CAKE vs. SOFI

Last updated Jun 4, 2026

CAKE (The Cheesecake Factory Incorporated) and SOFI (SoFi Technologies, Inc.) are both stocks. CAKE operates in Restaurants (Consumer Cyclical), while SOFI operates in Credit Services (Financial Services). Over the past 5 years, CAKE returned 5.29%/yr vs -4.34%/yr for SOFI. At a 0.32 correlation, their price movements are largely independent.

Performance

CAKE vs. SOFI - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in The Cheesecake Factory Incorporated (CAKE) and SoFi Technologies, Inc. (SOFI). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, CAKE achieves a 29.78% return, which is significantly higher than SOFI's -36.29% return.

CAKE

• 1D: 0.60%
• 1M: 9.97%
• YTD: 29.78%
• 6M: 35.35%
• 1Y: 17.29%
• 3Y*: 28.43%
• 5Y*: 5.29%
• 10Y*: 4.87%

SOFI

• 1D: -5.98%
• 1M: 2.96%
• YTD: -36.29%
• 6M: -42.62%
• 1Y: 22.11%
• 3Y*: 33.38%
• 5Y*: -4.34%
• 10Y*: —

*Multi-year figures are annualized to reflect compound growth (CAGR)

CAKE vs. SOFI - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020
CAKE The Cheesecake Factory Incorporated	29.78%	8.61%	39.33%	14.01%	-17.02%	5.64%	-1.12%
SOFI SoFi Technologies, Inc.	-36.29%	70.00%	54.77%	115.84%	-70.84%	27.09%	18.70%

Correlation

The correlation between CAKE and SOFI is 0.11, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.11
Correlation (3Y) Calculated over the trailing 3-year period	0.31
Correlation (5Y) Calculated over the trailing 5-year period	0.35
Correlation (All Time) Calculated using the full available price history since Dec 1, 2020	0.32

Over the past year, the correlation between CAKE and SOFI has dropped to 0.11 - well below their long-term average of 0.32, suggesting their price drivers have been diverging.

Fundamentals

EPS CAKE : $2.39 SOFI : $0.44
PE Ratio CAKE : 27.14 SOFI : 37.58
PS Ratio CAKE : 1.20 SOFI : 4.58
Total Revenue (TTM) CAKE : $1.96B SOFI : $4.73B
Gross Profit (TTM) CAKE : $1.54B SOFI : $3.39B
EBITDA (TTM) CAKE : $161.36M SOFI : $1.40B

Return for Risk

CAKE vs. SOFI — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

CAKE

CAKE Risk / Return Rank: 52
CAKE Sharpe Ratio Rank: 58
CAKE Sortino Ratio Rank: 51
CAKE Omega Ratio Rank: 50
CAKE Calmar Ratio Rank: 51
CAKE Martin Ratio Rank: 52

SOFI

SOFI Risk / Return Rank: 51
SOFI Sharpe Ratio Rank: 54
SOFI Sortino Ratio Rank: 51
SOFI Omega Ratio Rank: 49
SOFI Calmar Ratio Rank: 50
SOFI Martin Ratio Rank: 49

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

CAKE vs. SOFI - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for The Cheesecake Factory Incorporated (CAKE) and SoFi Technologies, Inc. (SOFI). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	CAKE	SOFI	Difference
Sharpe ratio Return per unit of total volatility	0.51	0.40	+0.12
Sortino ratio Return per unit of downside risk	0.92	0.90	+0.02
Omega ratio Gain probability vs. loss probability	1.11	1.11	0.00
Calmar ratio Return relative to maximum drawdown	0.48	0.42	+0.06
Martin ratio Return relative to average drawdown	1.05	0.80	+0.25
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

CAKE vs. SOFI - Sharpe Ratio Comparison

The current CAKE Sharpe Ratio is 0.51, which is comparable to the SOFI Sharpe Ratio of 0.40. The chart below compares the historical Sharpe Ratios of CAKE and SOFI, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	CAKE	SOFI	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.51	0.40	+0.12
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.13	-0.07	+0.20
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.11	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.23	0.12	+0.11

Drawdowns

CAKE vs. SOFI - Drawdown Comparison

The maximum CAKE drawdown since its inception was -86.17%, roughly equal to the maximum SOFI drawdown of -83.32%. Use the drawdown chart below to compare losses from any high point for CAKE and SOFI.

Drawdown Indicators

	CAKE	SOFI	Difference
Max Drawdown Largest peak-to-trough decline	-86.17%	-83.32%	-2.85%
Max Drawdown (1Y) Largest decline over 1 year	-36.39%	-52.96%	+16.57%
Max Drawdown (3Y) Largest decline over 3 years	-36.39%	-52.96%	+16.57%
Max Drawdown (5Y) Largest decline over 5 years	-57.36%	-82.00%	+24.64%
Max Drawdown (10Y) Largest decline over 10 years	-75.50%	—	—
Current Drawdown Current decline from peak	-3.41%	-48.21%	+44.80%
Average Drawdown Average peak-to-trough decline	-22.84%	-51.23%	+28.39%
Ulcer Index Depth and duration of drawdowns from previous peaks	16.52%	27.71%	-11.19%

Volatility

CAKE vs. SOFI - Volatility Comparison

The current volatility for The Cheesecake Factory Incorporated (CAKE) is 11.55%, while SoFi Technologies, Inc. (SOFI) has a volatility of 15.51%. This indicates that CAKE experiences smaller price fluctuations and is considered to be less risky than SOFI based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	CAKE	SOFI	Difference
Volatility (1M) Calculated over the trailing 1-month period	11.55%	15.51%	-3.96%
Volatility (6M) Calculated over the trailing 6-month period	25.60%	37.95%	-12.35%
Volatility (1Y) Calculated over the trailing 1-year period	33.95%	56.07%	-22.12%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	40.32%	66.96%	-26.64%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	44.42%	71.97%	-27.55%

Dividends

CAKE vs. SOFI - Dividend Comparison

CAKE's dividend yield for the trailing twelve months is around 1.76%, while SOFI has not paid dividends to shareholders.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
CAKE The Cheesecake Factory Incorporated	1.76%	2.14%	2.28%	3.08%	2.55%	0.00%	0.97%	3.55%	2.85%	2.20%	1.47%	1.58%
SOFI SoFi Technologies, Inc.	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Financials

CAKE vs. SOFI - Profitability Comparison

The chart below illustrates the profitability comparison between The Cheesecake Factory Incorporated and SoFi Technologies, Inc. over time, highlighting three key metrics: Gross Profit Margin, Operating Margin, and Net Profit Margin.

CAKE - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, The Cheesecake Factory Incorporated reported a gross profit of -677.61M and revenue of -867.20M. Therefore, the gross margin over that period was 78.1%.

SOFI - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, SoFi Technologies, Inc. reported a gross profit of 880.26M and revenue of 1.00B. Therefore, the gross margin over that period was 87.9%.

CAKE - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, The Cheesecake Factory Incorporated reported an operating income of -91.92M and revenue of -867.20M, resulting in an operating margin of 10.6%.

SOFI - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, SoFi Technologies, Inc. reported an operating income of 159.46M and revenue of 1.00B, resulting in an operating margin of 15.9%.

CAKE - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, The Cheesecake Factory Incorporated reported a net income of -28.78M and revenue of -867.20M, resulting in a net margin of 3.3%.

SOFI - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, SoFi Technologies, Inc. reported a net income of 166.73M and revenue of 1.00B, resulting in a net margin of 16.7%.

Frequently Asked Questions

Can I hold both CAKE and SOFI in my portfolio?

CAKE and SOFI have a correlation of 0.11, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, CAKE or SOFI?

SOFI has higher volatility (15.51%) compared to CAKE (11.55%). In terms of maximum drawdown, CAKE dropped -86.17% vs SOFI's -83.32%.

Which has better risk-adjusted returns?

CAKE currently has the higher Sharpe Ratio (0.51 vs 0.40), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.