Texas Roadhouse, Inc. (NASDAQ:TXRH) Given Average Rating of "Moderate Buy" by Brokerages

Key Points

• Texas Roadhouse, Inc. (NASDAQ:TXRH) has received an average rating of "Moderate Buy" from 22 analysts, with a 12-month price target averaging $197.85.
• Recent transactions revealed insider selling, with CTO Hernan E. Mujica and Director Gregory N. Moore reducing their holdings by approximately 11.09% and 7.99%, respectively.
• Texas Roadhouse reported a Q2 earnings miss of $1.86 per share against expectations of $1.95, despite a year-over-year revenue increase of 12.7%.

Shares of Texas Roadhouse, Inc. (NASDAQ:TXRH - Get Free Report) have been assigned an average rating of "Moderate Buy" from the twenty-two analysts that are presently covering the firm, MarketBeat.com reports. Ten investment analysts have rated the stock with a hold recommendation, eleven have assigned a buy recommendation and one has given a strong buy recommendation to the company. The average 12-month price target among brokerages that have updated their coverage on the stock in the last year is $197.85.

Several equities research analysts have weighed in on TXRH shares. Guggenheim increased their price target on Texas Roadhouse from $200.00 to $210.00 and gave the stock a "buy" rating in a research report on Friday, July 11th. Citigroup increased their price target on Texas Roadhouse from $180.00 to $197.00 and gave the stock a "neutral" rating in a research report on Tuesday, July 29th. Melius initiated coverage on Texas Roadhouse in a research report on Monday, July 14th. They set a "buy" rating and a $235.00 price target on the stock. The Goldman Sachs Group increased their target price on shares of Texas Roadhouse from $184.00 to $205.00 and gave the stock a "neutral" rating in a research note on Wednesday, June 4th. Finally, Stifel Nicolaus raised their target price on Texas Roadhouse from $180.00 to $188.00 and gave the company a "hold" rating in a research report on Friday, July 25th.

Insiders Place Their Bets

In other Texas Roadhouse 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 directly owned 17,553 shares of the company's stock, valued at $3,026,137.20. This trade represents a 11.09% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. 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 $5,979,223. This trade represents a 7.99% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 8,342 shares of company stock valued at $1,443,704 in the last ninety days. 0.50% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of TXRH. Alliancebernstein L.P. lifted its stake in Texas Roadhouse by 528.2% in the 2nd quarter. Alliancebernstein L.P. now owns 3,172,738 shares of the restaurant operator's stock worth $594,603,000 after purchasing an additional 2,667,716 shares in the last quarter. Axiom Investors LLC DE lifted its stake in Texas Roadhouse by 3,696.7% in the 1st quarter. Axiom Investors LLC DE now owns 2,173,807 shares of the restaurant operator's stock worth $362,221,000 after purchasing an additional 2,116,552 shares in the last quarter. T. Rowe Price Investment Management Inc. lifted its stake in Texas Roadhouse by 209.3% in the 1st quarter. T. Rowe Price Investment Management Inc. now owns 1,609,608 shares of the restaurant operator's stock worth $268,209,000 after purchasing an additional 1,089,256 shares in the last quarter. AQR Capital Management LLC lifted its stake in Texas Roadhouse by 85.7% in the 2nd quarter. AQR Capital Management LLC now owns 2,343,000 shares of the restaurant operator's stock worth $439,102,000 after purchasing an additional 1,081,413 shares in the last quarter. Finally, Norges Bank purchased a new position in Texas Roadhouse in the 2nd quarter worth approximately $159,007,000. 94.82% of the stock is owned by hedge funds and other institutional investors.

Texas Roadhouse Stock Performance

Shares of TXRH opened at $176.76 on Tuesday. The business's 50-day moving average is $183.96 and its two-hundred day moving average is $178.79. The company has a market capitalization of $11.75 billion, a P/E ratio of 26.99, a P/E/G ratio of 2.42 and a beta of 0.86. Texas Roadhouse has a fifty-two week low of $148.73 and a fifty-two week high of $206.04.

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

Texas Roadhouse Dividend Announcement

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

Texas Roadhouse Company 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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