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Cheesecake Factory (Cheesecake Factory) E10 : $1.62 (As of Mar. 2024)


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What is Cheesecake Factory E10?

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller P/E calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years.

Cheesecake Factory's adjusted earnings per share data for the three months ended in Mar. 2024 was $0.680. Add all the adjusted EPS for the past 10 years together and divide 10 will get our e10, which is $1.62 for the trailing ten years ended in Mar. 2024.

During the past 3 years, the average E10 Growth Rate was -1.00% per year. During the past 5 years, the average E10 Growth Rate was -7.80% per year. During the past 10 years, the average E10 Growth Rate was 1.00% per year. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the E10 growth rate using E10 data.

During the past 13 years, the highest 3-Year average E10 Growth Rate of Cheesecake Factory was 22.30% per year. The lowest was -12.50% per year. And the median was 10.10% per year.

As of today (2024-07-17), Cheesecake Factory's current stock price is $40.015. Cheesecake Factory's E10 for the quarter that ended in Mar. 2024 was $1.62. Cheesecake Factory's Shiller PE Ratio of today is 24.70.

During the past 13 years, the highest Shiller PE Ratio of Cheesecake Factory was 39.61. The lowest was 6.63. And the median was 24.49.


Cheesecake Factory E10 Historical Data

The historical data trend for Cheesecake Factory's E10 can be seen below:

* 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.

* Premium members only.

Cheesecake Factory E10 Chart

Cheesecake Factory Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
E10
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.39 1.63 1.64 1.60 1.58

Cheesecake Factory Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
E10 Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.62 1.66 1.65 1.58 1.62

Competitive Comparison of Cheesecake Factory's E10

For the Restaurants subindustry, Cheesecake Factory's Shiller PE Ratio, along with its competitors' market caps and Shiller PE 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.


Cheesecake Factory's Shiller PE Ratio Distribution in the Restaurants Industry

For the Restaurants industry and Consumer Cyclical sector, Cheesecake Factory's Shiller PE Ratio distribution charts can be found below:

* The bar in red indicates where Cheesecake Factory's Shiller PE Ratio falls into.



Cheesecake Factory E10 Calculation

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller P/E calculation. When we calculate the today's Shiller P/E ratio of a stock, we use today's price divided by E10.

What is E10? How do we calculate E10?

E10 is the average of the inflation adjusted earnings of a company over the past 10 years. Let's use an example to explain.

If we want to calculate the E10 of Wal-Mart (WMT) for Dec. 31, 2010, we need to have the inflation data and the earnings from 2001 through 2010.

We adjusted the earnings of 2001 earnings data with the total inflation from 2001 through 2010 to the equivalent earnings in 2010. If the total inflation from 2001 to 2010 is 40%, and Wal-Mart earned $1 a share in 2001, then the 2001's equivalent earnings in 2010 is $1.4 a share. If Wal-Mart earns $1 again in 2002, and the total inflation from 2002 through 2010 is 35%, then the equivalent 2002 earnings in 2010 is $1.35. So on and so forth, you get the equivalent earnings of past 10 years. Then you add them together and divided the sum by 10 to get E10.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.

For example, Cheesecake Factory's adjusted earnings per share data for the three months ended in Mar. 2024 was:

Adj_EPS= Earnings per Share (Diluted) /CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=0.68/131.7762*131.7762
=0.680

Current CPI (Mar. 2024) = 131.7762.

Cheesecake Factory Quarterly Data

per share eps CPI Adj_EPS
201406 0.590 100.560 0.773
201409 0.480 100.428 0.630
201412 0.480 99.070 0.638
201503 0.560 99.621 0.741
201506 0.690 100.684 0.903
201509 0.520 100.392 0.683
201512 0.540 99.792 0.713
201603 0.680 100.470 0.892
201606 0.780 101.688 1.011
201609 0.700 101.861 0.906
201612 0.660 101.863 0.854
201703 0.710 102.862 0.910
201706 0.780 103.349 0.995
201709 0.560 104.136 0.709
201712 1.240 104.011 1.571
201803 0.560 105.290 0.701
201806 0.610 106.317 0.756
201809 0.610 106.507 0.755
201812 0.350 105.998 0.435
201903 0.600 107.251 0.737
201906 0.790 108.070 0.963
201909 0.360 108.329 0.438
201912 1.100 108.420 1.337
202003 -3.110 108.902 -3.763
202006 -1.610 108.767 -1.951
202009 -0.760 109.815 -0.912
202012 -0.850 109.897 -1.019
202103 -0.030 111.754 -0.035
202106 0.370 114.631 0.425
202109 0.640 115.734 0.729
202112 0.040 117.630 0.045
202203 0.450 121.301 0.489
202206 0.500 125.017 0.527
202209 -0.050 125.227 -0.053
202212 -0.070 125.222 -0.074
202303 0.560 127.348 0.579
202306 0.870 128.729 0.891
202309 0.370 129.860 0.375
202312 0.260 129.419 0.265
202403 0.680 131.776 0.680

Add all the adjusted EPS together and divide 10 will get our e10.


Cheesecake Factory  (NAS:CAKE) E10 Explanation

If a company grows much fast than inflation, E10 may underestimate the company's earnings power. Shiller PE Ratio can seem to be too high even the actual P/E is low.

For the Shiller P/E, the earnings of the past 10 years are inflation-adjusted and averaged. The result is used for P/E calculation. Since it looks at the average over the last 10 years, the Shiller P/E is also called PE10.

The Shiller P/E was first used by professor Robert Shiller to measure the valuation of the overall market. The same calculation is applied here to individual companies.

Cheesecake Factory's Shiller P/E Ratio of today is calculated as

Shiller PE Ratio=Share Price/E10
=40.015/1.62
=24.70

* 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.

During the past 13 years, the highest Shiller P/E Ratio of Cheesecake Factory was 39.61. The lowest was 6.63. And the median was 24.49.


Be Aware

Shiller PE Ratio works better for cyclical companies. It gives you a better idea on the company's real earnings power.


Cheesecake Factory E10 Related Terms

Thank you for viewing the detailed overview of Cheesecake Factory's E10 provided by GuruFocus.com. Please click on the following links to see related term pages.


Cheesecake Factory (Cheesecake Factory) Business Description

Traded in Other Exchanges
Address
26901 Malibu Hills Road, Calabasas Hills, CA, USA, 91301
Cheesecake Factory owns and operates restaurants in the United States and Canada under brands that include The Cheesecake Factory, North Italia, and a collection within the Fox Restaurants Concepts subsidiary. 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 Flower Child. Majority of the company's revenue comes from The Cheesecake Factory restaurants segment.
Executives
Ashley W Hanscom officer: PRINCIPAL ACCOUNTING OFFICER 26901 MALIBU HILLS ROAD, CALABASAS HILLS CA 91301
Adam S. Gordon director 26901 MALIBU HILLS ROAD, CALABASAS CA 91301
Edie A Ames director C/O MORTONS RESTATURANT GROUP, INC., 325 LASALLE STREET, SUITE 500, CHICAGO IL 60610
David Bruce Pittaway director 150 E 58TH ST, STE 3700, NEW YORK NY 10155
Khanh Collins director 22825 QUEENSBRIDGE DRIVE, ASHBURN VA 20148
Matthew Eliot Clark officer: VP, Strategic Planning 26901 MALIBU HILLS ROAD, CALABASAS HILLS CA 91301
David M Gordon officer: President C/O THE CHEESECAKE FACTORY INCORPORATED, 26901 MALIBU HILLS DRIVE, CALABASAS HILLS CA 91301
Cheryl Slomann officer: Principal Accounting Officer 6450 VIA REAL, CURPINTERIA CA 93013
David Overton director, officer: Chairman and C.E.O.
Keith Carango officer: President (Subsidiary) 26901 MALIBU HILLS ROAD, CALABASAS HILLS CA 91301
Paul D. Ginsberg director C/O ROARK CAPITAL, 1180 PEACHTREE STREET NE, SUITE 2500, ATLANTA GA 30309
Rc Cake Holdings Llc 10 percent owner 1180 PEACHTREE STREET NE, SUITE 2500, ATLANTA GA 30309
Janice L. Meyer director 26901 MALIBU HILLS ROAD, CALABASAS CA 91301
Laurence B Mindel director IL FORNAIO AMERICA CORP, 770 TAMAPAIS DR STE 400, CORTE MADERA CA 94925
Alexander L Cappello director C/O THE CHEESECAKE FACTORY INC, 26901 MALIBU HILLS ROAD, CALABASAS HILLS CA 91301