Cheesecake Factory (NASDAQ:CAKE) Stock Rating Lowered by Stephens

Cheesecake Factory (NASDAQ:CAKE) was downgraded by equities researchers at Stephens from an “overweight” rating to an “equal weight” rating in a report issued on Thursday, Marketbeat Ratings reports. They presently have a $65.00 price objective on the restaurant operator’s stock. Stephens’ price objective points to a potential upside of 1.45% from the stock’s current price.

Several other equities analysts have also recently issued reports on the stock. Mizuho upped their price target on shares of Cheesecake Factory from $65.00 to $70.00 and gave the company an “outperform” rating in a research report on Thursday, February 12th. Robert W. Baird set a $57.00 price objective on Cheesecake Factory in a report on Wednesday, October 29th. Oppenheimer set a $70.00 target price on Cheesecake Factory in a research report on Wednesday, October 29th. Jefferies Financial Group set a $70.00 price target on Cheesecake Factory and gave the company a “buy” rating in a research report on Wednesday, October 29th. Finally, Raymond James Financial cut Cheesecake Factory from an “outperform” rating to a “market perform” rating in a report on Wednesday, January 21st. Seven equities research analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and four have issued a Sell rating to the stock. According to MarketBeat.com, Cheesecake Factory presently has a consensus rating of “Hold” and an average price target of $60.18.

Cheesecake Factory Stock Performance

NASDAQ:CAKE opened at $64.07 on Thursday. The firm has a market capitalization of $3.19 billion, a PE ratio of 19.42, a price-to-earnings-growth ratio of 1.58 and a beta of 1.02. The company has a quick ratio of 0.47, a current ratio of 0.55 and a debt-to-equity ratio of 1.32. The stock’s 50-day simple moving average is $56.50 and its 200 day simple moving average is $55.05. Cheesecake Factory has a twelve month low of $42.69 and a twelve month high of $69.70.

Cheesecake Factory (NASDAQ:CAKE) last posted its earnings results on Wednesday, February 18th. The restaurant operator reported $1.00 EPS for the quarter, beating the consensus estimate of $0.98 by $0.02. The firm had revenue of $961.56 million during the quarter, compared to the consensus estimate of $949.03 million. Cheesecake Factory had a return on equity of 46.35% and a net margin of 4.33%.The business’s quarterly revenue was up 4.4% on a year-over-year basis. During the same period last year, the company earned $1.04 earnings per share. On average, analysts anticipate that Cheesecake Factory will post 3.71 EPS for the current fiscal year.

Institutional Investors Weigh In On Cheesecake Factory

Several large investors have recently added to or reduced their stakes in the company. Campbell & CO Investment Adviser LLC bought a new position in Cheesecake Factory in the 3rd quarter worth about $2,743,000. Osaic Holdings Inc. boosted its stake in Cheesecake Factory by 1,041.1% in the second quarter. Osaic Holdings Inc. now owns 28,515 shares of the restaurant operator’s stock worth $1,786,000 after buying an additional 26,016 shares in the last quarter. AlphaQuest LLC lifted its holdings in shares of Cheesecake Factory by 186.9% in the 3rd quarter. AlphaQuest LLC now owns 43,226 shares of the restaurant operator’s stock worth $2,362,000 after acquiring an additional 28,159 shares during the last quarter. Intech Investment Management LLC raised its position in Cheesecake Factory by 131.8% in the 2nd quarter. Intech Investment Management LLC now owns 97,055 shares of the restaurant operator’s stock worth $6,081,000 after purchasing an additional 55,185 shares during the period. Finally, Vanguard Personalized Indexing Management LLC bought a new position in shares of Cheesecake Factory during the second quarter valued at about $246,000. Hedge funds and other institutional investors own 94.48% of the company’s stock.

More Cheesecake Factory News

Here are the key news stories impacting Cheesecake Factory this week:

• Positive Sentiment: Company raised its quarterly dividend to $0.30 (an ~11.1% increase) and boosted share‑repurchase authorization — a shareholder‑friendly move that increases cash return visibility. Boosts Dividend and Buyback Authorization
• Positive Sentiment: Management guided FY‑2026 revenue toward ~$3.9B and Q1 revenue to $955–$970M (roughly in line to slightly above Street revenue expectations), which supports top‑line stability. The Cheesecake Factory Reports Results for Fourth Quarter of Fiscal 2025
• Positive Sentiment: Reported quarterly revenue (~$961.6M) topped consensus and headline EPS beat estimates (company reported $1.00 EPS vs. $0.98 consensus on several reports), giving some fundamental support despite mixed underlying metrics. Q4 Earnings and Revenues Top Estimates
• Positive Sentiment: Independent analyst support: William Blair reaffirmed a Buy, citing resilient fundamentals and margin strength — a vote of confidence that can help underpin the rally. Buy Rating Maintained
• Positive Sentiment: Company signaled growth plans (up to ~26 new units in 2026) alongside the dividend/buyback moves — expansion plus capital returns can be viewed positively by growth/value investors. Growth & Capital Return Signal
• Neutral Sentiment: Wells Fargo maintained a Hold, noting balanced risk/reward given the company’s premium valuation and mixed traffic trends — a reminder that upside may be limited absent sustained sales improvement. Hold Rating
• Neutral Sentiment: Management will present at the Raymond James institutional conference (March 3) and released full earnings materials/transcript, giving investors more access to management tone and outlook. Conference Presentation
• Negative Sentiment: Comparable‑sales at the namesake Cheesecake Factory brand declined and operating profit/net income fell year‑over‑year, which pressured the stock right after the print as investors focused on traffic and margin pressures. Comparable Sales Decline
• Negative Sentiment: Multiple outlets highlighted lower quarterly profit and a “challenging” operating environment; those fundamentals-driven concerns explain why some investors sold shares despite the buyback/dividend news. Challenging Operating Environment
• Negative Sentiment: Viral social media content about kitchen activity got attention and could be a short‑term reputational headwind (small but worth monitoring). Viral Video

About Cheesecake Factory

The Cheesecake Factory Incorporated (NASDAQ:CAKE) is an American restaurant company and distributor renowned for its full-service casual-dining concept and specialty cheesecakes. Headquartered in Calabasas Hills, California, the company operates more than 200 restaurants under The Cheesecake Factory® brand across the United States, Puerto Rico and select international markets. In addition to sit-down dining, Cheesecake Factory franchised locations offer catering and take-out services, while a separate manufacturing arm supplies branded cheesecakes and desserts to supermarkets, hotels and other foodservice operators.

The origins of the brand trace back to a small cheesecake bakery founded in Detroit in the 1940s.