Financial Education on $CAKE (Nov 4, 2026)
Cheesecake Factory is a top stock to buy and hold for years: dividends, a 10+ year growth runway from its restaurant concepts, and latest results with 14% income growth, operating income up 101% and EPS up 80% despite weak consumer confidence, high gas prices and a weak restaurant sector where McDonald's revenue grew 1% and Chipotle was unimpressive; hold through short-term sales or inflation scares.
Jump to any passage
Oh my God, the cake factory. Today it has risen to about $17,000. A little less than 5%.
The third stock out of these three is the Cheesecake Factory. Yes, the Cheesecake Factory. It's very easy to become a shareholder of this company, right? This stock is now worth $242,000.
I mean, you know why it's so easy to hold onto the cheesecake stock? It pays you dividends, so it keeps you happy, right? They bring great results and at the end of the day, they have over 10 years of growth between North Italian and Flowerchild, along with their other Fox restaurant concepts.
And so it's easy when you can count on a company to be a growth giant for the next 10+ years. And think about the numbers they're showing, right? Think about the numbers they show.
A+ grade on the latest income statement, right? 14% increase in income. They have kept their expenses under control. Operating income increased by 101%. Net income increased by 92%.
EPS has increased by 80%, right? Think about the numbers they are showing in the environment we are in. We are in such an environment now. Consumer confidence is very bad. Investor confidence is very bad, right?
And at the end of the day, gas prices are too high. Despite all this, Cheesecake has kept their numbers up. And this is a remarkable trend because if you look at other restaurants or food operators, their results are not good right now.
Chipotle's numbers aren't that impressive right now. McDonald's, I was looking at their statistics today. I reviewed their income statements. I posted it in the Income Statement tab of the Private Stock Group.
McDonald's revenue grew by 1%. 1%. Just one, right? The restaurant sector is quite weak overall. And the Cheesecake Factory seems to be saying, we're doing our own thing and we're doing pretty well.
Okay, this is a really strange company. Yes, it's a stock to buy for years and hold on to occasionally during short-term price declines, when they say, "Oh look, restaurant sales weren't as strong as we expected," or inflation, etc. But at the end of the day, this is a top company that you should be investing in.
What this channel has said about $CAKE
Financial Education has 9 calls on this stock; only the adjacent ones are shown.