Texas Roadhouse, Inc. (NASDAQ:TXRH) Receives Consensus Rating of “Hold” from Analysts

Texas Roadhouse, Inc. (NASDAQ:TXRH) has received an average rating of “Hold” from the twenty-four brokerages that are covering the company, Marketbeat.com reports. Fourteen investment analysts have rated the stock with a hold rating, nine have given a buy rating and one has given a strong buy rating to the company. The average 1 year target price among brokers that have issued ratings on the stock in the last year is $193.9048.

A number of equities analysts recently issued reports on TXRH shares. KeyCorp reaffirmed a “sector weight” rating on shares of Texas Roadhouse in a report on Friday, February 20th. Morgan Stanley reaffirmed an “overweight” rating and issued a $201.00 price target on shares of Texas Roadhouse in a report on Friday. Royal Bank Of Canada upped their price target on Texas Roadhouse from $175.00 to $180.00 and gave the company a “sector perform” rating in a report on Friday. Citigroup lowered their price target on Texas Roadhouse from $176.00 to $174.00 and set a “neutral” rating for the company in a report on Friday. Finally, Mizuho upped their price target on Texas Roadhouse from $190.00 to $200.00 and gave the company an “outperform” rating in a report on Thursday, February 12th.

Key Headlines Impacting Texas Roadhouse

Here are the key news stories impacting Texas Roadhouse this week:

• Positive Sentiment: Texas Roadhouse reported first-quarter EPS of $1.87, ahead of consensus estimates, while revenue rose 10.5% year over year to $1.63 billion, signaling continued demand for its restaurants.
• Positive Sentiment: The company raised its quarterly dividend to $0.75 per share, reinforcing management’s confidence in cash generation and giving income-focused investors a larger payout.
• Positive Sentiment: Several market headlines pointed to the stock surging after the earnings release, suggesting investors viewed the quarter as better than expected overall, despite a slight revenue miss versus estimates.
• Neutral Sentiment: Analysts and commentary were mixed on the report: earnings were strong, but revenue came in slightly below expectations, keeping some caution around how much upside is left after the post-earnings move.
• Neutral Sentiment: A Seeking Alpha piece on May 8 upgraded the stock, but described upside potential as only moderate, implying the shares may be fairly valued after the recent run-up. Texas Roadhouse: It Hasn’t Bottomed Out Yet, But Upside Potential Is Medium Well (Rating Upgrade)

Insider Transactions at Texas Roadhouse

In related news, Director Donna E. Epps sold 850 shares of the company’s stock in a transaction that occurred on Friday, March 6th. The stock was sold at an average price of $172.45, for a total value of $146,582.50. Following the completion of the transaction, the director directly owned 4,892 shares of the company’s stock, valued at $843,625.40. This represents a 14.80% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Gregory N. Moore sold 1,700 shares of the company’s stock in a transaction that occurred on Friday, March 6th. The shares were sold at an average price of $171.59, for a total value of $291,703.00. The SEC filing for this sale provides additional information. Insiders sold a total of 12,988 shares of company stock valued at $2,218,144 over the last three months. 0.50% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Texas Roadhouse

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Oak Thistle LLC purchased a new stake in Texas Roadhouse in the fourth quarter valued at approximately $1,553,000. Capital World Investors lifted its stake in Texas Roadhouse by 580.2% in the third quarter. Capital World Investors now owns 2,236,885 shares of the restaurant operator’s stock valued at $371,658,000 after buying an additional 1,908,033 shares during the last quarter. Caprock Group LLC purchased a new stake in Texas Roadhouse in the third quarter valued at approximately $1,070,000. Bfsg LLC lifted its stake in Texas Roadhouse by 111.1% in the third quarter. Bfsg LLC now owns 29,798 shares of the restaurant operator’s stock valued at $4,951,000 after buying an additional 15,682 shares during the last quarter. Finally, Sequoia Financial Advisors LLC lifted its stake in Texas Roadhouse by 101.0% in the third quarter. Sequoia Financial Advisors LLC now owns 5,377 shares of the restaurant operator’s stock valued at $893,000 after buying an additional 2,702 shares during the last quarter. Hedge funds and other institutional investors own 94.82% of the company’s stock.

Texas Roadhouse Stock Performance

Shares of Texas Roadhouse stock opened at $177.30 on Friday. Texas Roadhouse has a one year low of $153.82 and a one year high of $199.99. The company has a market cap of $11.69 billion, a PE ratio of 28.32, a P/E/G ratio of 2.03 and a beta of 0.77. The business has a 50-day simple moving average of $166.81 and a 200-day simple moving average of $172.64.

Texas Roadhouse (NASDAQ:TXRH) last announced its quarterly earnings data on Thursday, May 7th. The restaurant operator reported $1.87 EPS for the quarter, topping analysts’ consensus estimates of $1.80 by $0.07. The business had revenue of $1.63 billion during the quarter, compared to the consensus estimate of $1.64 billion. Texas Roadhouse had a return on equity of 28.17% and a net margin of 6.85%.The business’s revenue for the quarter was up 10.5% on a year-over-year basis. During the same period in the previous year, the company posted $1.70 earnings per share. On average, sell-side analysts predict that Texas Roadhouse will post 6.33 earnings per share for the current fiscal year.

Texas Roadhouse Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, June 30th. Investors of record on Tuesday, June 2nd will be issued a $0.75 dividend. This represents a $3.00 dividend on an annualized basis and a yield of 1.7%. The ex-dividend date of this dividend is Tuesday, June 2nd. Texas Roadhouse’s dividend payout ratio is 47.92%.

About Texas Roadhouse

Texas Roadhouse, Inc is a casual dining restaurant chain specializing in hand?cut steaks, fall?off?the?bone ribs, chicken, seafood and house specialties. Each restaurant features a Western?themed décor, open kitchens and a signature line dance presentation of fresh, made?from?scratch sides and breads. The company emphasizes an energetic dining experience, focusing on hospitality, value and a family?friendly environment.

The concept was created in 1993 by founder Kent Taylor, who sought to combine high?quality steaks with an approachable, community?oriented atmosphere.