The Cheesecake Factory (CAKE)
Debt-to-equity ratio
Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
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Long-term debt | US$ in thousands | 452,062 | 471,558 | 471,054 | 470,551 | 470,047 | 469,543 | 469,040 | 468,536 | 468,032 | 467,528 | 467,025 | 466,521 | 466,017 | 465,514 | 465,010 | 280,000 | 280,000 | 376,000 | 376,000 | 380,000 |
Total stockholders’ equity | US$ in thousands | 443,455 | 396,379 | 373,980 | 332,438 | 318,062 | 321,644 | 325,903 | 299,839 | 292,003 | 323,496 | 361,684 | 355,326 | 330,166 | 321,946 | 284,608 | 316,514 | 288,693 | 322,276 | 351,929 | 418,971 |
Debt-to-equity ratio | 1.02 | 1.19 | 1.26 | 1.42 | 1.48 | 1.46 | 1.44 | 1.56 | 1.60 | 1.45 | 1.29 | 1.31 | 1.41 | 1.45 | 1.63 | 0.88 | 0.97 | 1.17 | 1.07 | 0.91 |
December 31, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $452,062K ÷ $443,455K
= 1.02
The debt-to-equity ratio of The Cheesecake Factory has been fluctuating over the past few years, indicating changes in the company's capital structure and financial leverage.
From March 2020 to June 2021, the debt-to-equity ratio steadily increased from 0.91 to 1.63, suggesting that the company took on more debt relative to its equity during this period. This could indicate a higher level of financial risk for the company.
However, starting from June 2021 to December 2024, the ratio fluctuated within a range of 1.02 to 1.60. While the ratio remained above 1, indicating higher debt levels relative to equity, it also suggests a level of stability in the company's capital structure during this time.
Overall, the trend in The Cheesecake Factory's debt-to-equity ratio indicates that the company has been relying more on debt financing compared to equity, which could lead to increased financial risk and interest expense. Investors and analysts may want to monitor these ratios closely to assess the company's financial health and risk levels.
Peer comparison
Dec 31, 2024