Cheesecake Factory Inc  (CAKE)     Rate CAKE  -  Discuss CAKE  -  Add to Watch List        

    The stock of The Cheesecake Factory (CAKE) rallied slightly today off of it’s all time lows as the overall market rebounded strongly when presented with decent earnings, a drop in the price of oil, and a better than anticipated GDP number around the corner on Thursday. But Friday and thereafter could continue the downtrend the DOW Industrials has been following the last week.

Being European, it's hard to fully grasp some of the more 'embedded' backgrounds of the US Stock Market. Maybe the analysis of US restaurants is part of that. On paper, Cheesecake Factory shows decent figures, decent P/E and Forward P/E, decent financial results, a stock buyback program and overall, I can't see anything wrong with the stock. Yet, it's not really popular on SocialPicks, which might mean I'm missing something important.

In my view, the chain has what it takes. It offers variety, has a clear target audience, is quaint in its massiveness and seems to attract people in ma

The CheesecakeFactory operates 154 casual dining restaurants including 13 larger andmore upscale Grand Lux Café units. Third party bakery sales includingCostco (COST) account for about 5% of sales.

CAKEis a former high-flying growth stock that was loved by all while ittraded at extremely high valuations. It earned that status by takingEPS from [split adjusted] $0.10 in 1996 to $1.09 in 2005 with higherearnings in each year along the way. During most of that run,Cheesecake

Well, how about shorting cheesecake factory, symbol : CAKE.  The stock has been weakeaned by the overall economic downturn.  Less people going out to eat due to higher gas prices and those chosing to dine out not going upscale restaurants is presumably the theory.  Technically, the stock looks like its going lower.  It recently gapped down on relatively high volume.  The ADX which measures the strength of a trend is very strong.  MACD trending downward.  Overall, I think shorting CAKE may be a decent trade in the coming weeks.  Here is the six month chart: