NASDAQ
CAKE
Last Price
US $80.44
Valuation
Financial
Performance
Financial risk - Cash flow debt coverage.
The Cheesecake Factory Incorporated cash flow to debt ratio of 8.70% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.
Financial stability - Healthy cash flow growth.
The Cheesecake Factory Incorporated's free cash flow has increased 137.93% from $65.18M last year to $155.08M, signaling increasing performance
Financial risk - Healthy debt to equity ratio.
The Cheesecake Factory Incorporated's debt to equity ratio is 4.66, which means that the company's assets are unhealthy financed, signaling financial risk. READ MORE: A ratio over 0.60 means the company finances its assets with debt, signaling financial risk. If ratio is negative, the company spent its own equity and risks bankruptcy
Financial stability - Healthy debt to equity ratio development.
The Cheesecake Factory Incorporated's debt has decreased relative to shareholder equity from 5.85 last year to 4.66 today, signaling strengthened financials
Financial risk - Net debt/EBITDA.
The Cheesecake Factory Incorporated has a net debt to EBITDA ratio of 11.50x, which exceeds the 3.00x threshold, indicating high leverage and potential financial risk
Financial stability - ICR.
The Cheesecake Factory Incorporated's interest coverage ratio of 18.82 indicates that earnings with good margin can cover interest payments on company debt
Financial risk - Profit margin growth.
The Cheesecake Factory Incorporated's profit margin has decreased (-0.87%) in the last year from 4.38% to 4.34%, signaling decreasing performance
Financial risk - Short term assets vs short term liabilities.
The Cheesecake Factory Incorporated's short-term liabilities of $777.01M exceed its short-term assets of $454.83M, signaling financial risk
Increasing performance - ROA.
The Cheesecake Factory Incorporated's return on assets of 5.01% is higher than the 5.00% threshold, indicating efficient asset utilization
Increasing performance - Absolute return on equity.
The Cheesecake Factory Incorporated's return on equity of 38.34%, is higher than 15.00%, indicating good performance
Increasing performance - Earnings quality.
The Cheesecake Factory Incorporated's operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation
Increasing performance - Earnings stability.
The Cheesecake Factory Incorporated had positive net income in 5.00 out of 5 years, indicating stable and consistent earnings
Increasing performance - Free cash flow.
The Cheesecake Factory Incorporated has positive free cash flow, indicating the company generates cash after capital expenditures
Increasing performance - FCF yield.
The Cheesecake Factory Incorporated has a free cash flow yield of 3.88%, which is above the 2.00% threshold, indicating strong cash generation relative to market value
Decreasing performance - Healthy earnings growth.
The Cheesecake Factory Incorporated's yearly earnings has decreased -5.33% since last year from $156.78M to $148.43M, signaling decreasing performance
Increasing performance - Healthy revenue growth.
The Cheesecake Factory Incorporated's yearly revenue has increased 4.75% since last year from $3.58G to $3.75G, signaling increasing performance
Increasing performance - ROIC.
ROIC 6.27% (Source: FMP key-metrics). In the 5–10% partial-credit band. Score: 1 of 2. This band sits within the typical US weighted-average cost of capital range. Methodology choice can change the conclusion: under FMP's invested-capital definition the company is at or near its cost of capital; under narrower operating-capital definitions the same company may score higher. Invested capital here includes equity, non-current liabilities, and short-term debt. Cash is not subtracted. See methodology.
Increasing performance - 3-year revenue CAGR.
The Cheesecake Factory Incorporated's 3-year revenue CAGR of 4.34% is positive, indicating growing revenue over the past 3 years
Increasing performance - Revenue consistency.
The Cheesecake Factory Incorporated had revenue growth in 5.00 out of 5 years, indicating consistent revenue performance
Increasing performance - ROE consistency.
The Cheesecake Factory Incorporated had positive ROE in 5.00 out of 5 years, indicating consistent and reliable returns on equity
Overvalued - DCF valuation.
The Cheesecake Factory Incorporated has insufficient data to evaluate this check.
Undervalued - Earnings yield.
The Cheesecake Factory Incorporated has an earnings yield of 4.40%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings
Overvalued - EBITDA valuation.
The Cheesecake Factory Incorporated is overvalued relative to its fair value price of 0.00 based on EBITDA multiple model
Overvalued - EV/EBITDA.
The Cheesecake Factory Incorporated has an EV/EBITDA ratio of 25.65x, which exceeds the 20.00x threshold, indicating the stock may be overvalued relative to its operating earnings
Overvalued - PEG ratio value.
The Cheesecake Factory Incorporated has a PEG-ratio over 1 which is considered overvalued
Overvalued - P/B ratio.
The Cheesecake Factory Incorporated has a price-to-book ratio of 8.16x, which exceeds the 5.00x threshold, indicating the stock may be overvalued relative to its book value
Undervalued - P/S ratio.
The Cheesecake Factory Incorporated has a price-to-sales ratio of 0.99x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue
Profit margin
Current Ratio
Capital Returns
38.34%
Return on equity
ROIC: 6.27%
Valuation History
23.4X
Price to Earnings
EV/EBITDA: 19.9X
Cash flow
Profit margin
-
(FY vs FY)
Cash flow Y/Y
-
(FY vs FY)
Fair Value
Market $80.44
-24.71%
Default assumptions
Base valuations use default assumptions. Customize in the Valuator.