, significantly higher than industry averages. North Italia is the company's fastest-growing concept, contributing roughly 8% of revenues with 29 locations. This brand focuses on modern Italian cuisine with handcrafted pizzas, pastas, and contemporary Italian dishes served in a more intimate, design-forward setting. North Italia targets a younger demographic and urban markets, with average unit volumes approaching $10 million. Flower Child represents the company's entry into the health-conscious, fast-casual segment, generating about 4% of revenues. This concept offers customizable bowls, salads, and wraps with organic and locally-sourced ingredients, appealing to health-conscious consumers seeking fresh, clean eating options. The company also operates a collection of Fox Restaurant Concepts (FRC) acquired in 2019, which includes various specialized dining concepts contributing approximately 9% of revenues. These brands include upscale concepts like Zinburger, The Henry, and Culinary Dropout, each targeting specific niches within the casual dining market. Additionally, The Cheesecake Factory operates external bakery operations that produce cheesecakes and baked goods for third-party customers, including other restaurants, retailers, and distributors, though this represents less than 1% of total revenues.
Revenue model
The Cheesecake Factory generates revenue primarily through restaurant sales from its company-owned locations, following a traditional full-service restaurant business model. Customers pay for food and beverages consumed at the restaurants, with average check sizes significantly higher than typical casual dining establishments due to the premium positioning and extensive menu offerings. The company's revenue streams include dine-in sales, which represent the majority of revenues, and off-premise sales including takeout and delivery orders that account for approximately 21-23% of total Cheesecake Factory sales. The company also generates modest revenue from licensing agreements for international locations and external bakery sales to third-party customers. The business model benefits from several margin-enhancing factors. High average unit volumes create significant operating leverage, as the company's restaurants generate substantially more revenue per location than industry peers. The extensive menu allows for premium pricing while appealing to diverse customer preferences. Operational scale provides purchasing power and cost efficiencies across the restaurant portfolio. However, several factors can pressure margins. Labor costs represent the largest expense category, and the full-service model requires significant staffing levels including servers, kitchen staff, and management. Commodity inflation directly impacts food costs, particularly for proteins, dairy products essential for cheesecakes, and other key ingredients. Real estate costs are substantial given the company's preference for prime locations in high-traffic areas and upscale shopping centers. Competition from both traditional casual dining chains and emerging fast-casual concepts can limit pricing power and require increased marketing spend to maintain market share. The company has demonstrated ability to offset inflationary pressures through strategic menu pricing, typically implementing 4-5% annual price increases while maintaining strong customer loyalty and traffic levels.
Competitive moat
The Cheesecake Factory possesses a moderate but defensible competitive moat built primarily around brand recognition, operational execution, and unique positioning within the casual dining landscape. The company's moat stems from several key factors that create barriers to entry and customer loyalty. Brand strength and customer loyalty represent the primary moat component. The Cheesecake Factory has achieved iconic status in American casual dining, with strong brand recognition and emotional connection among consumers. The extensive menu offering over 200 items creates a unique value proposition that competitors struggle to replicate at scale, as managing such complexity requires sophisticated operational systems and supply chain capabilities. Operational expertise and scale advantages provide additional protection. The company has developed proprietary systems for managing complex menus, maintaining food quality consistency across hundreds of locations, and achieving industry-leading average unit volumes. This operational sophistication creates barriers for competitors attempting to replicate the model. Prime real estate positioning offers some defensive characteristics, as The Cheesecake Factory typically secures prominent locations in high-traffic shopping centers and entertainment districts. These locations often have limited availability and high barriers to entry for competitors. However, the moat faces several challenges. The casual dining industry remains highly competitive with low switching costs for consumers and constant pressure from both traditional competitors and emerging fast-casual concepts. Changing consumer preferences toward healthier, more convenient dining options pose ongoing threats, though the company has responded with concepts like Flower Child and enhanced off-premise offerings. Labor dependency represents a structural vulnerability, as the full-service model requires significant staffing and is susceptible to wage inflation and retention challenges. Unlike asset-light franchise models, the company's company-owned structure provides control but also concentrates operational risk. Overall, while The Cheesecake Factory maintains competitive advantages, the moat is not exceptionally wide and requires continuous investment in brand development, operational excellence, and concept innovation to remain sustainable.
Risks & safety
The Cheesecake Factory presents a moderate margin of safety with manageable financial risk but limited financial flexibility given its capital-intensive business model. • Debt and Solvency: Debt-to-equity ratio of 4.3x indicates significant leverage typical for restaurant companies with extensive real estate footprints. However, the company maintains positive free cash flow generation and has demonstrated ability to service debt obligations. • Cash Position: Cash and short-term investments of $84 million provide limited cushion relative to quarterly operating expenses of approximately $850-900 million, indicating tight liquidity management. • Valuation Metrics: Trading at 14.5x P/E ratio and 14.5x EV/EBITDA suggests reasonable valuation relative to earnings, though not deeply discounted. Price-to-book ratio of 5.1x reflects the asset-heavy nature of the business. • Operating Cash Flow: Strong operating cash flow of $268 million annually demonstrates underlying business health, though free cash flow of $108 million after capital expenditures shows the capital-intensive nature of expansion. • Current Ratio: Current ratio of 0.47x indicates working capital constraints typical for restaurant operations, requiring careful cash flow management. • Other Considerations: The company's exposure to consumer discretionary spending creates cyclical risk, while the labor-intensive model presents ongoing operational challenges in tight labor markets.
Recent development
Over the past few years, The Cheesecake Factory has executed several strategic initiatives focused on diversification, digital enhancement, and operational optimization. The company has accelerated expansion of its growth concepts, particularly North Italia and Flower Child, which represent its strategy to capture different demographic segments and dining occasions beyond the traditional Cheesecake Factory customer base. A major strategic development has been the launch and expansion of the Cheesecake Rewards loyalty program, which has exceeded management expectations since its rollout. The program has driven incremental visits and higher customer engagement, with membership growing significantly and redemption rates quadrupling year-over-year. This digital initiative provides valuable customer data and creates opportunities for personalized marketing and targeted promotions. The company has also focused intensively on operational excellence and labor management. Management has achieved industry-leading retention rates with management attrition in the mid-teens and staff attrition of 60-70%, well below industry norms. This operational stability has translated into improved productivity, higher guest satisfaction scores, and enhanced profit margins, with restaurant-level margins reaching seven-year highs. Menu innovation and strategic pricing have been key focus areas, with the company launching new menus featuring 20+ items across various cuisines and price points. The company has successfully implemented strategic pricing increases of 4-5% annually to offset inflationary pressures while maintaining strong customer loyalty and traffic levels. The company has also accelerated its unit growth strategy, targeting 25 new restaurant openings in 2025 compared to historical levels, with particular emphasis on expanding North Italia and Flower Child concepts in high-growth markets. International expansion continues with positive performance from licensed locations, though this remains a smaller component of the overall strategy.
CAKE company profile · for informational purposes only — not investment advice.
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