Texas Roadhouse (NASDAQ:TXRH) Stock Price Expected to Rise, Morgan Stanley Analyst Says

Texas Roadhouse (NASDAQ:TXRH) had its target price increased by research analysts at Morgan Stanley from $212.00 to $221.00 in a research report issued to clients and investors on Thursday, Benzinga reports. The brokerage presently has an “overweight” rating on the restaurant operator’s stock. Morgan Stanley’s price target would suggest a potential upside of 30.19% from the company’s previous close.

Other equities analysts also recently issued research reports about the company. UBS Group upped their price target on Texas Roadhouse from $210.00 to $235.00 and gave the stock a “buy” rating in a research report on Monday, August 3rd. JPMorgan Chase & Co. decreased their price target on shares of Texas Roadhouse from $202.00 to $200.00 and set a “neutral” rating for the company in a research note on Tuesday, September 29th. Citigroup lifted their price objective on shares of Texas Roadhouse from $193.00 to $209.00 and gave the company a “neutral” rating in a report on Friday, August 7th. Stephens upgraded shares of Texas Roadhouse from an “equal weight” rating to an “overweight” rating and set a $205.00 price objective on the stock in a report on Thursday. Finally, TD Cowen boosted their price objective on shares of Texas Roadhouse from $205.00 to $230.00 and gave the stock a “buy” rating in a research report on Friday, August 7th. Two investment analysts have rated the stock with a Strong Buy rating, thirteen have issued a Buy rating, nine have issued a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, Texas Roadhouse has a consensus rating of “Moderate Buy” and an average price target of $209.27.

Texas Roadhouse Stock Up 1.9%

Shares of TXRH stock traded up $3.12 on Thursday, hitting $169.75. 925,570 shares of the stock were exchanged, compared to its average volume of 1,063,167. The company has a current ratio of 0.46, a quick ratio of 0.39 and a debt-to-equity ratio of 0.03. The firm has a market capitalization of $11.14 billion, a P/E ratio of 27.11, a price-to-earnings-growth ratio of 1.61 and a beta of 0.80. The business has a 50-day moving average of $182.30 and a 200 day moving average of $179.34. Texas Roadhouse has a fifty-two week low of $153.82 and a fifty-two week high of $216.30.

Texas Roadhouse (NASDAQ:TXRH) last posted its quarterly earnings data on Thursday, August 6th. The restaurant operator reported $1.85 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.83 by $0.02. Texas Roadhouse had a return on equity of 27.20% and a net margin of 6.63%. The business had revenue of $1.68 billion during the quarter, compared to the consensus estimate of $1.67 billion. During the same period last year, the company earned $1.86 earnings per share. Texas Roadhouse’s quarterly revenue was up 11.1% on a year-over-year basis. Equities analysts anticipate that Texas Roadhouse will post 6.61 EPS for the current year.

Insider Activity

In other Texas Roadhouse news, CEO Gerald L. Morgan sold 15,000 shares of the business’s stock in a transaction that occurred on Friday, August 21st. The stock was sold at an average price of $202.17, for a total transaction of $3,032,550.00. Following the transaction, the chief executive officer owned 80,970 shares of the company’s stock, valued at $16,369,704.90. The trade was a 15.63% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Donna E. Epps sold 820 shares of the company’s stock in a transaction that occurred on Monday, August 17th. The stock was sold at an average price of $206.56, for a total value of $169,379.20. Following the sale, the director owned 4,042 shares in the company, valued at approximately $834,915.52. This represents a 16.87% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders sold 19,970 shares of company stock valued at $4,061,808. Corporate insiders own 0.50% of the company’s stock.

Institutional Investors Weigh In On Texas Roadhouse

Several large investors have recently made changes to their positions in the stock. BlackRock Inc. acquired a new position in Texas Roadhouse during the second quarter worth $1,273,173,000. Wellington Management Group LLP lifted its stake in Texas Roadhouse by 8.4% in the second quarter. Wellington Management Group LLP now owns 1,541,791 shares of the restaurant operator’s stock valued at $297,920,000 after acquiring an additional 119,803 shares during the last quarter. Dimensional Fund Advisors LP lifted its stake in Texas Roadhouse by 4.1% in the first quarter. Dimensional Fund Advisors LP now owns 864,006 shares of the restaurant operator’s stock valued at $142,670,000 after acquiring an additional 34,385 shares during the last quarter. Bessemer Group Inc. lifted its stake in Texas Roadhouse by 38.1% in the first quarter. Bessemer Group Inc. now owns 732,411 shares of the restaurant operator’s stock valued at $120,951,000 after acquiring an additional 202,241 shares during the last quarter. Finally, Bank of America Corp DE bought a new position in shares of Texas Roadhouse in the 2nd quarter valued at about $113,993,000. Institutional investors and hedge funds own 94.82% of the company’s stock.

Texas Roadhouse Company Profile

Texas Roadhouse, Inc is a casual dining restaurant company that operates and franchises restaurants under the Texas Roadhouse, Bubba’s 33 and Jaggers brands. Its restaurants are known for hand-cut steaks, made-from-scratch sides, fresh-baked bread and a lively, Western-themed atmosphere.

Founded in 1993 and headquartered in Louisville, Kentucky, Texas Roadhouse has grown into an international restaurant operator with locations across the United States and in select foreign markets. The company’s business includes company-operated restaurants, franchised and licensed locations, and related support activities.

Texas Roadhouse primarily serves full-service casual dining customers, while Bubba’s 33 focuses on burgers, pizza and other American favorites in a sports-oriented setting.