Texas Roadhouse (NASDAQ:TXRH) Hits New 12-Month High – Should You Buy?

Shares of Texas Roadhouse, Inc. (NASDAQ:TXRH) hit a new 52-week high during trading on Monday . The company traded as high as $200.15 and last traded at $200.5980, with a volume of 240358 shares traded. The stock had previously closed at $193.27.

Wall Street Analysts Forecast Growth

Several brokerages have recently weighed in on TXRH. BMO Capital Markets upped their price target on shares of Texas Roadhouse from $165.00 to $180.00 and gave the stock a “market perform” rating in a research report on Thursday, May 21st. Guggenheim reiterated a “buy” rating and set a $210.00 price objective on shares of Texas Roadhouse in a report on Monday, May 18th. Barclays lowered their price objective on Texas Roadhouse from $188.00 to $175.00 and set an “equal weight” rating for the company in a research report on Friday, May 8th. Weiss Ratings reaffirmed a “buy (b-)” rating on shares of Texas Roadhouse in a research report on Friday, May 29th. Finally, Wells Fargo & Company boosted their price target on Texas Roadhouse from $200.00 to $220.00 and gave the stock an “overweight” rating in a research note on Thursday, July 16th. Ten analysts have rated the stock with a Buy rating and thirteen have given a Hold rating to the stock. According to data from MarketBeat.com, Texas Roadhouse presently has an average rating of “Hold” and an average target price of $194.90.

Texas Roadhouse Stock Up 3.6%

The firm has a market capitalization of $13.16 billion, a price-to-earnings ratio of 32.01, a price-to-earnings-growth ratio of 2.14 and a beta of 0.78. The company has a debt-to-equity ratio of 0.03, a current ratio of 0.46 and a quick ratio of 0.40. The business has a fifty day moving average price of $181.84 and a two-hundred day moving average price of $177.38.

Texas Roadhouse (NASDAQ:TXRH) last released its quarterly earnings data on Thursday, May 7th. The restaurant operator reported $1.87 earnings per share for the quarter, topping analysts’ consensus estimates of $1.80 by $0.07. The firm had revenue of $1.63 billion for the quarter, compared to analyst estimates of $1.64 billion. Texas Roadhouse had a net margin of 6.85% and a return on equity of 27.86%. The business’s quarterly revenue was up 10.5% compared to the same quarter last year. During the same quarter in the prior year, the business earned $1.70 earnings per share. On average, equities analysts expect that Texas Roadhouse, Inc. will post 6.45 earnings per share for the current year.

Texas Roadhouse Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Tuesday, June 30th. Stockholders of record on Tuesday, June 2nd were paid a dividend of $0.75 per share. This represents a $3.00 annualized dividend and a dividend yield of 1.5%. The ex-dividend date of this dividend was Tuesday, June 2nd. Texas Roadhouse’s dividend payout ratio is presently 47.92%.

Insider Activity

In related news, General Counsel Sean G. Renfroe sold 426 shares of Texas Roadhouse stock in a transaction dated Thursday, July 2nd. The stock was sold at an average price of $192.53, for a total value of $82,017.78. Following the completion of the transaction, the general counsel owned 860 shares in the company, valued at $165,575.80. The trade was a 33.13% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Christopher C. Colson sold 499 shares of the stock in a transaction that occurred on Tuesday, May 26th. The stock was sold at an average price of $179.22, for a total value of $89,430.78. Following the transaction, the insider owned 14,500 shares in the company, valued at $2,598,690. This represents a 3.33% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders sold 6,154 shares of company stock worth $1,115,864. 0.50% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Texas Roadhouse

A number of large investors have recently added to or reduced their stakes in the stock. AQR Capital Management LLC lifted its holdings in Texas Roadhouse by 27.4% during the fourth quarter. AQR Capital Management LLC now owns 2,674,102 shares of the restaurant operator’s stock valued at $443,901,000 after purchasing an additional 575,685 shares in the last quarter. Capital World Investors increased its stake in shares of Texas Roadhouse by 13.4% during the fourth quarter. Capital World Investors now owns 2,537,290 shares of the restaurant operator’s stock worth $421,190,000 after purchasing an additional 300,405 shares in the last quarter. UBS Group AG raised its position in shares of Texas Roadhouse by 60.4% during the 4th quarter. UBS Group AG now owns 1,387,454 shares of the restaurant operator’s stock worth $230,317,000 after purchasing an additional 522,509 shares during the last quarter. Geode Capital Management LLC raised its position in shares of Texas Roadhouse by 1.9% during the 4th quarter. Geode Capital Management LLC now owns 1,367,120 shares of the restaurant operator’s stock worth $226,984,000 after purchasing an additional 24,834 shares during the last quarter. Finally, Wellington Management Group LLP lifted its stake in Texas Roadhouse by 228.4% in the 4th quarter. Wellington Management Group LLP now owns 1,329,052 shares of the restaurant operator’s stock valued at $220,623,000 after buying an additional 924,306 shares in the last quarter. 94.82% of the stock is currently owned by institutional investors and hedge funds.

About Texas Roadhouse

Texas Roadhouse, Inc is a casual dining restaurant chain specializing in hand‐cut steaks, fall‐off‐the‐bone ribs, chicken, seafood and house specialties. Each restaurant features a Western‐themed décor, open kitchens and a signature line dance presentation of fresh, made‐from‐scratch sides and breads. The company emphasizes an energetic dining experience, focusing on hospitality, value and a family‐friendly environment.

The concept was created in 1993 by founder Kent Taylor, who sought to combine high‐quality steaks with an approachable, community‐oriented atmosphere.