57.61 USD
+0.62 (+1.09%)
56.87 USD
-0.74 (-1.28%)
Overall CAKE gets a fundamental rating of 5 out of 10. We evaluated CAKE against 133 industry peers in the Hotels, Restaurants & Leisure industry. CAKE has a medium profitability rating, but doesn't score so well on its financial health evaluation. CAKE is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year CAKE was profitable.
CAKE had a positive operating cash flow in the past year.
Of the past 5 years CAKE 4 years were profitable.
CAKE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of CAKE (4.96%) is better than 66.92% of its industry peers.
CAKE has a Return On Equity of 37.81%. This is amongst the best in the industry. CAKE outperforms 86.47% of its industry peers.
CAKE has a better Return On Invested Capital (6.99%) than 60.15% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CAKE is significantly below the industry average of 10.34%.
The last Return On Invested Capital (6.99%) for CAKE is above the 3 year average (5.05%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.96% | ||
| ROE | 37.81% | ||
| ROIC | 6.99% |
ROA(3y)3.43%
ROA(5y)0.39%
ROE(3y)27.33%
ROE(5y)8.44%
ROIC(3y)5.05%
ROIC(5y)N/A
1.3 Margins
CAKE's Profit Margin of 4.33% is in line compared to the rest of the industry. CAKE outperforms 57.89% of its industry peers.
In the last couple of years the Profit Margin of CAKE has declined.
CAKE has a Operating Margin of 5.89%. This is comparable to the rest of the industry: CAKE outperforms 42.11% of its industry peers.
In the last couple of years the Operating Margin of CAKE has remained more or less at the same level.
The Gross Margin of CAKE (78.13%) is better than 91.73% of its industry peers.
CAKE's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.89% | ||
| PM (TTM) | 4.33% | ||
| GM | 78.13% |
OM growth 3Y8.38%
OM growth 5Y1.18%
PM growth 3Y37.68%
PM growth 5Y-3.11%
GM growth 3Y-0.08%
GM growth 5Y0.03%
2. Health
2.1 Basic Checks
CAKE has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for CAKE has been increased compared to 1 year ago.
The number of shares outstanding for CAKE has been increased compared to 5 years ago.
The debt/assets ratio for CAKE has been reduced compared to a year ago.
2.2 Solvency
CAKE has an Altman-Z score of 2.45. This is not the best score and indicates that CAKE is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.45, CAKE is in the better half of the industry, outperforming 65.41% of the companies in the same industry.
The Debt to FCF ratio of CAKE is 3.97, which is a good value as it means it would take CAKE, 3.97 years of fcf income to pay off all of its debts.
CAKE has a better Debt to FCF ratio (3.97) than 79.70% of its industry peers.
A Debt/Equity ratio of 1.32 is on the high side and indicates that CAKE has dependencies on debt financing.
The Debt to Equity ratio of CAKE (1.32) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.32 | ||
| Debt/FCF | 3.97 | ||
| Altman-Z | 2.45 |
ROIC/WACC0.88
WACC7.91%
2.3 Liquidity
CAKE has a Current Ratio of 0.55. This is a bad value and indicates that CAKE is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.55, CAKE is not doing good in the industry: 72.18% of the companies in the same industry are doing better.
A Quick Ratio of 0.47 indicates that CAKE may have some problems paying its short term obligations.
CAKE's Quick ratio of 0.47 is on the low side compared to the rest of the industry. CAKE is outperformed by 73.68% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.55 | ||
| Quick Ratio | 0.47 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 19.06% over the past year.
The Earnings Per Share has been growing slightly by 5.68% on average over the past years.
The Revenue has been growing slightly by 4.90% in the past year.
Measured over the past years, CAKE shows a small growth in Revenue. The Revenue has been growing by 7.61% on average per year.
EPS 1Y (TTM)19.06%
EPS 3Y17.14%
EPS 5Y5.68%
EPS Q2Q%17.24%
Revenue 1Y (TTM)4.9%
Revenue growth 3Y6.95%
Revenue growth 5Y7.61%
Sales Q2Q%4.82%
3.2 Future
Based on estimates for the next years, CAKE will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.12% on average per year.
CAKE is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.87% yearly.
EPS Next Y11.37%
EPS Next 2Y9.05%
EPS Next 3Y9.62%
EPS Next 5Y10.12%
Revenue Next Year4.66%
Revenue Next 2Y4.66%
Revenue Next 3Y5.34%
Revenue Next 5Y4.87%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 15.12, which indicates a correct valuation of CAKE.
Based on the Price/Earnings ratio, CAKE is valued cheaper than 81.95% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.19. CAKE is valued slightly cheaper when compared to this.
The Price/Forward Earnings ratio is 14.08, which indicates a correct valuation of CAKE.
Based on the Price/Forward Earnings ratio, CAKE is valued a bit cheaper than the industry average as 79.70% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.92, CAKE is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.12 | ||
| Fwd PE | 14.08 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CAKE indicates a somewhat cheap valuation: CAKE is cheaper than 66.92% of the companies listed in the same industry.
CAKE's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. CAKE is cheaper than 78.20% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.13 | ||
| EV/EBITDA | 10.18 |
4.3 Compensation for Growth
CAKE's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
CAKE has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.33
PEG (5Y)2.66
EPS Next 2Y9.05%
EPS Next 3Y9.62%
5. Dividend
5.1 Amount
CAKE has a Yearly Dividend Yield of 1.90%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 6.32, CAKE pays a bit more dividend than its industry peers.
CAKE's Dividend Yield is comparable with the S&P500 average which is at 1.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.9% |
5.2 History
CAKE has paid a dividend for at least 10 years, which is a reliable track record.
CAKE has decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years2
5.3 Sustainability
CAKE pays out 32.74% of its income as dividend. This is a sustainable payout ratio.
DP32.74%
EPS Next 2Y9.05%
EPS Next 3Y9.62%
57.61
+0.62 (+1.09%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners115.59%
Inst Owner Change-0.04%
Ins Owners8.01%
Ins Owner Change-1.78%
Market Cap2.87B
Revenue(TTM)3.71B
Net Income(TTM)160.81M
Analysts73.79
Price Target60.23 (4.55%)
Short Float %18.65%
Short Ratio6.65
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.9% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP32.74%
Div Incr Years0
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.64%
Min EPS beat(2)6.79%
Max EPS beat(2)10.48%
EPS beat(4)4
Avg EPS beat(4)10.14%
Min EPS beat(4)6.79%
Max EPS beat(4)12.08%
EPS beat(8)8
Avg EPS beat(8)10.57%
EPS beat(12)10
Avg EPS beat(12)6.33%
EPS beat(16)10
Avg EPS beat(16)-5.94%
Revenue beat(2)0
Avg Revenue beat(2)-1.87%
Min Revenue beat(2)-2.56%
Max Revenue beat(2)-1.19%
Revenue beat(4)0
Avg Revenue beat(4)-1.7%
Min Revenue beat(4)-2.56%
Max Revenue beat(4)-1.06%
Revenue beat(8)0
Avg Revenue beat(8)-1.92%
Revenue beat(12)0
Avg Revenue beat(12)-2.31%
Revenue beat(16)0
Avg Revenue beat(16)-2.26%
PT rev (1m)-0.29%
PT rev (3m)-11.37%
EPS NQ rev (1m)-0.39%
EPS NQ rev (3m)-9.63%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.84%
Revenue NQ rev (1m)-0.01%
Revenue NQ rev (3m)-2.12%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.68%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.12 | ||
| Fwd PE | 14.08 | ||
| P/S | 0.77 | ||
| P/FCF | 18.13 | ||
| P/OCF | 8.96 | ||
| P/B | 6.75 | ||
| P/tB | 16.57 | ||
| EV/EBITDA | 10.18 |
EPS(TTM)3.81
EY6.61%
EPS(NY)4.09
Fwd EY7.1%
FCF(TTM)3.18
FCFY5.52%
OCF(TTM)6.43
OCFY11.16%
SpS74.46
BVpS8.53
TBVpS3.48
PEG (NY)1.33
PEG (5Y)2.66
Graham Number27.05
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.96% | ||
| ROE | 37.81% | ||
| ROCE | 8.84% | ||
| ROIC | 6.99% | ||
| ROICexc | 7.57% | ||
| ROICexgc | 8.51% | ||
| OM | 5.89% | ||
| PM (TTM) | 4.33% | ||
| GM | 78.13% | ||
| FCFM | 4.27% |
ROA(3y)3.43%
ROA(5y)0.39%
ROE(3y)27.33%
ROE(5y)8.44%
ROIC(3y)5.05%
ROIC(5y)N/A
ROICexc(3y)5.24%
ROICexc(5y)N/A
ROICexgc(3y)5.93%
ROICexgc(5y)N/A
ROCE(3y)6.39%
ROCE(5y)N/A
ROICexgc growth 3Y10.35%
ROICexgc growth 5Y5.82%
ROICexc growth 3Y11%
ROICexc growth 5Y8.1%
OM growth 3Y8.38%
OM growth 5Y1.18%
PM growth 3Y37.68%
PM growth 5Y-3.11%
GM growth 3Y-0.08%
GM growth 5Y0.03%
F-Score7
Asset Turnover1.14
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.32 | ||
| Debt/FCF | 3.97 | ||
| Debt/EBITDA | 1.72 | ||
| Cap/Depr | 151.71% | ||
| Cap/Sales | 4.37% | ||
| Interest Coverage | 19.27 | ||
| Cash Conversion | 98.5% | ||
| Profit Quality | 98.47% | ||
| Current Ratio | 0.55 | ||
| Quick Ratio | 0.47 | ||
| Altman-Z | 2.45 |
F-Score7
WACC7.91%
ROIC/WACC0.88
Cap/Depr(3y)148.68%
Cap/Depr(5y)115.39%
Cap/Sales(3y)4.13%
Cap/Sales(5y)3.45%
Profit Quality(3y)81.91%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)19.06%
EPS 3Y17.14%
EPS 5Y5.68%
EPS Q2Q%17.24%
EPS Next Y11.37%
EPS Next 2Y9.05%
EPS Next 3Y9.62%
EPS Next 5Y10.12%
Revenue 1Y (TTM)4.9%
Revenue growth 3Y6.95%
Revenue growth 5Y7.61%
Sales Q2Q%4.82%
Revenue Next Year4.66%
Revenue Next 2Y4.66%
Revenue Next 3Y5.34%
Revenue Next 5Y4.87%
EBIT growth 1Y23.32%
EBIT growth 3Y15.92%
EBIT growth 5Y8.87%
EBIT Next Year77.15%
EBIT Next 3Y27.61%
EBIT Next 5Y21.97%
FCF growth 1Y101.98%
FCF growth 3Y-9.76%
FCF growth 5Y-5.64%
OCF growth 1Y50.06%
OCF growth 3Y8%
OCF growth 5Y4.17%
CHEESECAKE FACTORY INC/THE / CAKE FAQ
What is the fundamental rating for CAKE stock?
ChartMill assigns a fundamental rating of 5 / 10 to CAKE.
What is the valuation status for CAKE stock?
ChartMill assigns a valuation rating of 6 / 10 to CHEESECAKE FACTORY INC/THE (CAKE). This can be considered as Fairly Valued.
What is the profitability of CAKE stock?
CHEESECAKE FACTORY INC/THE (CAKE) has a profitability rating of 6 / 10.
What is the valuation of CHEESECAKE FACTORY INC/THE based on its PE and PB ratios?
The Price/Earnings (PE) ratio for CHEESECAKE FACTORY INC/THE (CAKE) is 15.12 and the Price/Book (PB) ratio is 6.75.
Can you provide the dividend sustainability for CAKE stock?
The dividend rating of CHEESECAKE FACTORY INC/THE (CAKE) is 4 / 10 and the dividend payout ratio is 32.74%.