NEW YORK (TheStreet) -- Shares of Cheesecake Factory (CAKE) - Get Report are slumping by 5.77% to $48.99 in pre-market trading on Tuesday morning, following last night's release of the restaurant company's 2015 third quarter financial results, which showed revenue that fell short of analysts' estimates.
The Calabasas Hills, CA-based company reported revenue of $526.7 million for the most recent quarter. Analysts surveyed by Thomson Reuters were looking for revenue of $534.78 million for the September ended period.
However, the company's earnings came in at 59 cents per share for the 2015 third quarter, above the 56 cents per share analysts were expecting.
Comparable restaurant sales for the latest quarter grew by 2.2% when compared to the same quarter last year.
"The consistency of our results continues to be evident as we delivered our 23rd consecutive quarter of positive comparable sales. We successfully lapped our most difficult sales comparison of the year and continued to exceed the performance of the casual dining industry overall during this past quarter," company CEO David Overton said in a statement.
Looking ahead to the fourth quarter, Cheesecake Factor is expecting earnings in a range between 50 cents and 53 cents per share, just below the 54 cents per share analysts are anticipating.
Separately, TheStreet Ratings team rates CHEESECAKE FACTORY INC as a Buy with a ratings score of A-. TheStreet Ratings Team has this to say about their recommendation:
We rate CHEESECAKE FACTORY INC (CAKE) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, reasonable valuation levels, good cash flow from operations and increase in net income. We feel its strengths outweigh the fact that the company shows low profit margins.
You can view the full analysis from the report here: CAKE