Wells Fargo & Company Issues Positive Forecast for Cheesecake Factory (NASDAQ:CAKE) Stock Price

Cheesecake Factory (NASDAQ:CAKE) had its price objective raised by Wells Fargo & Company from $55.00 to $60.00 in a report issued on Thursday morning,Benzinga reports. The firm currently has an equal weight rating on the restaurant operator’s stock.

CAKE has been the topic of a number of other reports. Barclays reaffirmed an “underweight” rating and issued a $58.00 price objective on shares of Cheesecake Factory in a research note on Thursday. Stephens cut shares of Cheesecake Factory from an “overweight” rating to an “equal weight” rating and set a $65.00 price target on the stock. in a research report on Thursday. Bank of America cut their price target on Cheesecake Factory from $61.00 to $56.00 and set a “neutral” rating for the company in a research note on Wednesday, October 29th. Jefferies Financial Group set a $70.00 price objective on Cheesecake Factory and gave the stock a “buy” rating in a research note on Wednesday, October 29th. Finally, Weiss Ratings lowered Cheesecake Factory from a “buy (b-)” rating to a “hold (c+)” rating in a report on Thursday, January 15th. Five equities research analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and four have assigned a Sell rating to the stock. Based on data from MarketBeat, Cheesecake Factory has a consensus rating of “Hold” and an average target price of $61.63.

Cheesecake Factory Trading Down 2.6%

NASDAQ CAKE opened at $62.42 on Thursday. The company has a market cap of $3.11 billion, a price-to-earnings ratio of 20.33, a P/E/G ratio of 1.62 and a beta of 1.02. Cheesecake Factory has a 52 week low of $42.69 and a 52 week high of $69.70. The business has a 50 day moving average price of $56.77 and a 200-day moving average price of $55.10. The company has a quick ratio of 0.47, a current ratio of 0.55 and a debt-to-equity ratio of 1.32.

Cheesecake Factory (NASDAQ:CAKE) last issued its earnings results on Wednesday, February 18th. The restaurant operator reported $1.00 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.98 by $0.02. Cheesecake Factory had a return on equity of 47.09% and a net margin of 3.96%.The company had revenue of $961.56 million for the quarter, compared to analysts’ expectations of $949.03 million. During the same period last year, the business earned $1.04 EPS. Cheesecake Factory’s quarterly revenue was up 4.4% compared to the same quarter last year. As a group, equities analysts expect that Cheesecake Factory will post 3.71 earnings per share for the current fiscal year.

Cheesecake Factory Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, March 17th. Shareholders of record on Wednesday, March 4th will be given a dividend of $0.30 per share. The ex-dividend date of this dividend is Wednesday, March 4th. This represents a $1.20 annualized dividend and a dividend yield of 1.9%. This is an increase from Cheesecake Factory’s previous quarterly dividend of $0.27. Cheesecake Factory’s payout ratio is 32.73%.

Institutional Trading of Cheesecake Factory

A number of institutional investors and hedge funds have recently modified their holdings of the business. Salomon & Ludwin LLC lifted its holdings in Cheesecake Factory by 226.5% during the fourth quarter. Salomon & Ludwin LLC now owns 604 shares of the restaurant operator’s stock worth $33,000 after acquiring an additional 419 shares during the period. Global Retirement Partners LLC increased its position in shares of Cheesecake Factory by 661.7% during the 4th quarter. Global Retirement Partners LLC now owns 716 shares of the restaurant operator’s stock valued at $36,000 after purchasing an additional 622 shares during the last quarter. Parkside Financial Bank & Trust raised its stake in shares of Cheesecake Factory by 39.2% during the 2nd quarter. Parkside Financial Bank & Trust now owns 632 shares of the restaurant operator’s stock worth $40,000 after purchasing an additional 178 shares during the period. Root Financial Partners LLC raised its stake in shares of Cheesecake Factory by 973.2% during the 4th quarter. Root Financial Partners LLC now owns 880 shares of the restaurant operator’s stock worth $44,000 after purchasing an additional 798 shares during the period. Finally, Arax Advisory Partners purchased a new position in shares of Cheesecake Factory in the 4th quarter worth about $50,000. 94.48% of the stock is owned by hedge funds and other institutional investors.

Cheesecake Factory News Roundup

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

• Positive Sentiment: Raised dividend and buyback authorization — Management increased the quarterly dividend to $0.30 (an ~11.1% raise) and expanded share-repurchase authorization, a direct shareholder-return boost that can underpin the stock. Boosts Dividend and Buyback Authorization
• Positive Sentiment: Top-line growth and unit expansion plan — Q4 revenue rose about 4.4% to ~$961.6M and management signaled up to 26 new openings in 2026; company also nudged FY revenue guidance toward ~$3.9B, signaling continued growth potential. The Cheesecake Factory: A Sweet Treat For Shareholders
• Neutral Sentiment: Mixed analyst response — Citigroup raised its price target to $74 with a Buy stance, while other shops (Wells Fargo, Stephens) moved to more cautious ratings/targets; analyst views are split between growth optimism and concerns about valuation/traffic. Analyst Coverage
• Negative Sentiment: Comparable-sales weakness and margin pressure — The namesake Cheesecake Factory brand reported a decline in comparable sales (~-2.2%) and operating margins narrowed (operating margin reported near ~3.5%), which has alarmed investors focused on traffic trends and profitability. Media coverage notes the share-price reaction. Stock Falls on Q4 2025 Earnings
• Negative Sentiment: Profitability and earnings perception — While revenue rose, several outlets highlighted narrower operating profit and lower net income year‑over‑year; some investors viewed the quarter as mixed enough to justify selling into the initial pop. Challenging Operating Environment

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.