Stock Traders Buy High Volume of Call Options on Cheesecake Factory (NASDAQ:CAKE)

The Cheesecake Factory Incorporated (NASDAQ:CAKE – Get Rating) was the recipient of unusually large options trading on Monday. Stock investors acquired 3,178 call options on the stock. This is an increase of 189% compared to the typical volume of 1,099 call options.

Insider Buying and Selling

In related news, Director Edie A. Ames purchased 4,000 shares of the firm’s stock in a transaction that occurred on Thursday, December 8th. The stock was purchased at an average cost of $32.25 per share, with a total value of $129,000.00. Following the completion of the acquisition, the director now directly owns 12,500 shares in the company, valued at $403,125. The acquisition was disclosed in a document filed with the SEC, which is accessible through this link. Corporate insiders own 8.20% of the company’s stock.

Institutional Trading of Cheesecake Factory

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in CAKE. Millennium Management LLC increased its position in Cheesecake Factory by 2,369.2% during the 2nd quarter. Millennium Management LLC now owns 905,116 shares of the restaurant operator’s stock worth $23,913,000 after purchasing an additional 868,460 shares in the last quarter. Rockefeller Capital Management L.P. increased its position in Cheesecake Factory by 52,812.3% during the 3rd quarter. Rockefeller Capital Management L.P. now owns 656,642 shares of the restaurant operator’s stock worth $19,226,000 after purchasing an additional 655,401 shares in the last quarter. Samlyn Capital LLC purchased a new stake in Cheesecake Factory during the 2nd quarter worth about $10,018,000. Frontier Capital Management Co. LLC increased its position in Cheesecake Factory by 20.7% during the 2nd quarter. Frontier Capital Management Co. LLC now owns 2,192,835 shares of the restaurant operator’s stock worth $57,935,000 after purchasing an additional 376,046 shares in the last quarter. Finally, Cubist Systematic Strategies LLC increased its position in Cheesecake Factory by 411.7% during the 2nd quarter. Cubist Systematic Strategies LLC now owns 378,692 shares of the restaurant operator’s stock worth $10,005,000 after purchasing an additional 304,683 shares in the last quarter. Hedge funds and other institutional investors own 88.67% of the company’s stock.

Analyst Ratings Changes

CAKE has been the subject of several recent research reports. Citigroup downgraded Cheesecake Factory from a “buy” rating to a “neutral” rating in a report on Tuesday, January 17th. Barclays cut their price objective on Cheesecake Factory from $31.00 to $28.00 and set an “underweight” rating for the company in a research report on Thursday, January 5th. Morgan Stanley increased their price objective on Cheesecake Factory from $26.00 to $31.00 and gave the stock an “underweight” rating in a research report on Wednesday, January 18th. Gordon Haskett cut Cheesecake Factory from a “buy” rating to a “hold” rating in a research report on Tuesday, January 17th. Finally, Deutsche Bank Aktiengesellschaft increased their price objective on Cheesecake Factory from $31.00 to $36.00 and gave the stock a “hold” rating in a research report on Wednesday, November 2nd. Three analysts have rated the stock with a sell rating, seven have given a hold rating and two have given a buy rating to the stock. Based on data from MarketBeat.com, Cheesecake Factory presently has a consensus rating of “Hold” and a consensus price target of $34.40.

Cheesecake Factory Trading Up 4.9 %

Shares of CAKE stock opened at $40.93 on Tuesday. Cheesecake Factory has a fifty-two week low of $26.05 and a fifty-two week high of $44.65. The stock has a market cap of $2.10 billion, a P/E ratio of 43.54, a P/E/G ratio of 2.68 and a beta of 1.36. The business has a fifty day simple moving average of $34.77 and a 200-day simple moving average of $32.57. The company has a quick ratio of 0.42, a current ratio of 0.52 and a debt-to-equity ratio of 1.45.

Cheesecake Factory (NASDAQ:CAKE – Get Rating) last announced its quarterly earnings results on Tuesday, November 1st. The restaurant operator reported ($0.03) earnings per share for the quarter, missing analysts’ consensus estimates of $0.28 by ($0.31). Cheesecake Factory had a net margin of 1.52% and a return on equity of 21.50%. The firm had revenue of $784.00 million during the quarter, compared to analysts’ expectations of $799.33 million. On average, analysts forecast that Cheesecake Factory will post 1.54 earnings per share for the current fiscal year.

Cheesecake Factory Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Monday, November 28th. Investors of record on Tuesday, November 15th were given a dividend of $0.27 per share. This represents a $1.08 dividend on an annualized basis and a yield of 2.64%. The ex-dividend date was Monday, November 14th. Cheesecake Factory’s dividend payout ratio is presently 114.89%.

About Cheesecake Factory

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The Cheesecake Factory Incorporated operates restaurants. It operates two bakeries that produces cheesecakes and other baked products for its restaurants, international licensees, third-party bakery customers, external foodservice operators, retailers, and distributors. As of October 27, 2022, the company owned and operated 312 restaurants in the United States and Canada under brands, including The Cheesecake Factory, North Italia, and a collection of Fox Restaurant Concepts, as well as 29 The Cheesecake Factory restaurants under licensing agreements internationally.