59.41 USD
-1.34 (-2.21%)
CAKE gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 133 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
- In the past year CAKE was profitable.
- CAKE had a positive operating cash flow in the past year.
- CAKE had positive earnings in 4 of the past 5 years.
- In the past 5 years CAKE always reported a positive cash flow from operatings.
1.2 Ratios
- The Return On Assets of CAKE (4.96%) is better than 66.92% of its industry peers.
- With an excellent Return On Equity value of 37.81%, CAKE belongs to the best of the industry, outperforming 86.47% of the companies in the same industry.
- With a decent Return On Invested Capital value of 6.99%, CAKE is doing good in the industry, outperforming 60.15% of the companies in the same industry.
- CAKE had an Average Return On Invested Capital over the past 3 years of 5.05%. This 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 has a Profit Margin (4.33%) which is comparable to the rest of the industry.
- CAKE's Profit Margin has declined in the last couple of years.
- CAKE's Operating Margin of 5.89% is in line compared 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.
- CAKE's Gross Margin of 78.13% is amongst the best of the industry. CAKE outperforms 91.73% of its industry peers.
- In the last couple of years the Gross Margin of CAKE has remained more or less at the same level.
| 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.
- Compared to 1 year ago, CAKE has more shares outstanding
- The number of shares outstanding for CAKE has been increased compared to 5 years ago.
- CAKE has a better debt/assets ratio than last year.
2.2 Solvency
- CAKE has an Altman-Z score of 2.49. 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 2.49, 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.
- Looking at the Debt to FCF ratio, with a value of 3.97, CAKE is in the better half of the industry, outperforming 79.70% of the companies in the same industry.
- 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 | 2.49 |
ROIC/WACC0.88
WACC7.92%
2.3 Liquidity
- A Current Ratio of 0.55 indicates that CAKE may have some problems paying 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.
- 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.
- The Quick ratio of CAKE (0.47) is worse than 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.
- 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.
- The Revenue has been growing slightly by 7.61% on average over the past years.
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.
- Based on estimates for the next years, CAKE will show a small growth in Revenue. The Revenue will grow by 4.87% on average per year.
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
- 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.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 15.59 indicates a correct valuation of CAKE.
- 81.20% 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 27.54.
- A Price/Forward Earnings ratio of 14.52 indicates a correct valuation of CAKE.
- Based on the Price/Forward Earnings ratio, CAKE is valued a bit cheaper than 77.44% of the companies in the same industry.
- When comparing the Price/Forward Earnings ratio of CAKE to the average of the S&P500 Index (24.31), we can say CAKE is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.59 | ||
| Fwd PE | 14.52 |
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 62.41% of the companies listed in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of CAKE indicates a somewhat cheap valuation: CAKE is cheaper than 75.19% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.7 | ||
| EV/EBITDA | 10.66 |
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)1.37
PEG (5Y)2.75
EPS Next 2Y9.05%
EPS Next 3Y9.62%
5. Dividend
5.1 Amount
- CAKE has a Yearly Dividend Yield of 1.90%.
- Compared to an average industry Dividend Yield of 6.32, CAKE pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.92, CAKE has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.9% |
5.2 History
- CAKE has been paying a dividend for at least 10 years, so it has 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%
NASDAQ:CAKE (1/16/2026, 3:53:08 PM)
59.41
-1.34 (-2.21%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)10-28 2025-10-28/amc
Earnings (Next)02-17 2026-02-17/amc
Inst Owners115.59%
Inst Owner Change-0.04%
Ins Owners8.01%
Ins Owner Change-1.78%
Market Cap2.96B
Revenue(TTM)3.71B
Net Income(TTM)160.81M
Analysts73.79
Price Target60.23 (1.38%)
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 | 15.59 | ||
| Fwd PE | 14.52 | ||
| P/S | 0.8 | ||
| P/FCF | 18.7 | ||
| P/OCF | 9.24 | ||
| P/B | 6.96 | ||
| P/tB | 17.09 | ||
| EV/EBITDA | 10.66 |
EPS(TTM)3.81
EY6.41%
EPS(NY)4.09
Fwd EY6.89%
FCF(TTM)3.18
FCFY5.35%
OCF(TTM)6.43
OCFY10.82%
SpS74.46
BVpS8.53
TBVpS3.48
PEG (NY)1.37
PEG (5Y)2.75
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 | 2.49 |
F-Score7
WACC7.92%
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 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 15.59 and the Price/Book (PB) ratio is 6.96.
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%.