Core Viewpoint - Growth investors are attracted to stocks with above-average financial growth, but identifying stocks that can sustain this growth is challenging [1] Group 1: Company Overview - Texas Roadhouse (TXRH) is currently recommended as a growth stock due to its favorable Growth Score and top Zacks Rank [2] - The company has a historical EPS growth rate of 45.3%, with projected EPS growth of 13% this year, surpassing the industry average of 12.5% [4] Group 2: Financial Metrics - Texas Roadhouse's year-over-year cash flow growth is 12.5%, higher than the industry average of 11.5% [5] - The company's annualized cash flow growth rate over the past 3-5 years is 12%, compared to the industry average of 5.1% [6] Group 3: Earnings Estimates - There has been a positive trend in earnings estimate revisions for Texas Roadhouse, with a 0.1% increase in the Zacks Consensus Estimate for the current year over the past month [7] - The company has earned a Growth Score of B and carries a Zacks Rank 2, indicating it is a solid choice for growth investors [9]

Core Viewpoint - Texas Roadhouse (TXRH) is expected to report quarterly earnings of $1.66 per share, reflecting a year-over-year increase of 53.7%, with revenues projected at $1.42 billion, up 21.6% from the previous year [1]. Earnings Estimates - Analysts have not revised the consensus EPS estimate for the quarter over the past 30 days, indicating stability in projections [1]. - Changes in earnings estimates are crucial for predicting investor reactions, with empirical studies showing a strong relationship between earnings estimate revisions and short-term stock performance [2]. Revenue Projections - Analysts estimate 'Revenue- Franchise royalties and fees' at $8.88 million, indicating a year-over-year increase of 26.8% [4]. - The average prediction for 'Revenue- Restaurant and other sales' is $1.41 billion, reflecting a year-over-year change of 21.6% [4]. Comparable Restaurant Sales Growth - 'Comparable restaurant sales growth - Company restaurants' is expected to reach 7.6%, down from 9.9% in the same quarter last year [5]. - For 'U.S. Franchise-owned restaurants', the growth is projected at 6.7%, compared to 8.9% a year ago [6]. Restaurant Count Projections - Analysts forecast 'Restaurants at the end - Total' to reach 784, up from 741 in the same quarter last year [5]. - 'Restaurants at the end - Company - Total' is expected to be 665, compared to 635 a year ago [6]. - 'Restaurants at the end - Franchise - Total' is projected at 118, up from 106 in the previous year [7]. New Openings and Store Weeks - The number of restaurants opened by the company is expected to be 7, down from 12 a year ago [6]. - For franchises, the estimate for new openings stands at 4, compared to 7 last year [7]. - 'Store weeks - Company restaurants' is projected to reach 9,268, up from 8,158 in the same quarter last year [8]. Stock Performance - Over the past month, shares of Texas Roadhouse have returned -3.9%, while the Zacks S&P 500 composite has changed by +4.9% [9]. - Texas Roadhouse currently holds a Zacks Rank 2 (Buy), suggesting potential outperformance in the near future [9].

Core Viewpoint - Growth stocks are appealing due to their potential for above-average financial growth, but identifying strong candidates can be challenging due to inherent volatility and risks [1] Group 1: Company Overview - Texas Roadhouse (TXRH) is currently highlighted as a promising growth stock, supported by a favorable Growth Score and a top Zacks Rank [2] - The company has a historical EPS growth rate of 45.3%, with projected EPS growth of 13.5% this year, surpassing the industry average of 12.5% [5] Group 2: Financial Metrics - Texas Roadhouse exhibits a year-over-year cash flow growth of 12.5%, which is above the industry average of 11.9% [6] - The company's annualized cash flow growth rate over the past 3-5 years stands at 12%, compared to the industry average of 5.4% [7] Group 3: Earnings Estimates - There has been a positive trend in earnings estimate revisions for Texas Roadhouse, with the Zacks Consensus Estimate for the current year increasing by 0.5% over the past month [9] - The combination of a Growth Score of A and a Zacks Rank 2 positions Texas Roadhouse favorably for potential outperformance in the market [10][11]

Core Viewpoint - Texas Roadhouse, Inc. is set to release its fourth quarter 2024 financial results on February 20, 2025, after market close, followed by a conference call at 5:00 PM ET [1] Financial Results Announcement - The fourth quarter 2024 financial results will be released on February 20, 2025, after market close [1] - A conference call will take place at 5:00 PM ET, which will be webcast live on the company's investor relations website [1] Accessing the Conference Call - Listeners can access the call by dialing (888) 440-5667 for domestic calls or (646) 960-0476 for international calls, referencing Texas Roadhouse, Inc. Fourth Quarter 2024 Earnings [2] - A replay of the call will be available until February 27, 2025, using the numbers (800) 770-2030 for domestic and (609) 800-9909 for international calls with conference ID 7714420 [2] Company Overview - Texas Roadhouse is a growing restaurant company in the casual dining segment, established in 1993, with over 780 restaurants across 49 states, one U.S. territory, and ten foreign countries [3] - For more information, the company's website is www.texasroadhouse.com [3]

I aim to invest in companies with perfect qualitative attributes, buy them at an attractive price based on fundamentals, and hold them forever. I hope to publish articles covering such companies approximately 3 times per week, with extensive quarterly follow-ups and constant updates.I manage a concentrated portfolio targeted at avoiding losers and maximizing exposure to big winners. This means that often I'll rate great companies at a 'Hold' because their growth opportunity is below my threshold, or their d ...

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Company Overview - Texas Roadhouse (TXRH) currently holds a Momentum Style Score of A, indicating strong momentum potential [3] - The company has a Zacks Rank of 2 (Buy), suggesting favorable market performance expectations [4] Price Performance - TXRH shares have increased by 1.9% over the past week, while the Zacks Retail - Restaurants industry has decreased by 0.53% during the same period [6] - Over the last quarter, TXRH shares have risen by 12.79%, and they are up 91.77% over the past year, significantly outperforming the S&P 500, which has moved 7.91% and 40.48% respectively [7] Trading Volume - The average 20-day trading volume for TXRH is 662,892 shares, which serves as a bullish indicator when combined with rising stock prices [8] Earnings Outlook - In the past two months, 7 earnings estimates for TXRH have been revised upwards, while 2 have been revised downwards, leading to an increase in the consensus estimate from $6.32 to $6.38 [10] - For the next fiscal year, 7 estimates have moved upwards and 1 has been revised downwards, indicating positive earnings momentum [10]

I'm an Equity Analyst and Accountant specializing in restaurant stocks, with a strong foundation in Business Administration and Accounting, complemented by an MBA in Forensic Accounting and Controllership. As the founder of Goulart's Restaurant Stocks, I lead a company focused on analyzing restaurant stocks in the U.S. market. Our coverage spans multiple segments, including QSR, fast casual, casual dining, fine dining, and family dining. We employ advanced analytical models and specialized valuation techniq ...

Texas Roadhouse TodayTXRHTexas Roadhouse$186.90 +6.00 (+3.32%) 52-Week Range$93.79▼$189.97Dividend Yield1.31%P/E Ratio33.92Price Target$178.60Add to WatchlistTexas Roadhouse NASDAQ: TXRH is a highly valued stock, but it is valued that way because it is the leading restaurant player and has ample growth potential to drive long-term shareholder value increases. The initial reaction to the Q3 results was tepid, but it was nothing more than a meh reaction to solid results and not an indication that the market w ...

Financial Data and Key Metrics Changes - The company reported a revenue growth of 13.5% for Q3 2024, reaching approximately $1.3 billion, driven by a 7.5% increase in average unit volume and 5.8% store week growth [15][5] - Diluted earnings per share increased by 32.5% to $1.26, with restaurant margin dollars increasing by 24.1% to $202 million [15][16] - Comparable sales grew by 8.5%, supported by a 3.8% traffic growth and a 4.7% increase in average check [15][16] Business Line Data and Key Metrics Changes - Weekly sales averaged $153,000 at Texas Roadhouse, $117,000 at Bubba's 33, and $72,000 at Jaggers, with all three brands showing positive traffic and sales growth [10] - The company opened seven Texas Roadhouse locations in Q3 and expects to open approximately 30 restaurants across all brands for the full year [6][7] Market Data and Key Metrics Changes - The company experienced strong comparable sales performance across all regions, with no significant regional disparities noted [63] - The company reported a 0.9% menu price increase, which is expected to maintain value proposition and traffic levels [11][10] Company Strategy and Development Direction - The company is focused on operational excellence, enhancing guest experience, and maintaining a strong community presence [56][57] - A tentative agreement is in place to acquire 13 Texas Roadhouse restaurants at the beginning of 2025, indicating a strategy of growth through acquisition [13][7] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving a target of over 250 digital kitchen conversions by the end of 2024, with plans to convert nearly all restaurants to digital kitchens by the end of 2025 [8] - The company updated its full-year commodity inflation guidance to less than 1%, reflecting lower-than-expected inflation in Q3 [11][12] Other Important Information - The company celebrated its 20th anniversary as a public company and was named the 2024 Brand Icon by Nation's Restaurant News [9][8] - The effective tax rate for Q3 was 16.7%, with an updated guidance for the full year 2024 income tax rate at approximately 15% [19] Q&A Session All Questions and Answers Question: Labor leverage in the quarter - Management indicated that adjustments related to insurance claims are unpredictable, but labor productivity is expected to continue improving [22][23] Question: Commodity inflation guidance - Management explained that the inflation guidance includes a combination of fixed-price contracts and assumptions, primarily driven by beef costs [24][27] Question: Pricing strategy for 2025 - Management stated that pricing decisions will be made based on operator feedback and market conditions after the first of the year [30][31] Question: Mix contribution in the quarter - Management reported a slight negative mix driven by alcohol sales, but overall positive results in other categories [38] Question: Technology initiatives and labor productivity - Management noted that while it's early to quantify the impact of technology on labor productivity, indicators are positive [40] Question: Labor hours dynamics heading into next year - Management expects to maintain labor hours growth below 50% relative to traffic growth, focusing on staffing appropriately [42][43] Question: Unit growth philosophy - Management emphasized a focus on the number of openings rather than a specific percentage growth target, aiming for balanced operations [45][46] Question: Impact of weather on sales - Management acknowledged some impact from weather but noted a bounce-back in sales following closures [48][50] Question: Pricing versus wages - Management is considering the balance between pricing and wage increases, aiming to invest in labor while maintaining value for consumers [74]