Texas Roadhouse (NASDAQ:TXRH) Stock Gets Downgrade from Zacks Research

Texas Roadhouse (NASDAQ:TXRH) was downgraded by equities researchers at Zacks Research from a “hold” rating to a “strong sell” rating in a report issued on Thursday, Zacks reports.

Other research analysts have also recently issued research reports about the company. Robert W. Baird upgraded Texas Roadhouse to a “strong-buy” rating in a research note on Monday, August 24th. Morgan Stanley boosted their price target on Texas Roadhouse from $212.00 to $221.00 and gave the stock an “overweight” rating in a report on Thursday, October 15th. Deutsche Bank restated a “buy” rating and set a $235.00 price objective on shares of Texas Roadhouse in a research report on Monday, August 3rd. Vertical Research raised shares of Texas Roadhouse to a “buy” rating in a research note on Wednesday, October 14th. Finally, Mizuho lifted their price objective on shares of Texas Roadhouse from $190.00 to $220.00 and gave the stock an “outperform” rating in a research note on Friday, October 30th. Two investment analysts have rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating, eight have assigned a Hold rating and two have assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, Texas Roadhouse presently has an average rating of “Moderate Buy” and a consensus target price of $208.04.

Texas Roadhouse Stock Performance

Shares of TXRH traded down $0.01 on Thursday, reaching $185.98. 715,207 shares of the company’s stock traded hands, compared to its average volume of 1,247,134. Texas Roadhouse has a 52-week low of $153.82 and a 52-week high of $216.30. The stock’s 50 day simple moving average is $172.19 and its two-hundred day simple moving average is $179.03. The company has a current ratio of 0.38, a quick ratio of 0.39 and a debt-to-equity ratio of 0.03. The stock has a market cap of $12.21 billion, a PE ratio of 29.24, a PEG ratio of 2.14 and a beta of 0.81.

Texas Roadhouse (NASDAQ:TXRH) last issued its quarterly earnings data on Thursday, November 5th. The restaurant operator reported $1.36 EPS for the quarter, missing the consensus estimate of $1.46 by ($0.10). The firm had revenue of $1.57 billion for the quarter, compared to analysts’ expectations of $1.58 billion. Texas Roadhouse had a net margin of 6.59% and a return on equity of 27.01%. Texas Roadhouse’s revenue was up 9.5% on a year-over-year basis. During the same period in the prior year, the firm posted $1.25 EPS. On average, analysts forecast that Texas Roadhouse will post 6.37 earnings per share for the current fiscal year.

Insider Transactions at Texas Roadhouse

In other Texas Roadhouse news, insider Lloyd Marshall sold 500 shares of the stock in a transaction on Wednesday, August 26th. The stock was sold at an average price of $204.65, for a total value of $102,325.00. Following the sale, the insider owned 9,826 shares in the company, valued at $2,010,890.90. This trade represents a 4.84% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CEO Gerald L. Morgan sold 15,000 shares of the firm’s stock in a transaction 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 directly owned 80,970 shares of the company’s stock, valued at approximately $16,369,704.90. This trade represents a 15.63% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders sold 18,286 shares of company stock worth $3,687,138. Corporate insiders own 0.50% of the company’s stock.

Institutional Investors Weigh In On Texas Roadhouse

Several institutional investors have recently added to or reduced their stakes in TXRH. Ranger Investment Management L.P. acquired a new position in shares of Texas Roadhouse in the 2nd quarter worth approximately $21,560,000. The Manufacturers Life Insurance Company bought a new position in Texas Roadhouse during the second quarter worth about $9,473,000. J. Goldman & Co LP acquired a new stake in Texas Roadhouse during the second quarter worth approximately $10,434,000. Bamco Inc. NY acquired a new position in Texas Roadhouse in the 2nd quarter valued at $60,148,000. Finally, Callan Family Office LLC acquired a new position in Texas Roadhouse during the second quarter worth about $1,449,000. Hedge funds and other institutional investors own 94.82% of the company’s stock.

Texas Roadhouse Company Profile

Texas Roadhouse, Inc. operates and franchises casual dining restaurants under the Texas Roadhouse, Bubba’s 33 and Jaggers brands. Its restaurants are known for a lively atmosphere and made-from-scratch food. The Texas Roadhouse menu features hand-cut steaks, ribs, chicken, seafood and made-from-scratch sides, along with freshly baked bread. Bubba’s 33 offers a sports-bar setting with items such as burgers, pizza and wings, while Jaggers focuses on burgers, chicken sandwiches and salads. Founded in 1993 in Clarksville, Indiana, Texas Roadhouse is headquartered in Louisville, Kentucky.