The stock price of Cheesecake Factory Inc. (NASDAQ: CAKE) has jumped by 4.64 compared to previous close of 35.36. Despite this, the company has seen a gain of 2.98% in its stock price over the last five trading days. zacks.com reported 2024-08-12 that The Zacks Style Scores offers investors a way to easily find top-rated stocks based on their investing style. Here’s why you should take advantage.
Is It Worth Investing in Cheesecake Factory Inc. (NASDAQ: CAKE) Right Now?
Cheesecake Factory Inc. (NASDAQ: CAKE) has a price-to-earnings ratio that is above its average at 15.52x. The stock has a 36-month beta value of 1.51. Opinions on the stock are mixed, with 3 analysts rating it as a “buy,” 2 as “overweight,” 15 as “hold,” and 1 as “sell.”
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The public float for CAKE is 47.03M, and at present, short sellers hold a 12.14% of that float. On August 15, 2024, the average trading volume of CAKE was 1.03M shares.
CAKE’s Market Performance
CAKE stock saw a decrease of 2.98% in the past week, with a monthly decline of -7.13% and a quarterly a decrease of -9.78%. The volatility ratio for the week is 2.67%, and the volatility levels for the last 30 days are 3.63% for Cheesecake Factory Inc. (CAKE). The simple moving average for the last 20 days is 0.05% for CAKE’s stock, with a simple moving average of 4.32% for the last 200 days.
Analysts’ Opinion of CAKE
Many brokerage firms have already submitted their reports for CAKE stocks, with Stephens repeating the rating for CAKE by listing it as a “Overweight.” The predicted price for CAKE in the upcoming period, according to Stephens is $50 based on the research report published on May 15, 2024 of the current year 2024.
Citigroup, on the other hand, stated in their research note that they expect to see CAKE reach a price target of $47, previously predicting the price at $38. The rating they have provided for CAKE stocks is “Buy” according to the report published on May 10th, 2024.
Raymond James gave a rating of “Outperform” to CAKE, setting the target price at $42 in the report published on May 09th of the current year.
CAKE Trading at -3.23% from the 50-Day Moving Average
After a stumble in the market that brought CAKE to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -10.30% of loss for the given period.
Volatility was left at 3.63%, however, over the last 30 days, the volatility rate increased by 2.67%, as shares sank -7.24% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -5.31% lower at present.
During the last 5 trading sessions, CAKE rose by +2.64%, which changed the moving average for the period of 200-days by +23.22% in comparison to the 20-day moving average, which settled at $36.84. In addition, Cheesecake Factory Inc. saw 5.68% in overturn over a single year, with a tendency to cut further gains.
Insider Trading
Reports are indicating that there were more than several insider trading activities at CAKE starting from Carango Keith, who sale 3,785 shares at the price of $40.10 back on May 14 ’24. After this action, Carango Keith now owns 28,072 shares of Cheesecake Factory Inc., valued at $151,761 using the latest closing price.
Stock Fundamentals for CAKE
Current profitability levels for the company are sitting at:
- 0.05 for the present operating margin
- 0.19 for the gross margin
The net margin for Cheesecake Factory Inc. stands at 0.03. The total capital return value is set at 0.08. Equity return is now at value 33.22, with 4.12 for asset returns.
Based on Cheesecake Factory Inc. (CAKE), the company’s capital structure generated 0.62 points at debt to capital in total, while cash flow to debt ratio is standing at 0.34. The debt to equity ratio resting at 1.66. The interest coverage ratio of the stock is 21.74.
Currently, EBITDA for the company is 268.23 million with net debt to EBITDA at 6.44. When we switch over and look at the enterprise to sales, we see a ratio of 1.07. The receivables turnover for the company is 30.68for trailing twelve months and the total asset turnover is 1.22. The liquidity ratio also appears to be rather interesting for investors as it stands at 0.43.
Conclusion
To sum up, Cheesecake Factory Inc. (CAKE) has seen a mixed performance recently. Analysts have differing views on the stock, with some seeing it as a “buy” and others as a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
