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For new and old investors, taking full advantage of the stock market and investing with confidence are common goals.
While you may have an investing style you rely on, finding great stocks is made easier with the Zacks Style Scores. These are complementary indicators that rate stocks based on value, growth, and/or momentum characteristics.
Why Investors Should Pay Attention to This Value Stock
Different than growth or momentum investors, value-focused investors are all about finding good stocks at good prices, and discovering which companies are trading under what their true value is before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, and Price/Cash Flow to help pick out the most attractive and discounted stocks.
Cheesecake Factory (CAKE)
As of Oct. 29, 2024, Cheesecake Factory owned and operated 347 restaurants throughout the United States and Canada under brands, including The Cheesecake Factory and North Italia, Flower Child and a collection within the Fox Restaurant Concepts subsidiary.
CAKE sits at a Zacks Rank #2 (Buy), holds a Value Style Score of B, and has a VGM Score of A. Compared to the Retail - Restaurants industry's P/E of 23.9X, shares of Cheesecake Factory are trading at a forward P/E of 14.6X. CAKE also has a PEG Ratio of 1.3, a Price/Cash Flow ratio of 12.2X, and a Price/Sales ratio of 0.8X.
A company's earnings performance is important for value investors as well. For fiscal 2024, three analysts revised their earnings estimate higher in the last 60 days for CAKE, while the Zacks Consensus Estimate has increased $0.01 to $3.31 per share. CAKE also holds an average earnings surprise of 14.1%.
With strong valuation and earnings metrics, a good Zacks Rank, and top-tier Value and VGM Style Scores, investors should strongly think about adding CAKE to their portfolios.
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The Cheesecake Factory Incorporated (CAKE) : Free Stock Analysis Report