TXRH vs. ARMK, DRI, EAT, PZZA, CBRL, JACK, YUM, WING, CAVA, and YUMC
Should you be buying Texas Roadhouse stock or one of its competitors? The main competitors of Texas Roadhouse include Aramark (ARMK), Darden Restaurants (DRI), Brinker International (EAT), Papa John's International (PZZA), Cracker Barrel Old Country Store (CBRL), Jack in the Box (JACK), Yum! Brands (YUM), Wingstop (WING), CAVA Group (CAVA), and Yum China (YUMC). These companies are all part of the "eating places" industry.
Aramark (NYSE:ARMK) and Texas Roadhouse (NASDAQ:TXRH) are both consumer staples companies, but which is the better investment? We will contrast the two companies based on the strength of their profitability, dividends, institutional ownership, earnings, risk, media sentiment, analyst recommendations, valuation and community ranking.
Texas Roadhouse received 147 more outperform votes than Aramark when rated by MarketBeat users. However, 62.23% of users gave Aramark an outperform vote while only 53.61% of users gave Texas Roadhouse an outperform vote.
Texas Roadhouse has a net margin of 6.94% compared to Texas Roadhouse's net margin of 3.37%. Aramark's return on equity of 28.85% beat Texas Roadhouse's return on equity.
Aramark pays an annual dividend of $0.38 per share and has a dividend yield of 1.1%. Texas Roadhouse pays an annual dividend of $2.44 per share and has a dividend yield of 1.5%. Aramark pays out 15.9% of its earnings in the form of a dividend. Texas Roadhouse pays out 49.4% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Texas Roadhouse has raised its dividend for 5 consecutive years. Texas Roadhouse is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.
In the previous week, Texas Roadhouse had 24 more articles in the media than Aramark. MarketBeat recorded 47 mentions for Texas Roadhouse and 23 mentions for Aramark. Aramark's average media sentiment score of 0.65 beat Texas Roadhouse's score of 0.51 indicating that Texas Roadhouse is being referred to more favorably in the news media.
Aramark has a beta of 1.47, meaning that its share price is 47% more volatile than the S&P 500. Comparatively, Texas Roadhouse has a beta of 1, meaning that its share price has a similar volatility profile to the S&P 500.
Aramark has higher revenue and earnings than Texas Roadhouse. Aramark is trading at a lower price-to-earnings ratio than Texas Roadhouse, indicating that it is currently the more affordable of the two stocks.
94.8% of Texas Roadhouse shares are owned by institutional investors. 1.9% of Aramark shares are owned by insiders. Comparatively, 0.5% of Texas Roadhouse shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.
Aramark presently has a consensus target price of $33.32, indicating a potential upside of 1.50%. Texas Roadhouse has a consensus target price of $155.55, indicating a potential downside of 7.02%. Given Texas Roadhouse's stronger consensus rating and higher possible upside, equities research analysts plainly believe Aramark is more favorable than Texas Roadhouse.
Summary
Texas Roadhouse beats Aramark on 12 of the 20 factors compared between the two stocks.
Get Texas Roadhouse News Delivered to You Automatically
Sign up to receive the latest news and ratings for TXRH and its competitors with MarketBeat's FREE daily newsletter.
This chart shows the number of new MarketBeat users adding TXRH and its top 5 competitors to their watchlist. Each company is represented with a line over a 90 day period.
This chart shows the average media sentiment of NASDAQ and its competitors over the past 90 days as caculated by MarketBeat. The averaged score is equivalent to the following: Very Negative Sentiment <= -1.5, Negative Sentiment > -1.5 and <= -0.5, Neutral Sentiment > -0.5 and < 0.5, Positive Sentiment >= 0.5 and < 1.5, and Very Positive Sentiment >= 1.5.
Texas Roadhouse Competitors List
Related Companies and Tools
