Nordea Investment Management AB Lowers Stake in Texas Roadhouse, Inc. $TXRH

Key Points

• Nordea Investment Management AB has significantly reduced its stake in Texas Roadhouse, Inc. by 80.1%, selling over half a million shares in the second quarter.
• Despite this reduction, Texas Roadhouse's stock is currently valued at around $177.48 per share, marking a 2.7% increase.
• Texas Roadhouse recently announced a quarterly dividend of $0.68, resulting in an annualized yield of 1.5% amidst a reported 12.7% increase in quarterly revenue year-over-year.

Nordea Investment Management AB reduced its holdings in shares of Texas Roadhouse, Inc. (NASDAQ:TXRH - Free Report) by 80.1% in the second quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm owned 144,141 shares of the restaurant operator's stock after selling 580,964 shares during the period. Nordea Investment Management AB owned 0.22% of Texas Roadhouse worth $27,052,000 at the end of the most recent reporting period.

A number of other large investors also recently bought and sold shares of the business. WCM Investment Management LLC lifted its position in Texas Roadhouse by 6.0% during the 2nd quarter. WCM Investment Management LLC now owns 96,155 shares of the restaurant operator's stock valued at $18,052,000 after acquiring an additional 5,435 shares during the period. Cypress Wealth Services LLC purchased a new position in Texas Roadhouse during the 2nd quarter valued at about $204,000. Bayforest Capital Ltd increased its stake in Texas Roadhouse by 40.5% during the 2nd quarter. Bayforest Capital Ltd now owns 2,053 shares of the restaurant operator's stock valued at $385,000 after purchasing an additional 592 shares in the last quarter. Sagespring Wealth Partners LLC bought a new stake in Texas Roadhouse during the 2nd quarter valued at about $217,000. Finally, Boston Trust Walden Corp increased its stake in Texas Roadhouse by 7.8% during the 2nd quarter. Boston Trust Walden Corp now owns 239,056 shares of the restaurant operator's stock valued at $44,802,000 after purchasing an additional 17,316 shares in the last quarter. 94.82% of the stock is owned by hedge funds and other institutional investors.

Texas Roadhouse Stock Up 2.7%

Shares of TXRH stock opened at $177.48 on Friday. The firm has a market capitalization of $11.79 billion, a PE ratio of 27.10, a P/E/G ratio of 2.63 and a beta of 0.82. The company has a 50 day moving average price of $168.98 and a 200-day moving average price of $176.90. Texas Roadhouse, Inc. has a 52 week low of $148.73 and a 52 week high of $206.04.

Texas Roadhouse (NASDAQ:TXRH - Get Free Report) last posted its quarterly earnings data on Thursday, August 7th. The restaurant operator reported $1.86 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $1.95 by ($0.09). The business had revenue of $1.51 billion during the quarter, compared to analysts' expectations of $1.50 billion. Texas Roadhouse had a return on equity of 31.52% and a net margin of 7.72%.The business's quarterly revenue was up 12.7% compared to the same quarter last year. During the same period in the previous year, the business posted $1.79 EPS. Analysts anticipate that Texas Roadhouse, Inc. will post 7.23 earnings per share for the current year.

Texas Roadhouse Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, September 30th. Investors of record on Tuesday, September 2nd were issued a $0.68 dividend. The ex-dividend date of this dividend was Tuesday, September 2nd. This represents a $2.72 dividend on an annualized basis and a dividend yield of 1.5%. Texas Roadhouse's dividend payout ratio (DPR) is presently 41.53%.

Insider Buying and Selling

In related news, CTO Hernan E. Mujica sold 2,189 shares of the firm's stock in a transaction that occurred on Thursday, August 21st. The shares were sold at an average price of $172.40, for a total value of $377,383.60. Following the transaction, the chief technology officer owned 17,553 shares of the company's stock, valued at approximately $3,026,137.20. This trade represents a 11.09% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Also, Director Gregory N. Moore sold 3,000 shares of the firm's stock in a transaction that occurred on Monday, August 18th. The stock was sold at an average price of $173.06, for a total transaction of $519,180.00. Following the completion of the transaction, the director directly owned 34,550 shares in the company, valued at approximately $5,979,223. The trade was a 7.99% decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 8,342 shares of company stock valued at $1,443,704. 0.50% of the stock is owned by insiders.

Wall Street Analysts Forecast Growth

A number of research firms have weighed in on TXRH. JPMorgan Chase & Co. reduced their price objective on shares of Texas Roadhouse from $200.00 to $182.00 and set a "neutral" rating for the company in a research note on Tuesday, October 7th. Melius began coverage on shares of Texas Roadhouse in a research note on Monday, July 14th. They set a "buy" rating and a $235.00 price objective for the company. Barclays raised their price objective on shares of Texas Roadhouse from $175.00 to $189.00 and gave the company an "equal weight" rating in a research note on Thursday, July 17th. Morgan Stanley raised their price objective on shares of Texas Roadhouse from $200.00 to $205.00 and gave the company an "overweight" rating in a research note on Monday, July 14th. Finally, Citigroup raised their price objective on shares of Texas Roadhouse from $180.00 to $197.00 and gave the company a "neutral" rating in a research note on Tuesday, July 29th. One investment analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating and eleven have issued a Hold rating to the company. According to MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus target price of $195.25.

Texas Roadhouse Profile

Texas Roadhouse, Inc, together with its subsidiaries, operates casual dining restaurants in the United States and internationally. It also operates and franchises restaurants under the Texas Roadhouse, Bubba's 33, and Jaggers names in 49 states and ten internationally. Texas Roadhouse, Inc was founded in 1993 and is based in Louisville, Kentucky.

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