Bessemer Group Inc. Boosts Stock Holdings in Texas Roadhouse, Inc. $TXRH

Key Points

• Bessemer Group increased its Texas Roadhouse stake by 253.6% in the fourth quarter, ending with 530,170 shares valued at about $88.0 million.
• Texas Roadhouse reported better-than-expected earnings on May 7, with EPS of $1.87 topping estimates, while revenue rose 10.5% year over year to $1.63 billion.
• The company declared a quarterly dividend of $0.75 per share and continues to draw mixed analyst views, with a consensus rating of Hold despite several recent bullish price-target updates.

Bessemer Group Inc. raised its holdings in shares of Texas Roadhouse, Inc. (NASDAQ:TXRH - Free Report) by 253.6% during the fourth quarter, according to its most recent filing with the SEC. The firm owned 530,170 shares of the restaurant operator's stock after purchasing an additional 380,218 shares during the period. Bessemer Group Inc. owned 0.80% of Texas Roadhouse worth $88,010,000 at the end of the most recent reporting period.

A number of other institutional investors have also added to or reduced their stakes in the business. Thrivent Financial for Lutherans increased its position in Texas Roadhouse by 1,974.3% during the 4th quarter. Thrivent Financial for Lutherans now owns 414,797 shares of the restaurant operator's stock valued at $68,862,000 after purchasing an additional 394,800 shares during the period. Pinnacle Associates Ltd. increased its position in Texas Roadhouse by 75.4% during the 4th quarter. Pinnacle Associates Ltd. now owns 3,416 shares of the restaurant operator's stock valued at $567,000 after purchasing an additional 1,469 shares during the period. Allworth Financial LP increased its position in Texas Roadhouse by 10.8% during the 4th quarter. Allworth Financial LP now owns 1,746 shares of the restaurant operator's stock valued at $290,000 after purchasing an additional 170 shares during the period. Catalyst Financial Partners LLC purchased a new position in Texas Roadhouse during the 4th quarter valued at about $207,000. Finally, First Eagle Investment Management LLC boosted its holdings in shares of Texas Roadhouse by 6.6% in the 4th quarter. First Eagle Investment Management LLC now owns 5,238 shares of the restaurant operator's stock valued at $870,000 after buying an additional 323 shares in the last quarter. Hedge funds and other institutional investors own 94.82% of the company's stock.

Texas Roadhouse Stock Up 0.5%

TXRH stock opened at $177.97 on Friday. The firm has a 50 day moving average of $166.60 and a 200 day moving average of $172.77. The stock has a market capitalization of $11.70 billion, a PE ratio of 28.43, a price-to-earnings-growth ratio of 1.94 and a beta of 0.77. The company has a quick ratio of 0.45, a current ratio of 0.46 and a debt-to-equity ratio of 0.03. Texas Roadhouse, Inc. has a 52 week low of $153.82 and a 52 week high of $199.99.

Texas Roadhouse (NASDAQ:TXRH - Get Free Report) last released its earnings results 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 company had revenue of $1.63 billion during the quarter, compared to analysts' expectations of $1.64 billion. Texas Roadhouse had a net margin of 6.85% and a return on equity of 27.86%. Texas Roadhouse's revenue for the quarter was up 10.5% on a year-over-year basis. During the same period last year, the business earned $1.70 EPS. Sell-side analysts forecast that Texas Roadhouse, Inc. will post 6.38 earnings per share for the current year.

Texas Roadhouse Announces Dividend

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

Insider Buying and Selling

In related news, President Regina A. Tobin sold 4,450 shares of Texas Roadhouse stock in a transaction that occurred on Thursday, March 19th. The shares were sold at an average price of $171.00, for a total value of $760,950.00. Following the completion of the sale, the president directly owned 13,778 shares in the company, valued at $2,356,038. This trade represents a 24.41% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director Curtis Warfield sold 2,640 shares of Texas Roadhouse stock in a transaction that occurred on Monday, May 11th. The stock was sold at an average price of $183.05, for a total transaction of $483,252.00. Following the completion of the sale, the director owned 5,361 shares of the company's stock, valued at $981,331.05. This trade represents a 33.00% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 17,878 shares of company stock worth $3,102,411 over the last ninety days. Company insiders own 0.50% of the company's stock.

More Texas Roadhouse News

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

• Positive Sentiment: RBC Capital and UBS both turned bullish on Texas Roadhouse, adding to a generally supportive analyst backdrop that can boost investor confidence in TXRH. Texas Roadhouse attracts a bull rating from RBC Capital Texas Roadhouse (TXRH) Gets a Buy from UBS
• Positive Sentiment: JPMorgan raised its price target on TXRH to $188 from $182, signaling expectations for additional upside from current levels. Texas Roadhouse had its price target raised by JPMorgan Chase & Co.
• Positive Sentiment: Texas Roadhouse’s latest earnings beat EPS estimates, and revenue grew 10.5% year over year, reinforcing the stock’s fundamental support after the company’s May 7 report. Texas Roadhouse stock and earnings details
• Neutral Sentiment: Analysts continue to view TXRH favorably overall, but the consensus rating remains “Hold,” which may limit how far the stock can run on news alone.
• Neutral Sentiment: The company also announced a quarterly dividend of $0.75 per share, which supports the investment case but is not likely the main driver of trading today.
• Negative Sentiment: Insiders sold shares this week, including director Gregory Moore and insider Lloyd Paul Marshall, which can create a slight headwind if investors read the activity as limited near-term enthusiasm. SEC filing for Lloyd Paul Marshall transaction

Wall Street Analysts Forecast Growth

A number of analysts have recently weighed in on the stock. Barclays lowered their price target on shares of Texas Roadhouse from $188.00 to $175.00 and set an "equal weight" rating on the stock in a report on Friday, May 8th. Stephens raised their price target on shares of Texas Roadhouse from $168.00 to $180.00 and gave the company an "equal weight" rating in a report on Friday, February 20th. Wells Fargo & Company lowered their price target on shares of Texas Roadhouse from $220.00 to $200.00 and set an "overweight" rating on the stock in a report on Thursday, April 16th. Morgan Stanley restated an "overweight" rating and issued a $201.00 price target on shares of Texas Roadhouse in a report on Friday, May 8th. Finally, Mizuho raised their price target on shares of Texas Roadhouse from $190.00 to $200.00 and gave the company an "outperform" rating in a report on Thursday, February 12th. One analyst has rated the stock with a Strong Buy rating, ten have issued a Buy rating and fourteen have given a Hold rating to the company. According to data from MarketBeat, the company has a consensus rating of "Hold" and an average target price of $195.09.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.