We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Cheesecake Factory (CAKE) Posts Q2 Business Update, Comps Rise
Read MoreHide Full Article
The Cheesecake Factory Incorporated (CAKE - Free Report) recently announced a business update for the fiscal second quarter to date through May 31, 2021. Following the announcement, shares of the company moved up 1.6% during trading hours on Jun 2.
Comparable Sales
For fiscal second quarter to date (through May 31, 2021), the company’s comps surged 196% on a year-over-year basis. The same increased 7% from 2019 levels. The upside was primarily driven by solid off-premise sales mix.
Weekly average sales for the quarter-to-date period (through May 31) amounted to approximately $226,500 or $11.8 million on an annual basis.
Other Updates
As of May 31, the company announced that nearly all of its restaurants (across its concepts) were operating, while one Cheesecake Factory location was operating in an off-premise only model.
Majority of the restaurants had reopened dining rooms with limited capacity in accordance with local mandates and social distancing protocols. The company stated that the restaurants were operating at approximately 70% indoor capacity and approximately 75% total on-premise capacity (including patios).
Going forward, the company expects to reopen two of its closed concepts over the next week.
Price Performance
Image Source: Zacks Investment Research
Coming to price performance, shares of the company has surged 56.9% so far this year compared with the industry’s 9.3% growth. Notably, the company has been benefitting from its off-premise business model. Notably, sales at off premise business model have exceeded pre-pandemic levels. The company is also witnessing incremental sales from its delivery service. This along with focus on initiatives such as contactless menu, operational changes and other technology upgrades bode well. Meanwhile, earnings estimates for 2021 have moved up in the past 60 days, depicting analysts’ optimism regarding the stock’s growth potential.
Some other top-ranked stocks in the same space include, Dine Brands Global, Inc. (DIN - Free Report) , Texas Roadhouse, Inc. (TXRH - Free Report) and Chuy's Holdings, Inc. (CHUY - Free Report) . Dine Brands and Texas Roadhouse sport a Zacks Rank #1, while Chuy's Holdings carries a Zacks Rank #2.
Dine Brands 2021 earnings are expected to surge 268.7%.
Texas Roadhouse has a three-five year earnings per share growth rate of 10%.
Chuy's Holdings has a trailing four-quarter earnings surprise of 127.6%, on average.
Infrastructure Stock Boom to Sweep America
A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made.
The only question is “Will you get into the right stocks early when their growth potential is greatest?”
Zacks has released a Special Report to help you do just that, and today it’s free. Discover 7 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.
Image: Shutterstock
Cheesecake Factory (CAKE) Posts Q2 Business Update, Comps Rise
The Cheesecake Factory Incorporated (CAKE - Free Report) recently announced a business update for the fiscal second quarter to date through May 31, 2021. Following the announcement, shares of the company moved up 1.6% during trading hours on Jun 2.
Comparable Sales
For fiscal second quarter to date (through May 31, 2021), the company’s comps surged 196% on a year-over-year basis. The same increased 7% from 2019 levels. The upside was primarily driven by solid off-premise sales mix.
Weekly average sales for the quarter-to-date period (through May 31) amounted to approximately $226,500 or $11.8 million on an annual basis.
Other Updates
As of May 31, the company announced that nearly all of its restaurants (across its concepts) were operating, while one Cheesecake Factory location was operating in an off-premise only model.
Majority of the restaurants had reopened dining rooms with limited capacity in accordance with local mandates and social distancing protocols. The company stated that the restaurants were operating at approximately 70% indoor capacity and approximately 75% total on-premise capacity (including patios).
Going forward, the company expects to reopen two of its closed concepts over the next week.
Price Performance
Coming to price performance, shares of the company has surged 56.9% so far this year compared with the industry’s 9.3% growth. Notably, the company has been benefitting from its off-premise business model. Notably, sales at off premise business model have exceeded pre-pandemic levels. The company is also witnessing incremental sales from its delivery service. This along with focus on initiatives such as contactless menu, operational changes and other technology upgrades bode well. Meanwhile, earnings estimates for 2021 have moved up in the past 60 days, depicting analysts’ optimism regarding the stock’s growth potential.
Zacks Rank & Other Key Picks
Cheesecake Factory carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Some other top-ranked stocks in the same space include, Dine Brands Global, Inc. (DIN - Free Report) , Texas Roadhouse, Inc. (TXRH - Free Report) and Chuy's Holdings, Inc. (CHUY - Free Report) . Dine Brands and Texas Roadhouse sport a Zacks Rank #1, while Chuy's Holdings carries a Zacks Rank #2.
Dine Brands 2021 earnings are expected to surge 268.7%.
Texas Roadhouse has a three-five year earnings per share growth rate of 10%.
Chuy's Holdings has a trailing four-quarter earnings surprise of 127.6%, on average.
Infrastructure Stock Boom to Sweep America
A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made.
The only question is “Will you get into the right stocks early when their growth potential is greatest?”
Zacks has released a Special Report to help you do just that, and today it’s free. Discover 7 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.
Download FREE: How to Profit from Trillions on Spending for Infrastructure >>