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Texas Roadhouse

Nasdaq:TXRH
Snowflake Description

Adequate balance sheet with acceptable track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
TXRH
Nasdaq
$4B
Market Cap
  1. Home
  2. US
  3. Consumer Services
Company description

Texas Roadhouse, Inc., together with its subsidiaries, operates casual dining restaurants in the United States and internationally. The last earnings update was 81 days ago. More info.


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TXRH Share Price and Events
7 Day Returns
2.2%
NasdaqGS:TXRH
-0.9%
US Hospitality
-1.2%
US Market
1 Year Returns
-22.7%
NasdaqGS:TXRH
-5.5%
US Hospitality
3.4%
US Market
TXRH Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Texas Roadhouse (TXRH) 2.2% 3.2% -9.5% -22.7% 10.3% 116.1%
US Hospitality -0.9% 1% -1.9% -5.5% 41.3% 21.3%
US Market -1.2% 0.7% 1.7% 3.4% 35.5% 41.6%
1 Year Return vs Industry and Market
  • TXRH underperformed the Hospitality industry which returned -5.5% over the past year.
  • TXRH underperformed the Market in United States of America which returned 3.4% over the past year.
Price Volatility
TXRH
Industry
5yr Volatility vs Market

TXRH Value

 Is Texas Roadhouse undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Texas Roadhouse to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Texas Roadhouse.

NasdaqGS:TXRH Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 20 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 8.8%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NasdaqGS:TXRH
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Hospitality Unlevered Beta Simply Wall St/ S&P Global 0.92
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.921 (1 + (1- 21%) (13.47%))
1.013
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.01
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.013 * 5.96%)
8.77%

Discounted Cash Flow Calculation for NasdaqGS:TXRH using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Texas Roadhouse is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NasdaqGS:TXRH DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 8.77%)
2020 135.25 Analyst x3 124.35
2021 136.20 Analyst x1 115.13
2022 146.30 Analyst x1 113.69
2023 162.00 Analyst x1 115.75
2024 170.40 Est @ 5.19% 111.93
2025 177.98 Est @ 4.45% 107.49
2026 184.98 Est @ 3.93% 102.71
2027 191.59 Est @ 3.57% 97.81
2028 197.95 Est @ 3.32% 92.91
2029 204.17 Est @ 3.14% 88.10
Present value of next 10 years cash flows $1,069.86
NasdaqGS:TXRH DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= $204.17 × (1 + 2.73%) ÷ (8.77% – 2.73%)
$3,473.73
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $3,473.73 ÷ (1 + 8.77%)10
$1,498.94
NasdaqGS:TXRH Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $1,069.86 + $1,498.94
$2,568.81
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $2,568.81 / 71.83
$35.76
NasdaqGS:TXRH Discount to Share Price
Calculation Result
Value per share (USD) From above. $35.76
Current discount Discount to share price of $54.03
= -1 x ($54.03 - $35.76) / $35.76
-51.1%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Texas Roadhouse is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Texas Roadhouse's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Texas Roadhouse's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NasdaqGS:TXRH PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-26) in USD $2.15
NasdaqGS:TXRH Share Price ** NasdaqGS (2019-07-19) in USD $54.03
United States of America Hospitality Industry PE Ratio Median Figure of 74 Publicly-Listed Hospitality Companies 22.4x
United States of America Market PE Ratio Median Figure of 3,081 Publicly-Listed Companies 17.87x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Texas Roadhouse.

NasdaqGS:TXRH PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqGS:TXRH Share Price ÷ EPS (both in USD)

= 54.03 ÷ 2.15

25.1x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Texas Roadhouse is overvalued based on earnings compared to the US Hospitality industry average.
  • Texas Roadhouse is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does Texas Roadhouse's expected growth come at a high price?
Raw Data
NasdaqGS:TXRH PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 25.1x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 20 Analysts
9.4%per year
United States of America Hospitality Industry PEG Ratio Median Figure of 56 Publicly-Listed Hospitality Companies 1.88x
United States of America Market PEG Ratio Median Figure of 2,119 Publicly-Listed Companies 1.57x

*Line of best fit is calculated by linear regression .

NasdaqGS:TXRH PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 25.1x ÷ 9.4%

2.66x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Texas Roadhouse is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Texas Roadhouse's assets?
Raw Data
NasdaqGS:TXRH PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-26) in USD $13.55
NasdaqGS:TXRH Share Price * NasdaqGS (2019-07-19) in USD $54.03
United States of America Hospitality Industry PB Ratio Median Figure of 112 Publicly-Listed Hospitality Companies 2.16x
United States of America Market PB Ratio Median Figure of 5,247 Publicly-Listed Companies 1.79x
NasdaqGS:TXRH PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqGS:TXRH Share Price ÷ Book Value per Share (both in USD)

= 54.03 ÷ 13.55

3.99x

* Primary Listing of Texas Roadhouse.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Texas Roadhouse is overvalued based on assets compared to the US Hospitality industry average.
X
Value checks
We assess Texas Roadhouse's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Hospitality industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Hospitality industry average (and greater than 0)? (1 check)
  5. Texas Roadhouse has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

TXRH Future Performance

 How is Texas Roadhouse expected to perform in the next 1 to 3 years based on estimates from 20 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
9.4%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Texas Roadhouse expected to grow at an attractive rate?
  • Texas Roadhouse's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Texas Roadhouse's earnings growth is positive but not above the United States of America market average.
  • Texas Roadhouse's revenue growth is expected to exceed the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NasdaqGS:TXRH Future Growth Rates Data Sources
Data Point Source Value (per year)
NasdaqGS:TXRH Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 20 Analysts 9.4%
NasdaqGS:TXRH Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 20 Analysts 7.7%
United States of America Hospitality Industry Earnings Growth Rate Market Cap Weighted Average 17.1%
United States of America Hospitality Industry Revenue Growth Rate Market Cap Weighted Average 7.5%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.4%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NasdaqGS:TXRH Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 20 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NasdaqGS:TXRH Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31 3,700 1
2022-12-31 3,445 1
2021-12-31 3,233 391 201 6
2020-12-31 2,970 356 179 20
2019-12-31 2,748 374 165 20
NasdaqGS:TXRH Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-26 2,520 357 154
2018-12-25 2,457 353 158
2018-09-25 2,397 324 157
2018-06-26 2,343 323 158
2018-03-27 2,280 299 152
2017-12-26 2,220 286 132
2017-09-26 2,159 285 124
2017-06-27 2,100 271 118
2017-03-28 2,043 287 114
2016-12-27 1,991 257 116
2016-09-27 1,960 256 118
2016-06-28 1,917 247 113
2016-03-29 1,863 235 100

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Texas Roadhouse's earnings are expected to grow by 9.4% yearly, however this is not considered high growth (20% yearly).
  • Texas Roadhouse's revenue is expected to grow by 7.7% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NasdaqGS:TXRH Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 20 Analyst Estimates (S&P Global) See Below

All data from Texas Roadhouse Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:TXRH Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31 2.87 3.35 2.49 4.00
2020-12-31 2.49 2.96 2.21 16.00
2019-12-31 2.29 2.51 2.12 16.00
NasdaqGS:TXRH Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-26 2.15
2018-12-25 2.21
2018-09-25 2.19
2018-06-26 2.22
2018-03-27 2.13
2017-12-26 1.85
2017-09-26 1.75
2017-06-27 1.67
2017-03-28 1.62
2016-12-27 1.64
2016-09-27 1.68
2016-06-28 1.60
2016-03-29 1.43

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Texas Roadhouse is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Texas Roadhouse's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Texas Roadhouse has a total score of 2/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

TXRH Past Performance

  How has Texas Roadhouse performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Texas Roadhouse's growth in the last year to its industry (Hospitality).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Texas Roadhouse's year on year earnings growth rate has been positive over the past 5 years.
  • Texas Roadhouse's 1-year earnings growth is less than its 5-year average (1.7% vs 14.7%)
  • Texas Roadhouse's earnings growth has exceeded the US Hospitality industry average in the past year (1.7% vs -0.5%).
Earnings and Revenue History
Texas Roadhouse's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Texas Roadhouse Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:TXRH Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-26 2,520.35 154.07 175.45
2018-12-25 2,457.45 158.23 170.81
2018-09-25 2,396.61 156.51 160.40
2018-06-26 2,342.53 158.40 153.17
2018-03-27 2,279.55 151.75 147.30
2017-12-26 2,219.53 131.53 142.17
2017-09-26 2,159.17 123.63 139.85
2017-06-27 2,100.30 118.29 139.16
2017-03-28 2,042.84 114.32 137.05
2016-12-27 1,990.71 115.60 136.34
2016-09-27 1,960.36 117.86 131.82
2016-06-28 1,916.81 112.66 129.52
2016-03-29 1,862.70 100.20 126.92
2015-12-29 1,807.37 96.89 123.15
2015-09-29 1,757.44 92.51 119.07
2015-06-30 1,704.57 90.91 114.81
2015-03-31 1,645.24 92.85 112.05
2014-12-30 1,582.15 87.02 110.91
2014-09-30 1,553.74 85.55 110.88
2014-07-01 1,503.30 83.84 109.27
2014-04-01 1,460.05 80.72 109.54
2013-12-31 1,422.59 80.42 105.25
2013-09-24 1,356.10 77.23 89.05
2013-06-25 1,329.98 78.13 85.21
2013-03-26 1,298.14 78.47 79.61
2012-12-25 1,263.33 71.17 87.14
2012-09-25 1,230.42 69.54 74.74

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Texas Roadhouse has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Texas Roadhouse used its assets more efficiently than the US Hospitality industry average last year based on Return on Assets.
  • Texas Roadhouse's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Texas Roadhouse's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Hospitality industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Texas Roadhouse has a total score of 3/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

TXRH Health

 How is Texas Roadhouse's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Texas Roadhouse's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Texas Roadhouse's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Texas Roadhouse's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Texas Roadhouse's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Texas Roadhouse has no debt, it does not need to be covered by short term assets.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Texas Roadhouse Company Filings, last reported 3 months ago.

NasdaqGS:TXRH Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-26 988.15 0.00 252.11
2018-12-25 960.71 0.00 210.13
2018-09-25 941.30 1.97 151.19
2018-06-26 921.60 0.00 154.35
2018-03-27 886.87 51.99 197.83
2017-12-26 851.39 51.98 150.92
2017-09-26 830.79 51.99 114.44
2017-06-27 809.42 52.47 116.51
2017-03-28 781.62 52.51 137.51
2016-12-27 758.24 52.55 112.94
2016-09-27 743.36 52.59 81.71
2016-06-28 725.12 50.62 95.31
2016-03-29 699.29 50.66 95.99
2015-12-29 677.18 25.74 59.33
2015-09-29 665.51 71.06 72.62
2015-06-30 651.83 51.46 70.97
2015-03-31 639.76 51.84 98.51
2014-12-30 614.96 52.20 86.12
2014-09-30 602.92 52.56 59.31
2014-07-01 598.04 52.96 77.46
2014-04-01 588.34 53.56 90.70
2013-12-31 593.86 53.93 94.87
2013-09-24 590.73 54.28 87.34
2013-06-25 576.18 54.50 100.12
2013-03-26 556.44 55.11 95.45
2012-12-25 530.74 55.62 81.75
2012-09-25 555.32 55.91 84.32
  • Texas Roadhouse has no debt.
  • Texas Roadhouse has no debt compared to 5 years ago when it was 9.1%.
  • Texas Roadhouse has no debt, it does not need to be covered by operating cash flow.
  • Texas Roadhouse has no debt, therefore coverage of interest payments is not a concern.
X
Financial health checks
We assess Texas Roadhouse's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Texas Roadhouse has a total score of 4/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

TXRH Dividends

 What is Texas Roadhouse's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
2.22%
Current annual income from Texas Roadhouse dividends. Estimated to be 2.34% next year.
If you bought $2,000 of Texas Roadhouse shares you are expected to receive $44 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Texas Roadhouse's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.44%).
  • Texas Roadhouse's dividend is below the markets top 25% of dividend payers in United States of America (3.78%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NasdaqGS:TXRH Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 20 Analyst Estimates (S&P Global) See Below
United States of America Hospitality Industry Average Dividend Yield Market Cap Weighted Average of 47 Stocks 2.7%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2017 Stocks 2.4%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.8%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NasdaqGS:TXRH Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31 1.42 4.00
2020-12-31 1.27 8.00
2019-12-31 1.18 8.00
NasdaqGS:TXRH Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-05-24 1.200 2.238
2019-05-02 1.200 2.203
2019-04-29 1.200 2.184
2019-02-22 1.200 1.962
2019-02-19 1.200 1.886
2018-08-24 1.000 1.535
2018-05-18 1.000 1.534
2018-05-03 1.000 1.626
2018-04-30 1.000 1.586
2017-12-07 0.840 1.464
2017-09-01 0.840 1.707
2017-05-19 0.840 1.702
2017-05-04 0.840 1.716
2017-05-01 0.840 1.692
2016-11-11 0.760 1.659
2016-08-19 0.760 1.843
2016-05-20 0.760 1.665
2016-05-05 0.760 1.724
2016-05-02 0.760 1.756
2015-11-20 0.680 1.773
2015-08-21 0.680 1.875
2015-05-22 0.680 1.817
2015-05-08 0.680 1.948
2015-05-04 0.680 1.981
2014-11-20 0.600 1.729
2014-08-22 0.600 2.132
2014-05-23 0.600 2.343
2014-02-25 0.600 2.365
2014-02-24 0.600 2.299
2013-11-15 0.480 1.815
2013-08-28 0.480 1.828
2013-05-17 0.480 1.946
2013-02-19 0.480 2.339
2012-12-10 0.360 2.080
2012-08-17 0.360 2.121
2012-05-18 0.360 2.028
2012-02-21 0.360 2.122
2011-11-18 0.320 2.158
2011-08-19 0.320 2.322
2011-05-20 0.320 1.955
2011-02-22 0.320 1.939

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Whilst dividend payments have been stable, Texas Roadhouse has been paying a dividend for less than 10 years.
  • Dividend payments have increased, but Texas Roadhouse only paid a dividend in the past 8 years.
Current Payout to shareholders
What portion of Texas Roadhouse's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (2.1x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be covered by earnings (2x coverage).
X
Income/ dividend checks
We assess Texas Roadhouse's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Texas Roadhouse afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Texas Roadhouse has a total score of 3/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

TXRH Management

 What is the CEO of Texas Roadhouse's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Wayne Taylor
COMPENSATION $1,363,098
AGE 63
TENURE AS CEO 7.9 years
CEO Bio

Mr. Wayne Kent Taylor founded Texas Roadhouse, Inc. in 1993 and has been its Chief Executive Officer since August 18, 2011. Mr. Taylor serves as President of Texas Roadhouse, Inc. since June 21, 2019. Mr. Taylor served as the Chief Executive Officer of Texas Roadhouse from 2000 to October 8, 2004 and its President from 1993 to 2000. He Founded and Co-Owner of Buckhead Bar and Grill in Louisville, Kentucky. He has over 35 years of experience in the restaurant industry. He has been the executive Chairman of Texas Roadhouse, Inc. since October 2004 and has been its Director since 2004. He had been a Director of Papa John's International Inc., from May 2011 until May 2, 2018.

CEO Compensation
  • Wayne's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Wayne's remuneration is lower than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Texas Roadhouse management team in years:

4.5
Average Tenure
53
Average Age
  • The tenure for the Texas Roadhouse management team is about average.
Management Team

Wayne Taylor

TITLE
Founder
COMPENSATION
$1M
AGE
63
TENURE
7.9 yrs

Tonya Robinson

TITLE
Chief Financial Officer
COMPENSATION
$1M
AGE
50
TENURE
1.2 yrs

Doug Thompson

TITLE
Chief Operating Officer
COMPENSATION
$3M
AGE
55
TENURE
4.5 yrs

Celia Catlett

TITLE
General Counsel & Corporate Secretary
COMPENSATION
$615K
AGE
42
TENURE
5.7 yrs

S. Jacobsen

TITLE
Chief Marketing Officer
COMPENSATION
$625K
AGE
53
TENURE
3.4 yrs
Board of Directors Tenure

Average tenure and age of the Texas Roadhouse board of directors in years:

10.4
Average Tenure
63
Average Age
  • The average tenure for the Texas Roadhouse board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

Wayne Taylor

TITLE
Founder
COMPENSATION
$1M
AGE
63
TENURE
14.8 yrs

Jim Zarley

TITLE
Independent Director
COMPENSATION
$311K
AGE
74
TENURE
15.5 yrs

Greg Moore

TITLE
Lead Independent Director
COMPENSATION
$431K
AGE
69

Kathy Widmer

TITLE
Independent Director
COMPENSATION
$298K
AGE
57
TENURE
6.1 yrs

Curtis Warfield

TITLE
Director
COMPENSATION
$131K
AGE
50
TENURE
0.9 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by Texas Roadhouse individual insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
03. May 19 Buy James Zarley Individual 01. May 19 01. May 19 18,900 $52.51 $992,439
25. Mar 19 Sell Kathleen Widmer Individual 22. Mar 19 22. Mar 19 -3,000 $60.91 $-182,730
19. Mar 19 Sell Douglas Thompson Individual 15. Mar 19 15. Mar 19 -6,000 $59.07 $-354,420
27. Sep 18 Sell Douglas Thompson Individual 25. Sep 18 25. Sep 18 -10,000 $68.75 $-687,500
24. Aug 18 Sell Tonya Robinson Individual 22. Aug 18 22. Aug 18 -1,023 $67.17 $-68,715
X
Management checks
We assess Texas Roadhouse's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Texas Roadhouse has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

TXRH News

Simply Wall St News

Introducing Texas Roadhouse (NASDAQ:TXRH), The Stock That Zoomed 117% In The Last Five Years

During five years of share price growth, Texas Roadhouse achieved compound earnings per share (EPS) growth of 13% per year. … So the EPS growth rate is rather close to the annualized share price gain of 17% per year. … As it happens, Texas Roadhouse's TSR for the last 5 years was 137%, which exceeds the share price return mentioned earlier.

Simply Wall St -

Texas Roadhouse, Inc. (NASDAQ:TXRH) Is Employing Capital Very Effectively

The formula for calculating the return on capital employed is: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) Or for Texas Roadhouse: 0.12 = US$185m ÷ (US$1.9b - US$362m) (Based on the trailing twelve months to March 2019.) So, Texas Roadhouse has an ROCE of 12%. … What Are Current Liabilities, And How Do They Affect Texas Roadhouse's ROCE? … Our Take On Texas Roadhouse's ROCE This is good to see, and with a sound ROCE, Texas Roadhouse could be worth a closer look.

Simply Wall St -

Need To Know: Texas Roadhouse, Inc. (NASDAQ:TXRH) Insiders Have Been Selling Shares

So shareholders might well want to know whether insiders have been buying or selling shares in Texas Roadhouse, Inc. … View our latest analysis for Texas Roadhouse Texas Roadhouse Insider Transactions Over The Last Year Independent Director James Zarley made the biggest insider purchase in the last 12 months. … Texas Roadhouse Insiders Bought Stock Recently There has been significantly more insider buying, than selling, at Texas Roadhouse, over the last three months.

Simply Wall St -

Has Texas Roadhouse, Inc. (NASDAQ:TXRH) Improved Earnings In Recent Times?

Assessing Texas Roadhouse, Inc.'s (NASDAQ:TXRH) performance as a company requires looking at more than just a years' earnings data. … However, this one-year growth rate has been lower than its average earnings growth rate over the past 5 years of 15%, indicating the rate at which TXRH is growing has slowed down. … You should continue to research Texas Roadhouse to get a more holistic view of the stock by looking at: Future Outlook: What are well-informed industry analysts predicting for TXRH’s future growth?

Simply Wall St -

Does The Hype Around Texas Roadhouse, Inc.'s (NASDAQ:TXRH) Growth Justify Its May Share Price?

As the legendary value investor Ben Graham once said, “Price is what you pay, value is what you get.” Texas Roadhouse is trading at price-to-earnings (PE) ratio of 25.39x, which tells us the stock is overvalued based on current earnings compared to the Hospitality industry average of 23.14x , and overvalued compared to the US market average ratio of 17.74x. … NasdaqGS:TXRH Price Estimation Relative to Market, May 21st 2019 We understand TXRH seems to be overvalued based on its current earnings, compared to its industry peers. … This tells us that when we include its growth in our analysis Texas Roadhouse's stock can be considered overvalued , based on fundamental analysis.

Simply Wall St -

Is Texas Roadhouse, Inc.'s (NASDAQ:TXRH) 16% ROE Better Than Average?

The formula for ROE is: Return on Equity = Net Profit ÷ Shareholders' Equity Or for Texas Roadhouse: 16% = US$154m ÷ US$988m (Based on the trailing twelve months to March 2019.) It's easy to understand the 'net profit' part of that equation, but 'shareholders' equity' requires further explanation. … Does Texas Roadhouse Have A Good Return On Equity? … Combining Texas Roadhouse's Debt And Its 16% Return On Equity Texas Roadhouse has a debt to equity ratio of 0.53, which is far from excessive.

Simply Wall St -

With EPS Growth And More, Texas Roadhouse (NASDAQ:TXRH) Is Interesting

So if you're like me, you might be more interested in profitable, growing companies, like Texas Roadhouse (NASDAQ:TXRH). … Texas Roadhouse's Earnings Per Share Are Growing. … While we note Texas Roadhouse's EBIT margins were flat over the last year, revenue grew by a solid 11% to US$2.5b.

Simply Wall St -

Buy Texas Roadhouse, Inc. (NASDAQ:TXRH) When Everyone Panics

High quality stocks such as Texas Roadhouse, Inc. … has fared well over time in a fickle stock market, which is why I want to bring it into light amongst all the chaos. … Check out our latest analysis for Texas Roadhouse.

Simply Wall St -

Is Texas Roadhouse, Inc. (NASDAQ:TXRH) A Smart Pick For Income Investors?

Dividends play an important role in compounding returns in the long run and end up forming a sizeable part of investment returns. … Historically, Texas Roadhouse, Inc. … Let's take a look at Texas Roadhouse in more detail.

Simply Wall St -

How Do Analysts See Texas Roadhouse, Inc. (NASDAQ:TXRH) Performing In The Next Couple Of Years?

In December 2018, Texas Roadhouse, Inc. … (NASDAQ:TXRH) announced its latest earnings update, whicha … confirmed

Simply Wall St -

TXRH Company Info

Description

Texas Roadhouse, Inc., together with its subsidiaries, operates casual dining restaurants in the United States and internationally. The company operates and franchises Texas Roadhouse and Bubba's 33 restaurants. As of April 29, 2019, it owned and operated approximately 590 restaurants. Texas Roadhouse, Inc. was founded in 1993 and is based in Louisville, Kentucky.

Details
Name: Texas Roadhouse, Inc.
TXRH
Exchange: NasdaqGS
Founded: 1993
$3,881,079,015
71,831,927
Website: http://www.texasroadhouse.com
Address: Texas Roadhouse, Inc.
6040 Dutchmans Lane,
Louisville,
Kentucky, 40205,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqGS TXRH Common Stock Nasdaq Global Select US USD 05. Oct 2004
DB ROW Common Stock Deutsche Boerse AG DE EUR 05. Oct 2004
Number of employees
Current staff
Staff numbers
64,900
Texas Roadhouse employees.
Industry
Restaurants
Consumer Services
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/07/22 02:33
End of day share price update: 2019/07/19 00:00
Last estimates confirmation: 2019/07/18
Last earnings filing: 2019/05/02
Last earnings reported: 2019/03/26
Last annual earnings reported: 2018/12/25


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.