Wall Street analysts expect earnings per share (EPS) of $0.91 and revenue of approximately $912.7 million for the quarter ending December 2024.
Analysts predict a 15% increase in EPS from the previous year and a 4% rise in revenues, supported by strategic pricing and strong off-premise sales.
CAKE has exceeded earnings estimates in the last four quarters, with an average surprise of 14.1%.
The Cheesecake Factory Incorporated, listed on NASDAQ:CAKE, is a renowned restaurant company known for its extensive menu and signature cheesecakes. As it gears up to release its quarterly earnings on February 19, 2025, Wall Street analysts have set the bar with expectations for an earnings per share (EPS) of $0.91 and revenue of approximately $912.7 million.
Analysts are optimistic about CAKE’s performance for the quarter ending December 2024. They anticipate an EPS of $0.92, a 15% increase from the previous year, and revenues of $912 million, a 4% rise. This positive outlook is supported by strategic pricing actions and strong off-premise sales, as highlighted by Zacks Investment Research.
In the previous quarter, CAKE reported an adjusted EPS of $0.58, surpassing the Zacks Consensus Estimate by 23.4% and marking a 48.7% year-over-year increase. The company has consistently exceeded estimates in the last four quarters, with an average surprise of 14.1%. This track record has led to an upward revision of the EPS estimate for the upcoming quarter.
CAKE’s financial metrics reveal a price-to-earnings (P/E) ratio of 19.85 and a price-to-sales ratio of 0.77, indicating how the market values its sales. However, the company faces challenges with a high debt-to-equity ratio of 4.76, suggesting significant reliance on debt. Additionally, a current ratio of 0.44 points to potential liquidity issues in meeting short-term obligations.