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Assessing Texas Roadhouse: Insights From 11 Financial Analysts

Benzinga·07/02/2025 19:14:37
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Texas Roadhouse (NASDAQ:TXRH) has been analyzed by 11 analysts in the last three months, revealing a diverse range of perspectives from bullish to bearish.

The table below provides a snapshot of their recent ratings, showcasing how sentiments have evolved over the past 30 days and comparing them to the preceding months.

Bullish Somewhat Bullish Indifferent Somewhat Bearish Bearish
Total Ratings 3 1 7 0 0
Last 30D 1 0 0 0 0
1M Ago 1 0 2 0 0
2M Ago 1 0 1 0 0
3M Ago 0 1 4 0 0

In the assessment of 12-month price targets, analysts unveil insights for Texas Roadhouse, presenting an average target of $185.91, a high estimate of $220.00, and a low estimate of $164.00. A decline of 1.68% from the prior average price target is evident in the current average.

price target chart

Breaking Down Analyst Ratings: A Detailed Examination

A comprehensive examination of how financial experts perceive Texas Roadhouse is derived from recent analyst actions. The following is a detailed summary of key analysts, their recent evaluations, and adjustments to ratings and price targets.

Analyst Analyst Firm Action Taken Rating Current Price Target Prior Price Target
Jake Bartlett Truist Securities Raises Buy $212.00 $201.00
Jim Salera Stephens & Co. Maintains Equal-Weight $170.00 $170.00
Dennis Geiger UBS Raises Buy $220.00 $200.00
Christine Cho Goldman Sachs Raises Neutral $205.00 $184.00
Jeffrey Bernstein Barclays Lowers Equal-Weight $175.00 $179.00
Dennis Geiger UBS Lowers Buy $200.00 $210.00
Jon Tower Citigroup Lowers Neutral $164.00 $213.00
Jeffrey Bernstein Barclays Raises Equal-Weight $179.00 $178.00
Zachary Fadem Wells Fargo Lowers Equal-Weight $170.00 $175.00
Chris O'Cull Stifel Lowers Hold $170.00 $172.00
David Tarantino Baird Lowers Outperform $180.00 $198.00

Key Insights:

  • Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to Texas Roadhouse. This information provides a snapshot of how analysts perceive the current state of the company.
  • Rating: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate expectations for the relative performance of Texas Roadhouse compared to the broader market.
  • Price Targets: Delving into movements, analysts provide estimates for the future value of Texas Roadhouse's stock. This analysis reveals shifts in analysts' expectations over time.

For valuable insights into Texas Roadhouse's market performance, consider these analyst evaluations alongside crucial financial indicators. Stay well-informed and make prudent decisions using our Ratings Table.

Stay up to date on Texas Roadhouse analyst ratings.

Discovering Texas Roadhouse: A Closer Look

Texas Roadhouse Inc is a restaurant company operating predominantly in the casual dining segment. The company manages its restaurant and franchising operations by concept and, as a result, has identified Texas Roadhouse, Bubba's 33, Jaggers, and retail initiatives as separate operating segments. In addition, it has identified Texas Roadhouse and Bubba's 33 as reportable segments. Maximum revenue for the company is generated from the Texas Roadhouse segment, which is a moderately priced, full-service, casual dining restaurant concept offering steaks, a selection of ribs, seafood, chicken, pork chops, pulled pork, vegetable plates, and an assortment of hamburgers, salads, and sandwiches.

Texas Roadhouse: Financial Performance Dissected

Market Capitalization Analysis: Reflecting a smaller scale, the company's market capitalization is positioned below industry averages. This could be attributed to factors such as growth expectations or operational capacity.

Revenue Growth: Texas Roadhouse's revenue growth over a period of 3M has been noteworthy. As of 31 March, 2025, the company achieved a revenue growth rate of approximately 9.57%. This indicates a substantial increase in the company's top-line earnings. When compared to others in the Consumer Discretionary sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 7.85%, the company showcases strong profitability and effective cost control.

Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 8.3%, the company showcases effective utilization of equity capital.

Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 3.56%, the company showcases effective utilization of assets.

Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.66.

How Are Analyst Ratings Determined?

Analyst ratings serve as essential indicators of stock performance, provided by experts in banking and financial systems. These specialists diligently analyze company financial statements, participate in conference calls, and engage with insiders to generate quarterly ratings for individual stocks.

Some analysts will also offer forecasts for metrics like growth estimates, earnings, and revenue to provide further guidance on stocks. Investors who use analyst ratings should note that this specialized advice comes from humans and may be subject to error.

Which Stocks Are Analysts Recommending Now?

Benzinga Edge gives you instant access to all major analyst upgrades, downgrades, and price targets. Sort by accuracy, upside potential, and more. Click here to stay ahead of the market.

This article was generated by Benzinga's automated content engine and reviewed by an editor.