The Cheesecake Factory Incorporated (CAKE) vs CAVA Group, Inc. (CAVA)

The Cheesecake Factory Incorporated and CAVA Group, Inc. are both Restaurants companies. CAVA Group, Inc. is the larger, with a market value of $6.3B against $5.3B — 1.2× the size. The Cheesecake Factory Incorporated trades at the lower P/E: 27.3× against 90.5×. CAVA Group, Inc. grew revenue faster over the last twelve months: 26.8% against 5.66%. CAVA Group, Inc. has the higher net margin (4.82% vs 4.61%) and the lower return on invested capital (11.1% vs 14.4%). Across the 20 metrics below, The Cheesecake Factory Incorporated leads on 13 and CAVA Group, Inc. on 7.

Valuation

Metric CAKE CAVA Restaurants median
P/E 27.25 90.49 22.14
P/S 1.26 4.38 0.91
P/B 9.38 7.15 2.01
Price to free cash flow 23.72 122.69 19.41
EV/EBITDA 16.71 38.09 11.48
EV/Sales 1.37 4.28 1.20
Earnings yield 3.67% 1.11% 2.30%
Free cash flow yield 4.22% 0.82% 3.92%

Profitability

Metric CAKE CAVA Restaurants median
Gross margin 16.50% 44.52% 38.77%
Operating margin 5.27% 5.24% 4.30%
Net margin 4.61% 4.82% 1.85%
Free cash flow margin 5.29% 3.57% 3.12%
Return on equity 38.83% 8.32% 3.07%
Return on assets 5.54% 4.75% 1.50%
Return on invested capital 14.39% 11.10% 3.14%

Growth

Metric CAKE CAVA Restaurants median
Revenue growth (TTM) 5.66% 26.79% 5.16%
EPS growth (last fiscal year) (4.38%) (50.91%) —
Revenue growth, 5-year CAGR 13.60% — 10.57%
Net income growth, 5-year CAGR 0.00% — 0.00%

Health

Metric CAKE CAVA Restaurants median
Debt to equity 1.08 0.00 0.10
Current ratio 0.59 2.48 0.81
Net debt to EBITDA 1.40 (3.05) 0.43

Dividend

Metric CAKE CAVA Restaurants median
Dividend yield 3.04% — 2.32%
Payout ratio 0.81 — 0.00

Size

Metric CAKE CAVA Restaurants median
Market cap 5.27b 6.26b 482.66m

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