The Cheesecake FactoryFRA:CF2 -0.26%72 Current Ratio is 0.59 as of Mar. 2026, which is 11% above its 10-year median of 0.53. GuruFocus rates FRA:CF2 with a GF Score™ of 72/100 and a GF Value™ of €42.18 (Significantly Overvalued). The stock has 7 warning signs investors should review. Among 365 Restaurants companies, The Cheesecake Factory ranks worse than 73.42% on this metric.
The current ratio is a liquidity ratio that measures a company's ability to pay short-term obligations. It is calculated as a company's Total Current Assets divides by its Total Current Liabilities. The Cheesecake Factory's current ratio for the quarter that ended in Mar. 2026 was 0.59.
The Cheesecake Factory has a current ratio of 0.59. It indicates that the company may have difficulty meeting its current obligations. Low values, however, do not indicate a critical problem. If The Cheesecake Factory has good long-term prospects, it may be able to borrow against those prospects to meet current obligations.
The historical rank and industry rank for The Cheesecake Factory's Current Ratio or its related term are showing as below:
FRA:CF2'
s Current Ratio Range Over the Past 10 Years
Min: 0.35 Med: 0.53 Max: 1.04
Current: 0.59
During the past 13 years, The Cheesecake Factory's highest Current Ratio was 1.04. The lowest was 0.35. And the median was 0.53.
FRA:CF2's Current Ratio is ranked worse than 73.42% of 365
companies
in the Restaurants industry
Industry Median: 0.99
vs FRA:CF2: 0.59
The Cheesecake Factory (FRA:CF2) Current Ratio Explanation
The current ratio can give a sense of the efficiency of a company's operating cycle or its ability to turn its product into cash. Companies that have trouble getting paid on their receivables or have long inventory turnover can run into liquidity problems because they are unable to alleviate their obligations. Because business operations differ in each industry, it is always more useful to compare companies within the same industry.
Acceptable current ratios vary from industry to industry and are generally between 1 and 3 for healthy businesses.
The higher the current ratio, the more capable the company is of paying its obligations. A ratio under 1 suggests that the company would be unable to pay off its obligations if they came due at that point. While this shows the company is not in good financial health, it does not necessarily mean that it will go bankrupt - as there are many ways to access financing - but it is definitely not a good sign.
If all other things were equal, a creditor, who is expecting to be paid in the next 12 months, would consider a high current ratio to be better than a low current ratio, because a high current ratio means that the company is more likely to meet its liabilities which fall due in the next 12 months.
The Cheesecake Factory Current Ratio Related Terms
The Cheesecake Factory Current Ratio Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
FRA:CF2 vs SHAK, WING, ARCO: Current Ratio Comparison
For the Restaurants subindustry, The Cheesecake Factory's Current Ratio, along with its competitors' market caps and Current Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
The Cheesecake Factory Current Ratio vs Restaurants Industry
For the Restaurants industry and Consumer Cyclical sector, The Cheesecake Factory's Current Ratio distribution charts can be found below:
* The bar in red indicates where The Cheesecake Factory's Current Ratio falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
The Cheesecake Factory (FRA:CF2) has a Current Ratio of 0.59 as of Mar. 2026. This is 11% above median its historical median of 0.53. Over the past decade, The Cheesecake Factory's Current Ratio has ranged from 0.35 to 1.04. According to the industry distribution chart, The Cheesecake Factory ranks #268 out of 365 companies in the Restaurants industry, placing it in the top 73.4%.
Is The Cheesecake Factory's Current Ratio too high?
The Cheesecake Factory's current Current Ratio of 0.59 is 11% above median its 10-year median of 0.53. Over the past 10 years, this metric has ranged from a low of 0.35 to a high of 1.04. The Restaurants industry median Current Ratio is 0.99. The Cheesecake Factory's value of 0.59 is 40.4% below this industry median. Based on the distribution chart, The Cheesecake Factory ranks #268 out of 365 companies in the Restaurants industry, which is below the industry midpoint. Overall, The Cheesecake Factory has a GF Score™ of 72/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does The Cheesecake Factory's Current Ratio compare to SHAK and WING?
According to the Restaurants industry distribution chart, The Cheesecake Factory ranks #268 out of 365 companies for Current Ratio. This places The Cheesecake Factory in the lower half of its industry. The industry median Current Ratio is 0.99. The Cheesecake Factory's value of 0.59 is 40.4% below this benchmark. Historically, The Cheesecake Factory's own Current Ratio has ranged from 0.35 to 1.04 over the past decade. While the company's 10-year median is 0.53 vs. the industry median of 0.99, The Cheesecake Factory has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Current Ratio for a Restaurants company?
The median Current Ratio among Restaurants companies is 0.99, based on 365 companies in the industry. Companies in the top quartile (top 25%) have a Current Ratio significantly above this median, while those in the bottom quartile fall well below. However, Current Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. The Cheesecake Factory's current Current Ratio of 0.59 is 40.4% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Current Ratio mean?
A high Current Ratio can signal that a stock is expensive relative to its fundamentals. For the Restaurants industry, the median Current Ratio is 0.99 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. The Cheesecake Factory's current Current Ratio is 0.59, which is 11% above median its own 10-year median of 0.53. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is The Cheesecake Factory stock overvalued right now?
Based on GuruFocus' analysis, The Cheesecake Factory (FRA:CF2) is currently considered Significantly Overvalued. The stock's GF Value™ is €42.18, compared to a current price of €67.98 — trading 61.2% above its estimated fair value. The current Current Ratio is 0.59, which is 11% above median its 10-year median of 0.53 and 40.4% below the Restaurants industry median of 0.99. The Cheesecake Factory's overall GF Score™ is 72/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Current Ratio calculated?
Current Ratio is calculated from a company's financial statements. For The Cheesecake Factory (FRA:CF2), the current Current Ratio is 0.59 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is The Cheesecake Factory (FRA:CF2) Overvalued in 2026?
Based on GuruFocus' analysis, The Cheesecake Factory stock appears to be overvalued.
The current stock price of €67.98 is trading 61.2% above its estimated GF Value™ of €42.18.
GuruFocus considers The Cheesecake Factory to be Significantly Overvalued.
Key valuation signals for FRA:CF2:
Current Ratio: 0.59 (11% above median its 10-year median of 0.53)
GF Value™: €42.18 vs. price of €67.98 (61.2% above fair value)
Industry Position: 40.4% below the Restaurants median (#268 of 365)
No single metric tells the full story. See the FRA:CF2 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
The Cheesecake Factory Inc is a restaurant company that owns and operates multiple casual dining brands across the United States and Canada under brands that include The Cheesecake Factory, North Italia, Flower Child, and additional brands within its Fox Restaurant Concepts portfolio. The company's international presence, in the Middle East and Mexico, is through licensing agreements with third parties. The company also has a bakery division that produces cheesecakes and other baked products for sale in its restaurants, international licensees, and third-party bakery customers. The company has four operating business segments: The Cheesecake Factory restaurants, North Italia, Other FRC, and Other. The majority of the company's revenue comes from the Cheesecake Factory restaurants segment.
72GF Score
Get the complete analysis for FRA:CF2
Current Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
FRA:CF2 has been successfully added to your 
