Investing IdeasBrowse All StocksMarkets
Have your own idea? Try our Stock Screener
Header cover image

U.S. Restaurants Industry Analysis

UpdatedFeb 11, 2026
DataAggregated Company Financials
Companies68
  • 7D-0.3%
  • 3M6.5%
  • 1Y-9.8%
  • YTDn/a

In the last week, the Restaurants industry is up 1.1%, with Starbucks up 8.0%. During this same period, the DoorDash underperformed, falling 10%. In the past year, the industry is down 9.4%. Looking forward, earnings are forecast to grow by 19% annually.

Industry Valuation and Performance

Has the U.S. Restaurants Industry valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 11 Feb 2026US$291.4bUS$126.4bUS$7.2b21.3x40.6x2.3x
Fri, 09 Jan 2026US$301.5bUS$125.6bUS$7.2b20.8x42.1x2.4x
Sun, 07 Dec 2025US$288.6bUS$125.2bUS$7.2b19.8x40.3x2.3x
Tue, 04 Nov 2025US$292.5bUS$122.4bUS$7.3b19.6x40.1x2.4x
Thu, 02 Oct 2025US$312.8bUS$122.2bUS$7.2b21.3x43.7x2.6x
Sat, 30 Aug 2025US$317.7bUS$121.9bUS$7.2b23x44.2x2.6x
Mon, 28 Jul 2025US$333.4bUS$119.2bUS$7.1b23.7x47.1x2.8x
Wed, 25 Jun 2025US$337.4bUS$119.1bUS$7.1b24.4x47.5x2.8x
Fri, 23 May 2025US$312.8bUS$118.5bUS$7.1b22.6x44.3x2.6x
Sun, 20 Apr 2025US$290.7bUS$116.2bUS$6.8b24.7x42.5x2.5x
Tue, 18 Mar 2025US$294.4bUS$114.5bUS$6.5b25.4x45.6x2.6x
Thu, 13 Feb 2025US$315.7bUS$114.1bUS$6.4b27.7x49.5x2.8x
Sat, 11 Jan 2025US$294.9bUS$107.6bUS$5.9b23.9x49.8x2.7x
Mon, 09 Dec 2024US$318.1bUS$108.2bUS$5.9b25.2x53.9x2.9x
Wed, 06 Nov 2024US$287.3bUS$111.0bUS$6.0b26.1x47.8x2.6x
Fri, 04 Oct 2024US$284.1bUS$109.4bUS$5.6b25.8x50.6x2.6x
Sun, 01 Sep 2024US$261.1bUS$109.2bUS$5.6b23.8x46.5x2.4x
Tue, 30 Jul 2024US$237.2bUS$108.7bUS$6.1b22.9x38.8x2.2x
Thu, 27 Jun 2024US$268.2bUS$108.1bUS$6.0b21.7x45.1x2.5x
Sat, 25 May 2024US$261.0bUS$107.9bUS$6.0b23.9x43.7x2.4x
Mon, 22 Apr 2024US$259.5bUS$107.8bUS$6.0b18.3x43.3x2.4x
Wed, 20 Mar 2024US$269.8bUS$107.5bUS$6.0b18.9x45.3x2.5x
Fri, 16 Feb 2024US$250.7bUS$105.9bUS$5.3b20x47.2x2.4x
Sun, 14 Jan 2024US$232.2bUS$105.7bUS$5.0b19.6x46.6x2.2x
Tue, 12 Dec 2023US$229.7bUS$105.4bUS$5.0b20x46.2x2.2x
Thu, 09 Nov 2023US$215.2bUS$104.6bUS$4.8b19.9x44.5x2.1x
Sat, 07 Oct 2023US$203.7bUS$104.8bUS$4.7b18.2x43.3x1.9x
Mon, 04 Sep 2023US$225.3bUS$105.0bUS$4.7b19x47.9x2.1x
Wed, 02 Aug 2023US$236.5bUS$102.4bUS$3.6b21.1x65.4x2.3x
Fri, 30 Jun 2023US$230.8bUS$101.2bUS$3.4b20.4x68.6x2.3x
Sun, 28 May 2023US$217.6bUS$100.3bUS$3.4b20.5x63.9x2.2x
Tue, 25 Apr 2023US$204.3bUS$96.8bUS$2.8b21.5x73.3x2.1x
Thu, 23 Mar 2023US$196.4bUS$96.2bUS$2.7b22.3x71.5x2x
Sat, 18 Feb 2023US$179.9bUS$88.9bUS$4.0b20.9x44.8x2x
Price to Earnings Ratio

44.8x


Total Market Cap: US$179.9bTotal Earnings: US$4.0bTotal Revenue: US$88.9bTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Restaurants Industry Price to Earnings3Y Average 48.5x202420252026
Current Industry PE
  • Investors are pessimistic on the American Restaurants industry, indicating that they anticipate long term growth rates will be lower than they have historically.
  • The industry is trading at a PE ratio of 40.2x which is lower than its 3-year average PE of 48.5x.
  • The industry is trading close to its 3-year average PS ratio of 2.4x.
Past Earnings Growth
  • The earnings for companies in the Restaurants industry have grown 21% per year over the last three years.
  • Revenues for these companies have grown 12% per year.
  • This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.

Industry Comparison

How does U.S. Restaurants compare with similar industries?

US Market0.99%
Consumer Discretionary-2.62%
Hospitality1.41%
Restaurants-0.29%
Leisure Facilities4.89%
Hotels, Resorts and Cruise Lines3.00%
Casinos and Gaming0.38%
Industry PEThere are no additional sub-industries under this industry.
Forecasted GrowthThere are no additional sub-industries under this industry.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuation
SBUX StarbucksUS$97.534.8%
+US$5.1b		-12.2%PE81.2x
MCD McDonald'sUS$325.972.0%
+US$4.6b		5.1%PE27.6x
YUMC Yum China HoldingsUS$57.1212.6%
+US$2.2b		20.3%PE21.7x
QSR Restaurant Brands InternationalUS$70.255.2%
+US$1.1b		5.0%PE24.8x
CAVA CAVA GroupUS$68.9313.2%
+US$932.5m		-47.3%PE58.2x

Latest News

ARMK
US$40.96
Aramark
7D
7.6%
1Y
9.3%
YUMC
US$57.12
Yum China Holdings
7D
12.6%
1Y
20.3%

Yum China Holdings (NYSE:YUMC) Has Announced That It Will Be Increasing Its Dividend To $0.29

Feb 10
Yum China Holdings (NYSE:YUMC) Has Announced That It Will Be Increasing Its Dividend To $0.29
MCD
US$325.97
McDonald's
7D
2.0%
1Y
5.1%
SG
US$5.41
Sweetgreen
7D
-11.2%
1Y
-79.1%

Sweetgreen, Inc.'s (NYSE:SG) 28% Dip In Price Shows Sentiment Is Matching Revenues

Feb 10
Sweetgreen, Inc.'s (NYSE:SG) 28% Dip In Price Shows Sentiment Is Matching Revenues
DPZ
US$389.73
Domino's Pizza
7D
-2.8%
1Y
-17.8%

DPZ: International Expansion And Execution Improvements Will Support Earnings Resilience Despite 2026 Headwinds

Analysts have trimmed their average price target on Domino's Pizza by about US$2 to reflect slightly higher discount rate assumptions, modestly softer revenue growth expectations, and a marginally lower future P/E multiple, even as profit margin estimates remain broadly steady. Analyst Commentary Recent research on Domino's Pizza reflects a mix of optimism about long term growth drivers and caution on near term industry headwinds, which is feeding through to a cluster of price target cuts and a few more supportive views.
CMG
US$38.44
Chipotle Mexican Grill
7D
-1.9%
1Y
-31.6%

CMG: 2026 Unit Expansion And Share Repurchases Will Support Upside Potential

Analysts now see slightly lower upside for Chipotle, trimming the price target in line with a modest reduction in fair value to about $44.24 per share after reassessing the discount rate, revenue growth, profit margin, and future P/E assumptions. Analyst Commentary Recent Street research around Chipotle Mexican Grill has become more finely balanced, with several small downward price target revisions offset by a cluster of earlier target increases and a few rating changes.
YUM
US$158.85
Yum! Brands
7D
0.07%
1Y
8.3%
CAVA
US$68.93
CAVA Group
7D
13.2%
1Y
-47.3%

CAVA: Menu Pricing Power Will Support Long-Term Expansion And Margin Improvement

Our fair value estimate for CAVA Group has been trimmed by US$1 to US$85.0, as analysts factor in updated views on revenue growth, margins, and future P/E, following a mix of recent price target changes and fresh bullish initiations on the stock. Analyst Commentary Recent research has included a mix of upward and downward target moves, along with fresh initiations, giving you a clearer sense of where more optimistic voices see room for execution and growth at CAVA Group.
BROS
US$55.05
Dutch Bros
7D
2.9%
1Y
-14.2%

BROS: Unit Expansion And Clutch Coffee Integration Will Support Rich Future Multiples

Analysts have made a small upward adjustment to their Dutch Bros price target to roughly US$77, reflecting updated assumptions around revenue growth, margins, discount rate and future P/E. These updates incorporate recent research, including Citi's bullish initiation, Barclays' higher US$76 target and Morgan Stanley's trimmed outlook for the stock.
SBUX
US$97.53
Starbucks
7D
4.8%
1Y
-12.2%
DRI
US$210.24
Darden Restaurants
7D
2.3%
1Y
8.3%

DRI: Beef Tariff Cuts And Value Discipline Will Shape Casual Dining Resilience

Narrative Update: Darden Restaurants The analyst price target for Darden Restaurants has been adjusted modestly higher by about US$1.80 to reflect slightly higher fair value estimates and profit margin assumptions, as analysts weigh recent upgrades that highlight value discipline and sector positioning, while also considering ongoing concerns about sales drivers and a challenging 2026 setup for casual dining. Analyst Commentary Recent research on Darden Restaurants presents a mixed picture, with some analysts more constructive on valuation support and discipline, while others flag earnings and sales uncertainty into 2026.
TXRH
US$182.68
Texas Roadhouse
7D
-0.9%
1Y
7.0%

TXRH: Tariff Relief And Balanced Execution Will Support Earnings In A Tough Sector

The analyst price target for Texas Roadhouse has been adjusted modestly higher to reflect a fair value move of about US$3 per share, as analysts factor in updated sector views, a slightly higher assumed future P/E multiple of 27.23x, a new discount rate of 8.53%, and refreshed expectations for revenue growth and profit margins. Analyst Commentary Recent Street research on Texas Roadhouse shows a mix of optimism about the company’s execution and unit economics, alongside caution about sector headwinds, valuation, and cost inflation.
DASH
US$185.64
DoorDash
7D
-8.1%
1Y
-3.9%

DASH: Future Tech Platform Investments Will Drive Long Term Profitability

Our updated fair value estimate for DoorDash edges lower to about $342 per share from roughly $357, as analysts balance a series of mixed price target revisions with expectations for faster revenue growth, slightly leaner margins, and a more moderate future P/E multiple. Analyst Commentary Recent research on DoorDash reflects a split tape, with several downward price target revisions offset by a cluster of more optimistic views, including target hikes and an upgrade to a more positive rating.
WING
US$259.64
Wingstop
7D
-5.5%
1Y
-13.4%

WING: I Expect Softer Same Store Sales Will Pressure Future Returns

Analysts have trimmed their fair value estimate for Wingstop to about $241 from roughly $291, reflecting slightly softer assumptions for revenue growth, profit margins, and future P/E multiples, even as research houses remain broadly constructive on the long term story following recent target tweaks across the restaurant group. Analyst Commentary Recent research has become more mixed, with several firms trimming price targets and one upgrading the stock after the pullback.
QSR
US$70.25
Restaurant Brands International
7D
5.2%
1Y
5.0%
CHA
US$10.72
Chagee Holdings
7D
-4.1%
1Y
n/a

Q3 Update - Revenue sustained only by growth

Revenues did not grow in line with new teahouse openings, and average monthly GMV is down 30% from the previous year. Rate of teahouse growth per quarter is ~5%.