THE CHEESECAKE FACTORY INCORPORATED vs Texas Roadhouse, Inc., two Restaurants stocks. A side-by-side on valuation, growth, margins, returns, and what each price is betting.
Two casual-dining operators here, both profitable, but priced differently. Cheesecake Factory keeps 4.34% of revenue, returns 35.94% on equity, and pays a 1.34% dividend at 23.55 times earnings. Texas Roadhouse, the steakhouse chain, keeps more at 7% net margin, returns 27.58% on equity, pays 1.38%, and trades at a higher 31.36 times earnings. Their balance sheets diverge sharply: Cheesecake carries 1.37 debt-to-equity while Texas Roadhouse stays nearly debt-free at 0.03. Both generate cash, Cheesecake at a 4.43% free cash flow yield and Texas Roadhouse at 2.77%. Texas Roadhouse is much larger at $13.0B versus Cheesecake's $3.9B.
Comparison updated 2026-07-11.
| Metric | CAKE | TXRH |
|---|---|---|
| Price | $82.74 | $189.48 |
| Market cap | $4.0B | $12.5B |
| Sector | Restaurants | Restaurants |
| Stage | Mature | Mature |
| Implied growth (priced in) | +12.0% | +19.2% |
| P/E | 24.3 | 30.2 |
| P/B | 8.73 | 8.14 |
| P/S | 1.05 | 2.07 |
| EV/EBITDA | 14.6 | 17.6 |
| Revenue growth | +5.1% | +10.4% |
| Operating margin | 5.6% | 9.0% |
| Net margin | 4.3% | 7.0% |
| Return on equity | 35.9% | 27.6% |
| Return on assets | 5.0% | 11.9% |
| Return on invested capital | 16.2% | 26.2% |
| FCF yield | 4.3% | 2.9% |
| Dividend yield | 1.3% | 1.4% |
| Debt / equity | 1.37 | 0.03 |
| Current ratio | 0.59 | 0.46 |
| Altman Z (solvency) | 2.56 | 5.97 |
| Piotroski F (quality) | 8 / 9 | 6 / 9 |
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The stronger value is highlighted per metric where one is strictly better on that single number; it is not an overall verdict on either company. For informational and research purposes only. Not investment advice. Not a recommendation to buy, sell, or hold any security. boothcheck is not a registered investment adviser. Past performance does not guarantee future results.