Today’s Stock: The Cheesecake Factory Incorporated (CAKE)Today’s Stock: The Cheesecake Factory Incorporated (CAKE)

The Cheesecake Factory Incorporated operates and licenses restaurants in the United States and Canada. The company operates bakeries that produce cheesecakes and other baked products for its restaurants, international licensees, third-party bakery customers, external foodservice operators, retailers, and distributors. It operates restaurants under the brands comprising The Cheesecake Factory, North Italia, Flower Child, and Fox Restaurant Concepts.

My Thoughts 💭My Thoughts 💭

Big fan of this restaurant. Not a huge fan of cheesecake but I like the food they serve when I eat there. The only reason I own shares in this company is due to this experiment.. Jeremy is really bullish on this stock due to the potential growth from its new chains they are rolling out.

Let’s take a look at the fundamentals from a bitcoin perspective!

At 96k sats per share ($66,669), and a 1.6k sat per share yearly dividend. It would take 60 years of dividends payments to recover the initial investment of this company.

The company trades at a PE 19 which means investors are paying $19 to access $1 of earnings. Stock i cheap by historical standards!

Let’s review some key fundamentals to determine if this stock is worth spending sats on.

PE:PE:

Expected Growth:Expected Growth:

Revenues and expenses:Revenues and expenses:

Balance Sheet:Balance Sheet:

Dividend:Dividend:

Bitcoin per share:Bitcoin per share:

NoneNone

Ownership breakdown :Ownership breakdown :

Leadership:Leadership:

The fundamentals of this company are blah. The balance sheet is terrible , the growth prospects are meh (well below Bitcoin), paying a dividend when they have a massive debt pile, a slim profit margin, shares are owned by institutional funds,

Paying almost 100k sats for this company would
Be a bad investment for the long term. Even with good growth and a reasonable PE value the cost is too high in sats.

Here is my performance since I started buying shares almost 5 years ago:

Here is the performance according to Simply Wall Street

This company has meh fundamentals. Nothing to get excited about when looking at the data. The restaurant business is ruthlessness with low margins and paying 100k sats for one share that is leveraged with debt and still paying a dividend makes no sense.

No reason to spend sats on this company. I would pass on it.

But

I will continue to add shares of CAKE due to my experiment great place to eat but I doesn’t come close to warranting spending sats to own a piece of this business.