California Pizza Kitchen

UNIVERSITY OF OREGON

INVESTMENT GROUP

February 26th, 2010

Consumer Goods

California Pizza Kitchen

BUY

Stock Data

Price (52 weeks)

Symbol/Exchange

Beta

Shares Outstanding

Average daily volume

(3 month average)

Current market cap

9.41 – 17.44

CPKI / NYSE

1.25

24,183,000

400,876

365,975,000

Current Price

Dividend

Dividend Yield

$15.07

$0.00

0%

Valuation (per share)

DCF Analysis

Comparables Analysis

Target Price

Current Price

$15.18

$17.73

$16.46

$15.07

Summary Financials

Revenue

Operating Cash Flow

Net Income

662M 2009A

44.6M 2009A

4.6M 2009A

BUSINESS OVERVIEW

California Pizza Kitchen was founded in 1985 by Rick Rosenfield and Larry Flax in Beverly Hills,

California. Twenty years later, California Pizza kitchen operates over 250 restaurants around the world and is

still run by its initial founders. The largest portion of CPK’s restaurants are still located throughout

California, however they are now located in dozens of states as well as internationally in Asia, North America

and the Middle East. Almost all of California Pizza Kitchens revenues come from company owned full

Covering Analyst: Ari Siegel

Email: Asiegel@uoregon.edu

The University of Oregon Investment Group (UOIG) is a student run organization whose purpose is strictly educational.

Member students are not certified or licensed to give investment advice or analyze securities, nor do they purport to be.

Members of UOIG may have clerked, interned or held various employment positions with firms held in UOIG’s portfolio. In

addition, members of UOIG may attempt to obtain employment positions with firms held in UOIG’s portfolio.

California Pizza Kitchen

university of oregon investment group

http://uoig.uoregon.edu

service restaurants, however about fifty stores have been franchised

bearing the CPK name. Restaurant revenues tend to have very low

margins because of the high cost of goods sold. Fortunately, CPK also

generates...