With the current price of $28.42, the stock of The Cheesecake Factory Incorporated (NASDAQ:CAKE) concluded the trading session seeing its price rise by 1.33 points or at a gain of 4.91% compared to its previous day’s closing price of $27.09. About 1.67 million shares of the stock changed hands on the day. The trading volume of CAKE’s shares during the past session compares with the stock’s average daily trading volume of 3.106 million shares. On the other hand, a float of 42.23 million shares and a weekly performance of 10.28% make the stock worth to keep an eye on. Analysts are in agreement on an annual target price of $25.33 for CAKE’s share which suggests that the stock, price of which is currently buoying between $27.25 and $28.59, is prone to a loss of -10.87%. But still, there are some analysts recommending a price below the agreed average price and one of them has given a target price of $18 to the stock.
The latest data released on August 14, 2020 shows that the short float in the The Cheesecake Factory Incorporated’s stock is trending upward as short interest in CAKE shares climbed up leaving more number of shares available to public for trading. Number of shares shorted in the CAKE is currently comprised of 32.93% of the float as the volume of shorted shares inclined by 375189 shares. Over the past two weeks, stock’s short interests weakened as number of shorted shares increased to 14.283 million shares from the previous figure of 13.908 million shares. Stock’s average intraday volume is now standing at 1.411 million shares which indicate that the days to cover the shorts are nearly 10.121368.
After concluding the day’s trading, price of The Cheesecake Factory Incorporated (NASDAQ:CAKE) is up $2.65 over the week and it is $2.98 above 20-day average price. The highest price touched by the stock on the day was lower than 52-week high price of $45.24 that was attained on 11/06/19.
The stock has traded as low as $14.52 in past 52-week, and its current price is 95.73% above from that 52-week low price mark recorded on 03/17/20, which is an indicator that could increase the investors’ motivation level in taking advantage of price surge the stock has currently been going through. Stock currently has its beta at 1.44. A beta value of more than 1 represents higher volatility of a stock than that of the market and for the reason investors closely watch the behavior of such stock.
Current indicators are pointing at 66.77 as 14-days RSI of The Cheesecake Factory Incorporated. This means that the CAKE is currently in a neutral territory and its share’s price movement is likely to be steady for a while. Similarly, the stochastic oscillator is indicating a momentum of 81.48%, implying stock’s share price is buoying in an oversold state.
Technical chart is showing 1st resistance point of $28.92 for the CAKE’s share while placing it at a 2nd resistance point of $29.43 to be settled at. But if the stock takes a plunge lower than the 1st support price of $27.58 then its market would become weakened. And that would likely sliding the stock price down to 2nd support price level of $26.75.
MACD oscillator is showing a reading of 0.98 for the stock which means that it is currently in the green zone. Any movement above or below the zero level of the indicator has always being noticed by the investors as it makes them compare the stock’s average measure in short-term with that in the long-term. An MACD evaluation of more than zero means that stock has a stronger short-term average than long-term average, which implies that stock’s price is likely to climb up. But an MACD below zero indicates weaker short-term average compare to the long-term average.
BofA Securities lowered its recommendation for CAKE stock from Neutral to Underperform in a review note dated August 03. The stock gets a Neutral recommendation from analysts at Credit Suisse who started covering the stock with a target price of $24 in their July 09 note to investors.Gordon Haskettanalysts downgraded their recommendation from Buy to Hold on July 01, while assigning a price target of $32 to $27.
The average rating of 2.91 for CAKE is placing the stock in bullish category at the moment. In a poll by Reuters including 23 analysts in it who kept tracking the The Cheesecake Factory Incorporated, 14 rated the stock as hold. Others were in different opinions for the CAKE. Out of remaining 9 analysts, 4 rated the stock as a buy or strong buy. 5 were in favor of a sell rating for the stock while advising investors to shun the stock if they already have any or otherwise not to buy it.
A quick look at other side of the picture shows that CAKE stock is ahead of earnings per share estimates with a forward price-to-earnings ratio of 23.24. Stock’s current price-to-sales (P/S) ratio of 0 is at the rear of industry’s average P/S ratio of 47.8.
Projection by Zacks Consensus Estimates suggests that The Cheesecake Factory Incorporated (NASDAQ:CAKE) will see its current-quarter revenues drop by nearly -99.84% to be decreased to about $486 million. Full-year revenue of the company is however forecasted to be fell to nearly -19.76% to bring $1990 million in revenues against last year revenue of $2480 million. Earnings, after adjustments, are likely to fell by -172.88% to post an EPS of -$0.43, while estimate for company’s full year earnings is -$1.17 per share with a growth rate of -144.83%.