Look for Cheesecake Factory to be among the success stories when the recession ends

Filed under: Cheesecake Factory (CAKE), Stocks to Buy

The U.S.'s 'frugal consumer' era will lead to many casualties in the restaurant chain sector, but The Cheesecake Factory Incorporated (NASDAQ: CAKE) won't be one, which is why I'm reiterating my Buy rating for CAKE, first recommended on June 25, 2009 at a price of $16.30.

Don't expect anything spectacular from CAKE in FY2009 -- flattish to slightly higher same store sales, and only a slight increase in revenue, with most likely a net zero increase in restaurants operated. The aforementioned doesn't sound like much, but at the retail/restaurant chain end of the commerce spectrum, survival is the name of the game under these economic conditions, and Cheesecake Factory will.

Continue reading Look for Cheesecake Factory to be among the success stories when the recession ends

Look for Cheesecake Factory to be among the success stories when the recession ends originally appeared on BloggingStocks on Wed, 14 Oct 2009 18:00:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments

Full story at http://www.pheedcontent.com/click.phdo?i=d07ebb423e534ee470b49ad011043ea8