63.25 USD
+0.43 (+0.68%)
At close: Feb 6, 2026
62.509 USD
-0.74 (-1.17%)
After Hours: 2/6/2026, 8:21:08 PM
CAKE gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 132 industry peers in the Hotels, Restaurants & Leisure industry. While CAKE is still in line with the averages on profitability rating, there are concerns on its financial health. CAKE has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
- CAKE had positive earnings in the past year.
- CAKE had a positive operating cash flow in the past year.
- Of the past 5 years CAKE 4 years were profitable.
- In the past 5 years CAKE always reported a positive cash flow from operatings.
1.2 Ratios
- CAKE has a Return On Assets of 4.96%. This is in the better half of the industry: CAKE outperforms 67.42% of its industry peers.
- With an excellent Return On Equity value of 37.81%, CAKE belongs to the best of the industry, outperforming 87.12% of the companies in the same industry.
- CAKE's Return On Invested Capital of 6.99% is fine compared to the rest of the industry. CAKE outperforms 60.61% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for CAKE is significantly below the industry average of 10.33%.
- 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 has a Profit Margin of 4.33%. This is comparable to the rest of the industry: CAKE outperforms 58.33% of its industry peers.
- In the last couple of years the Profit Margin of CAKE has declined.
- With a Operating Margin value of 5.89%, CAKE perfoms like the industry average, outperforming 42.42% of the companies in the same industry.
- In the last couple of years the Operating Margin of CAKE has remained more or less at the same level.
- Looking at the Gross Margin, with a value of 78.13%, CAKE belongs to the top of the industry, outperforming 91.67% of the companies in the same industry.
- 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.
- CAKE has more shares outstanding than it did 5 years ago.
- CAKE has a better debt/assets ratio than last year.
2.2 Solvency
- CAKE has an Altman-Z score of 2.51. 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.
- With a decent Altman-Z score value of 2.51, CAKE is doing good in the industry, outperforming 67.42% 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 79.55% of its industry peers.
- CAKE has a Debt/Equity ratio of 1.32. This is a high value indicating a heavy dependency on external financing.
- CAKE has a Debt to Equity ratio (1.32) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.32 | ||
| Debt/FCF | 3.97 | ||
| Altman-Z | 2.51 |
ROIC/WACC0.87
WACC8.01%
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.
- CAKE has a Current ratio of 0.55. This is in the lower half of the industry: CAKE underperforms 72.73% of its industry peers.
- CAKE has a Quick 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.
- CAKE has a Quick ratio of 0.47. This is in the lower half of the industry: CAKE underperforms 74.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.55 | ||
| Quick Ratio | 0.47 |
3. Growth
3.1 Past
- CAKE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 19.06%, which is quite good.
- Measured over the past 5 years, CAKE shows a small growth in Earnings Per Share. The EPS has been growing by 5.68% on average per year.
- The Revenue has been growing slightly by 4.90% in the past year.
- CAKE shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.61% yearly.
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
- CAKE is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.12% yearly.
- CAKE is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.87% yearly.
EPS Next Y11.35%
EPS Next 2Y8.95%
EPS Next 3Y9.7%
EPS Next 5Y10.12%
Revenue Next Year4.64%
Revenue Next 2Y4.64%
Revenue Next 3Y5.36%
Revenue Next 5Y4.87%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- 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
- CAKE is valuated correctly with a Price/Earnings ratio of 16.60.
- 75.76% of the companies in the same industry are more expensive than CAKE, based on the Price/Earnings ratio.
- CAKE's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.92.
- CAKE is valuated correctly with a Price/Forward Earnings ratio of 15.49.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of CAKE indicates a somewhat cheap valuation: CAKE is cheaper than 75.00% of the companies listed in the same industry.
- When comparing the Price/Forward Earnings ratio of CAKE to the average of the S&P500 Index (27.78), we can say CAKE is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.6 | ||
| Fwd PE | 15.49 |
4.2 Price Multiples
- CAKE's Enterprise Value to EBITDA is on the same level as the industry average.
- CAKE's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. CAKE is cheaper than 72.73% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.91 | ||
| EV/EBITDA | 10.98 |
4.3 Compensation for Growth
- CAKE's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- The decent profitability rating of CAKE may justify a higher PE ratio.
PEG (NY)1.46
PEG (5Y)2.92
EPS Next 2Y8.95%
EPS Next 3Y9.7%
5. Dividend
5.1 Amount
- CAKE has a Yearly Dividend Yield of 1.72%. Purely for dividend investing, there may be better candidates out there.
- CAKE's Dividend Yield is a higher than the industry average which is at 1.24.
- Compared to an average S&P500 Dividend Yield of 1.81, CAKE has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.72% |
5.2 History
- CAKE has been paying a dividend for at least 10 years, so it has a reliable track record.
- The dividend of CAKE decreased in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years2
5.3 Sustainability
- 32.74% of the earnings are spent on dividend by CAKE. This is a low number and sustainable payout ratio.
DP32.74%
EPS Next 2Y8.95%
EPS Next 3Y9.7%
63.25
+0.43 (+0.68%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)10-28 2025-10-28/amc
Earnings (Next)02-18 2026-02-18/amc
Inst Owners115.59%
Inst Owner Change-0.37%
Ins Owners8.01%
Ins Owner Change-1.78%
Market Cap3.15B
Revenue(TTM)3.71B
Net Income(TTM)160.81M
Analysts73.79
Price Target61.48 (-2.8%)
Short Float %22.32%
Short Ratio8.97
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.72% |
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)0.89%
PT rev (3m)-6.74%
EPS NQ rev (1m)-0.1%
EPS NQ rev (3m)-9.63%
EPS NY rev (1m)-0.01%
EPS NY rev (3m)-0.65%
Revenue NQ rev (1m)-0.01%
Revenue NQ rev (3m)-2.13%
Revenue NY rev (1m)-0.03%
Revenue NY rev (3m)-0.7%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.6 | ||
| Fwd PE | 15.49 | ||
| P/S | 0.85 | ||
| P/FCF | 19.91 | ||
| P/OCF | 9.84 | ||
| P/B | 7.41 | ||
| P/tB | 18.2 | ||
| EV/EBITDA | 10.98 |
EPS(TTM)3.81
EY6.02%
EPS(NY)4.08
Fwd EY6.46%
FCF(TTM)3.18
FCFY5.02%
OCF(TTM)6.43
OCFY10.16%
SpS74.46
BVpS8.53
TBVpS3.48
PEG (NY)1.46
PEG (5Y)2.92
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 | 2.51 |
F-Score7
WACC8.01%
ROIC/WACC0.87
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 Y11.35%
EPS Next 2Y8.95%
EPS Next 3Y9.7%
EPS Next 5Y10.12%
Revenue 1Y (TTM)4.9%
Revenue growth 3Y6.95%
Revenue growth 5Y7.61%
Sales Q2Q%4.82%
Revenue Next Year4.64%
Revenue Next 2Y4.64%
Revenue Next 3Y5.36%
Revenue Next 5Y4.87%
EBIT growth 1Y23.32%
EBIT growth 3Y15.92%
EBIT growth 5Y8.87%
EBIT Next Year77.06%
EBIT Next 3Y27.57%
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 4 / 10 to CAKE.
What is the valuation status for CAKE stock?
ChartMill assigns a valuation rating of 5 / 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 16.6 and the Price/Book (PB) ratio is 7.41.
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%.