The Cheesecake Factory, Inc. CAKE
In order to most effectively communicate our highest conviction ideas to clients and maximize overall performance, we have combined the positions of the Spinoff and Special Situations Model Portfolios, creating the newly unified Catalyst Portfolio. We are also exiting a series of names, details on the full article.
04 June 2020
While so many restaurants have been impacted by the ongoing pandemic with little end in sight, it's reassuring to see one with a plan in place to start reopening in a rational way. As pandemic safety restrictions begin to ease, The Cheesecake Factory, Inc. (CAKE) already knows how it will restart its dine-in operations. Additionally, it has measures in place to maintain liquidity before its dine-in revenue is rejuvenated. This provides confidence in the management and the company moving forward.
15 May 2020
The ongoing situation with COVID-19 (coronavirus) has impacted the markets and caused a broad sell-off, including on many of our Model Portfolio names. We have reevaluated each stock in the MP with regard to how the outbreak impacts our expectations and target prices, and provide those updates inside.
16 March 2020
As markets are moving, The Edge will be increasing positions in the Model Portfolio. We believe The Cheesecake Factory, Inc. (CAKE) and Corteva, Inc. (CTVA) are fundamentally undervalued and the recent market movement allows for lower levels to average into the stocks.
12 March 2020
The Cheesecake Factory, Inc. (CAKE), the upscale dining chain known for its large menu and strong brand value, is an interesting situation the market loves yet continues to underperform peers. However, with the recent addition to its Board of Directors of a sell-side restaurant research analyst, we believe activism is beginning to influence the company. JANA Partners has also been exploring the sale of peer Bloomin' Brands. On our valuation and potential activism, it's a good time to enter CAKE.
05 March 2020