Cheesecake Factory Beats Analyst Estimates on EPS
Cheesecake Factory (NAS: CAKE) reported earnings yesterday. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended April 3 (Q1), Cheesecake Factory met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue grew and GAAP earnings per share expanded.
Gross margins improved, operating margins dropped, and net margins shrank.
Cheesecake Factory booked revenue of $435.8 million. The 20 analysts polled by S&P Capital IQ expected a top line of $440.1 million on the same basis. GAAP reported sales were 4.1% higher than the prior-year quarter's $418.8 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.37. The 22 earnings estimates compiled by S&P Capital IQ forecast $0.36 per share. GAAP EPS of $0.37 for Q1 were 8.8% higher than the prior-year quarter's $0.34 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 42.5%, 30 basis points better than the prior-year quarter. Operating margin was 6.9%, 20 basis points worse than the prior-year quarter. Net margin was 4.8%, 10 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $458 million. On the bottom line, the average EPS estimate is $0.49.
Next year's average estimate for revenue is $1.83 billion. The average EPS estimate is $1.86.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 505 members rating the stock outperform and 136 members rating it underperform. Among 198 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 174 give Cheesecake Factory a green thumbs-up, and 24 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Cheesecake Factory is outperform, with an average price target of $33.06.
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At the time this article was published Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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