Texas Roadhouse, Inc. (NASDAQ:TXRH) Sees Large Increase in Short Interest

Key Points

• Texas Roadhouse experienced a significant increase in short interest, rising 554.8% in July to a total of 2,900,000 shares.
• The company reported $1.70 earnings per share for the recent quarter, falling short of estimates, but achieved a revenue of $1.45 billion.
• Texas Roadhouse declared a quarterly dividend of $0.68 per share, resulting in an annual yield of 1.5%.

Texas Roadhouse, Inc. (NASDAQ:TXRH - Get Free Report) was the recipient of a large growth in short interest in July. As of July 15th, there was short interest totaling 2,900,000 shares, agrowthof554.8% from the June 30th total of 442,900 shares. Currently,4.4% of the company's stock are sold short. Based on an average daily volume of 1,040,000 shares, the short-interest ratio is currently 2.8 days. Based on an average daily volume of 1,040,000 shares, the short-interest ratio is currently 2.8 days. Currently,4.4% of the company's stock are sold short.

Wall Street Analyst Weigh In

Several equities analysts recently commented on TXRH shares. Guggenheim upped their price objective on Texas Roadhouse from $200.00 to $210.00 and gave the company a "buy" rating in a research note on Friday, July 11th. Barclays upped their price objective on Texas Roadhouse from $175.00 to $189.00 and gave the company an "equal weight" rating in a research note on Thursday, July 17th. Melius Research upgraded Texas Roadhouse to a "strong-buy" rating in a research note on Monday, July 14th. Wells Fargo & Company dropped their price objective on Texas Roadhouse from $175.00 to $170.00 and set an "equal weight" rating on the stock in a research note on Tuesday, April 22nd. Finally, Morgan Stanley upped their price objective on Texas Roadhouse from $200.00 to $205.00 and gave the company an "overweight" rating in a research note on Monday, July 14th. Ten investment analysts have rated the stock with a hold rating, eleven have issued a buy rating and one has given a strong buy rating to the company. According to data from MarketBeat, Texas Roadhouse presently has an average rating of "Moderate Buy" and an average price target of $196.85.

Texas Roadhouse Price Performance

TXRH traded up $1.82 during trading on Monday, hitting $184.79. The company had a trading volume of 678,424 shares, compared to its average volume of 779,187. The company has a market cap of $12.26 billion, a PE ratio of 28.52, a P/E/G ratio of 2.58 and a beta of 0.86. The business has a 50-day moving average of $188.96 and a 200-day moving average of $179.16. Texas Roadhouse has a 1-year low of $148.73 and a 1-year high of $206.04.

Texas Roadhouse (NASDAQ:TXRH - Get Free Report) last announced its earnings results on Thursday, May 8th. The restaurant operator reported $1.70 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $1.75 by ($0.05). The company had revenue of $1.45 billion during the quarter, compared to the consensus estimate of $1.44 billion. Texas Roadhouse had a net margin of 7.89% and a return on equity of 32.33%. The business's quarterly revenue was up 11.8% on a year-over-year basis. During the same quarter in the prior year, the company earned $1.69 EPS. Research analysts forecast that Texas Roadhouse will post 7.23 earnings per share for the current year.

Texas Roadhouse Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Tuesday, July 1st. Shareholders of record on Tuesday, June 3rd were given a dividend of $0.68 per share. The ex-dividend date of this dividend was Tuesday, June 3rd. This represents a $2.72 dividend on an annualized basis and a yield of 1.5%. Texas Roadhouse's dividend payout ratio is 41.98%.

Insider Buying and Selling

In other Texas Roadhouse news, Director Donna E. Epps sold 800 shares of the business's stock in a transaction that occurred on Friday, May 23rd. The stock was sold at an average price of $186.52, for a total transaction of $149,216.00. Following the completion of the sale, the director directly owned 4,632 shares of the company's stock, valued at approximately $863,960.64. The trade was a 14.73% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Gregory N. Moore sold 1,000 shares of the business's stock in a transaction that occurred on Monday, May 12th. The stock was sold at an average price of $187.62, for a total value of $187,620.00. Following the completion of the transaction, the director owned 38,050 shares in the company, valued at $7,138,941. The trade was a 2.56% decrease in their position. The disclosure for this sale can be found here. Insiders own 0.50% of the company's stock.

Institutional Investors Weigh In On Texas Roadhouse

A number of institutional investors and hedge funds have recently made changes to their positions in the stock. Brooklyn Investment Group raised its position in shares of Texas Roadhouse by 478.6% during the first quarter. Brooklyn Investment Group now owns 162 shares of the restaurant operator's stock worth $27,000 after acquiring an additional 134 shares during the last quarter. Bogart Wealth LLC bought a new stake in shares of Texas Roadhouse during the 1st quarter valued at $33,000. Coppell Advisory Solutions LLC boosted its holdings in shares of Texas Roadhouse by 56.8% in the 4th quarter. Coppell Advisory Solutions LLC now owns 196 shares of the restaurant operator's stock worth $35,000 after purchasing an additional 71 shares in the last quarter. Ameritas Advisory Services LLC bought a new position in Texas Roadhouse during the 2nd quarter valued at approximately $53,000. Finally, WPG Advisers LLC bought a new position in shares of Texas Roadhouse in the 1st quarter worth approximately $59,000. Institutional investors own 94.82% of the company's stock.

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.